Eximbank's international credit rating has been upgraded to BB- by S&P Global Ratings with a "Stable" outlook.

(Dan Tri) - This is the first time S&P has upgraded Eximbank's credit rating to BB- since 2018, recognizing Eximbank's positive changes in sustainable profit growth and restructuring efforts.

International credit rating agency S&P Global Ratings (S&P) has just decided to upgrade the credit rating to BB- with a "Stable" outlook for Vietnam Export Import Commercial Joint Stock Bank (Eximbank).

Director of credit analysis and rating Ivan Tan (Singapore) said that Eximbank's credit rating was upgraded after S&P adjusted Vietnam's Banking System Risk Assessment (BICRA) to group 8.

“We have upgraded Eximbank’s individual credit rating (SACP) from B+ to BB, Eximbank will benefit from the country’s continued average GDP growth trend, which will positively impact the bank’s financial position,” said Mr. Ivan Tan.

Experts from S&P analyzed that Eximbank's strategy is to focus on the retail customer segment (54% of total outstanding loans as of December 31, 2024) and small and medium enterprises. Eximbank's profits mostly come from these high-yield customer segments.

S&P believes that Eximbank's profit growth is sustainable. Restructuring efforts in recent years, along with strict appraisal standards, will help improve profits while reducing credit provisioning costs.

Eximbank's stable outlook reflects S&P's forecast that the bank will grow on the back of its restructuring efforts and maintain its capitalization level over the next 12-24 months.

S&P also stressed that the rating could be upgraded if Eximbank's risk-adjusted capital ratio (RAC) grows continuously above 10%. This could happen thanks to consistent and sustainable capital enhancement through profit growth and slowing credit growth. The bank may need many years to achieve this result.

S&P upgrades Eximbank's credit rating to BB- (Photo: Eximbank).

In a previously published report, S&P noted that Eximbank's return on assets (ROA) increased from 1.1% in 2023 to 1.5% in 2024, thanks to improved net interest margins and lower cost of funds. The credit rating agency forecasts that Eximbank's ROA will remain stable in the range of 1.25-1.35% in the next 12-24 months as the Government encourages banks to lower lending rates to support businesses and economic growth.

S&P also assessed that Eximbank's asset quality is under control with the non-performing loan (NPL) ratio decreasing to 2.5% by the end of 2024. The ratio of debt requiring attention and restructuring also decreased sharply from 5% to 3.9%, showing positive results from the bank's credit risk control and bad debt handling measures in the past time.

With the RAC ratio this year remaining stable at around 5.2%-5.4%, Eximbank is assessed to have a solid capitalization foundation to support credit growth in the coming period. The bank's credit growth will reach 16%-18%, higher than the target growth rate of the entire banking sector set by the Government (12-15%).

S&P recognized Eximbank's flexibility in diversifying its capital sources, prioritizing low-cost sources. Restructuring efforts in recent times have created a solid foundation, helping the bank improve its ability to adapt to fluctuations and pursue long-term sustainable development goals.

Eximbank representative affirmed that S&P's upgrade of Eximbank's credit rating to BB- is a testament to the persistent efforts in strengthening financial capacity, risk management and sustainable development. This is not only the international rating agency's recognition of Eximbank's achievements, but also affirms the trust of the market, partners and customers in the comprehensive restructuring journey and strong transformation in both the bank's operating model and development vision. Eximbank will continue to adhere to its safe - effective - sustainable development strategy, accompanying the prosperity of customers and contributing to the Vietnamese economy.

Eximbank is in a "pivotal" year, laying the foundation for a strong breakthrough in the 2026-2030 period. Eximbank is currently working with consulting partners and international experts to comprehensively restructure the bank, build a medium- and long-term development strategy, focus on customers, promote digital transformation, and expand the target customer base beyond the two segments it is focusing on.

Recently, Eximbank announced its business results for the first 6 months of the year, recording pre-tax profit of VND 1,488.5 billion, up 0.97% over the same period. In the second quarter of 2025, Eximbank achieved a profit of VND 656.9 billion. Eximbank's credit grew positively by 9.8% to VND 184,663 billion while total assets reached VND 256,442 billion, up 6.95% over the beginning of the year.

Eximbank is currently preparing to move its headquarters to Hanoi . This is a strategic turning point in the process of restructuring, repositioning the brand and raising Eximbank's position. As analyzed by S&P on the limited market segment of Eximbank, this new strategy helps the bank cover the whole country, expanding its business in the Northern and Central markets.

Source: https://dantri.com.vn/kinh-doanh/eximbank-duoc-sp-global-ratings-nang-tin-nhiem-quoc-te-len-bb-voi-trien-vong-on-dinh-20250826115115848.htm