Expanding in scale, VPBank increased the total number of customers to more than 30 million

Steady growth, expanding customer base

In the context of weak recovery of domestic consumer demand, stagnant production and business, and gloomy real estate market, VPBank's mobilization and credit scale still grew steadily, with foreign capital mobilization and CASA from retail being the highlights of the year.

Mobilization including valuable papers of the parent bank increased by 37.1% compared to 2022, reaching 470.5 trillion VND, 13.2% higher than the industry average, ensuring the bank's liquidity safety indicators. VPBank's individual customer segment continued to be the driving force of growth, contributing 62% of the bank's total mobilization, reaching more than 290 trillion VND.

Mở rộng về quy mô, VPBank nâng tổng số khách hàng lên hơn 30 triệu- Ảnh 1.

Along with that, demand deposits (CASA) became a bright spot in the bank's mobilization activities with a positive growth of 33% compared to the end of 2022, helping to increase the CASA ratio in the mobilization structure to 17.6%. The CASA highlight shows the effectiveness of VPBank's action programs and solutions to promote deposit growth through outstanding payment solutions and account services, meeting the right and accurate needs of customers.

In addition to domestic mobilization, in 2023, VPBank has proactively diversified its international long-term capital structure to optimize capital costs and strengthen its balance sheet. Accordingly, the Bank has successfully signed a bilateral loan commitment worth 300 million USD (equivalent to 7,200 billion VND), with a term of 7 years, with the US International Development Finance Corporation (DFC), to promote green credit in Vietnam.

Credit growth at the parent bank in 2023 will reach more than VND527 trillion, up 31.8% compared to 2022, providing capital for diverse segments and industries in the economy. Of which, outstanding credit in the strategic segment of individual customers will reach more than VND245 trillion, up more than 25% compared to the end of 2022, driven by business loans and credit cards. Lending in another strategic segment, SME, will also record an increase of 7.3% compared to 2022, although the capital absorption capacity of the production and business sector in the year is still slow.

The parent bank's liquidity safety ratios such as loan-to-deposit ratio (LDR) reached 79.6%, the ratio of short-term capital for medium- and long-term lending reached 25.3%, all at better levels than the State Bank's regulations.

Thanks to the segment coverage strategy and the promotion of digitalization throughout, the customer base of the entire VPBank ecosystem has reached more than 30 million people by the end of 2023. In the individual customer segment alone, VPBank recorded an increase of 4 million customers compared to the end of 2022, thanks to the continuous promotion of comprehensive and personalized financial solutions for each customer profile group, focusing on attracting customers on digital platforms.

Another positive point in 2023 comes from VPBankS and OPES. The two companies operating in the fields of securities and insurance services, after more than a year of being merged into VPBank, contributed more than VND 1,400 billion in pre-tax profit. This result brought the total profit of VPBank, VPBankS and OPES last year to nearly VND 15,000 billion.

Consumer finance company FE CREDIT, after a strong restructuring process since the second quarter, also recorded positive progress thanks to transforming its governance model, applying a more cautious lending strategy, while continuing to improve risk management and debt collection.

Building the foundation, paving the way for sustainable growth

One of VPBank's highlights in 2023 is the private issuance of 15% of shares to SMBC Group (Japan) with a total value of 1.5 billion USD, helping to increase the bank's total consolidated equity to nearly 140 trillion VND by the end of 2023, an increase of 35% compared to 2022.

A strong capital base, ranking second in the system in terms of equity capital, has accelerated the parent bank's capital adequacy ratio to more than 17%, the highest among banks in Vietnam. In 2023, VPBank has fulfilled its commitment to pay more than VND 8,000 billion in cash dividends to shareholders, meeting the expectations and wishes of many shareholders for the bank's annual profit distribution plan.

With strong financial potential and strategic cooperation with SMBC, VPBank has "gotten the boat" to promote a new business segment - the FDI customer segment in 2023, in order to take advantage of market opportunities to maximize revenue and profit to supplement traditional segments.

Attracting more than 250 FDI corporate customers during the year is a highlight in the FDI sector's activities, with the Supply Chain Finance product introduced to the market, providing capital to both suppliers and distributors in the supply chain, gradually conquering the potential market thanks to the strong FDI wave flowing into Vietnam.

In the third 5-year development strategy (2022 - 2026), aiming for sustainable development in the medium and long term, VPBank has pioneered the development of the ESG (Environment - Society - Governance) Risk Management Framework, applied across the bank, in line with international practices.

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