The Asia Banker announced the “Top 500 Strongest Banks 2023” ranking, reviewed in many countries and regions with detailed and transparent scores. Banks and financial companies are evaluated based on 6 criteria based on the performance of the balance sheet: size, balance sheet growth, risk profile, profitability, asset quality and liquidity; divided into 14 specific factors. The assessment is conducted from March to August every year when the bank's annual financial results are available. The ranking is followed by many investors, analysts and the media as the leading source of information to evaluate the financial strength of banks and their parent financial institutions.
The “champion” position of the Vietnamese banking group in the ranking continues to be TPBank with the ranking of 165/500, this is the second consecutive year that TPBank has achieved the leading position. On the recorded scoreboard, the component scores on debt structure, deposit structure, credit balance ratio over total deposits, CAR ratio... of TPBank were scored exceptionally high; reaching 6.05 points.
The Asian Banker representative highly appreciated TPBank's efforts in proactively implementing Basel III regulations. In 2022, despite having previously met Basel III standards, TPBank will continue to increase its risk management capacity with advanced methods according to Basel III.
“TPBank maintained a strong liquidity position in 2022, with current assets accounting for 49% of total deposits and loans, exceeding the average of 27.8% for all Vietnamese banks in the ranking. The bank achieved high profitability, with net profit increasing by 30%. Return on assets (ROA) reached 2%, while return on equity (ROE) was 22%. In addition, the non-performing loan ratio was low at 0.8% in 2022, far exceeding the industry average of 1.5%,” The Asian Banker representative added.
In the first 9 months of the year, despite the impact of the difficult economic situation, this bank still ensured that the indicators were within the limits allowed by the State Bank. With practical policies, TPBank received the trust and support of customers, as shown by the growth in deposits, the significantly improved CASA ratio, and the loan growth of nearly 12%.
TPBank also focused on increasing service income by 15% year-on-year and foreign exchange income by 32%, replacing the stagnation of net interest income. The bank achieved a profit of nearly VND5,000 billion in the first 9 months of 2023.
Always accompanying customers, TPBank has continuously updated preferential interest rate policies and reduced fees to support businesses and individuals to overcome difficult times. The bank committed to reducing loan interest rates by an estimated VND 1,400 billion, along with VND 76 billion in fees for customers this year. This has affected TPBank's profits, recorded at nearly VND 5,000 billion after 9 months.
At the end of the 9 months, TPBank's total assets increased by 5% compared to the end of the previous year, reaching over VND 344,400 billion. In early 2023, TPBank also increased its charter capital to over VND 22,000 billion through dividend payment in bonus shares at a rate of 39.19%.
“This is the second consecutive year that TPBank has led the group of strong banks in Vietnam, demonstrating its financial foundation and tight risk control activities. “Purple Bank” always strives to be the leader in meeting the world’s strict standards on capital safety, security foundation and maintaining sustainable and effective business operations. This is also the common trend of the world’s leading banks,” said a representative of TPBank.
Le Thanh
Source
Comment (0)