Growth potential

According to the financial report for the fourth quarter of 2024, Eximbank has had remarkable growth. The bank reported net interest income in 2024 of VND 5,923 billion, up 29% compared to 2023. Pre-tax profit reached more than VND 4,188 billion, up 54% compared to the previous year. After-tax profit reached VND 3,326 billion, up 54% compared to last year.

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Eximbank achieved record profit after 35 years. Photo: Eximbank

The bright spot in Eximbank's business results comes from the activities of restructuring the loan portfolio towards safety and efficiency, especially in the SME and individual customer segments and production, business and consumption needs.

Last year, Eximbank sharply increased interest rates for all terms and continued to launch many other savings products such as: Customer Appreciation Program, Eximbank VIP Savings, Optional Term Savings, Happy Birthday with Eximbank; Online Savings... Eximbank also launched Visa Direct service, a breakthrough in redefining cross-border financial transactions.

At the same time, proactively diversify revenue sources from non-credit activities such as payment services, foreign exchange and gold trading, and effectively handle bad debt...

By the end of 2024, Eximbank's total assets will grow by 18.9%, reaching VND239,532 billion. Outstanding credit balances will increase by 19.72%. Net profit from service activities will increase by 110.1% compared to 2023, reaching VND1,080 billion, profit from foreign exchange trading activities will increase by 38.7%, reaching VND674 billion.

Looking at the report, it can be seen that Eximbank has well controlled the safety indicators in operations according to the regulations of the State Bank (SBV) in the face of complicated developments of the economy: The ratio of short-term capital used for medium and long-term loans is maintained at around 24% - 25%, lower than the maximum limit of 30% of the SBV.

The LDR ratio is maintained at around 82% - 84% compared to the SBV regulation of 85%; the capital safety ratio (CAR) fluctuates around 12% - 13%, higher than the SBV regulation of 8%.

Currently, instead of relying solely on implementing preferential interest rate credit packages, Eximbank has proactively restructured its assets and capital structure to improve NIM (interest income/total earning assets). This not only helps improve business performance, increase profits but also minimizes risks and contributes to creating a stable financial environment for customers and the system.

Import-export focus strategy

Given the bank's specialty in supporting import-export transactions, this profit may reflect high demand for financial services serving international trade.

Eximbank has launched many attractive products and services such as: Eximbank EBiz - a digital platform that helps SME businesses to request online guarantee issuance at any time with automatic technology, optimized security, contributing to reducing financial pressure.

In order to facilitate import-export enterprises to operate effectively in the context of the fluctuating global market, Eximbank has implemented a preferential USD loan interest rate program. Enterprises that have never had a credit relationship with Eximbank will enjoy a preferential interest rate of only 3.7%/year. For enterprises that have a credit relationship with Eximbank, the USD loan interest rate is applied from 3.8%/year.

With these key solutions, Eximbank can support businesses to enhance their competitiveness, optimize financial costs, thereby promoting import-export activities in the coming period.

Technology as the driving force

From 2023, Eximbank will invest heavily in its technology system with the goal of being modern - green - safe - secure. The bank has prioritized the implementation of digital projects across the system, standardizing and optimizing management, operation and business processes to improve service quality. At the same time, the bank also applies technology to innovate products and services to meet the needs of the market and customers.

Eximbank is entering the digital race with the goal of providing diverse, high-quality financial products with the goal of continuously improving customer experience and developing customer base.

The continuous launch of digital products and services, which have been well received by the market in recent years, along with the process of strongly upgrading customer experience, are the initial achievements of the process of promoting the digital transformation strategy at Eximbank.

Breakthrough potential

In 2024, the State Bank approved an increase in Eximbank's charter capital to VND18,688 billion, helping the bank strengthen its financial capacity, expand its scale of operations and improve its ability to meet capital safety standards according to international practices.

This was also the year Eximbank paid cash dividends after 10 years and made a breakthrough decision: "Going North" to bring the Eximbank brand to cover the whole country.

After 35 years, with new thinking, new strategies, new markets, Eximbank is gradually shaping a new strategy for its development. With many synchronous and flexible solutions, the bank can seize opportunities, improve competitiveness, transparency and efficiency.

Le Thanh