Sacombank receives the Labor Order, second class, from the President at its 32nd anniversary function in HCM City on December 21.

Sacombank reported impressive results and determined its future course of action at a ceremony held to mark its 32nd anniversary in HCM City on December 21.

Amid the global economic downturn, stability and sustainability have become key goals for many businesses, including Sacombank.

Sacombank has focused its resources on core segments, constantly improving products and services to diversify sources of revenue and adopting flexible strategies aligned with market developments.

Thanks to that, its total consolidated assets now are estimated at VNĐ664 trillion ($27.1 billion), with profitable assets accounting for 90.3 per cent.

It has total deposits of over VNĐ574 trillion and loans outstanding of over VNĐ487 trillion.

Its consolidated pre-tax profit is expected to exceed VNĐ9.5 trillion, an increase of 50 per cent from last year and achieving the target assigned by shareholders.

Its bad debt ratio is controlled at 2 per cent.

The bank collected nearly VNĐ7 trillion worth of bad and outstanding debts, taking the total recovery to nearly VNĐ95 trillion under its restructuring project.

Capital adequacy ratio, loan-to-deposit ratio and net interest margin were estimated at 9.45 per cent, 83 per cent and 3.88 per cent.

ROA and ROE were at 1.21 per cent and 18.03 per cent, up 0.3 and 4.2 per cent.

Thanks to its solid internal financial strength, Sacombank has set aside 100 per cent of provisions for the entire remaining outstanding asset and debt portfolio, thereby almost completing its financial obligations under the restructuring project.

Accelerating digital transformation towards customer centricity

In addition to adopting a flexible operating strategy aligned with market developments, digitising products and services towards customer-centricity has also helped Sacombank achieve good growth in recent years.

Sacombank is also offering products that are increasingly personalised and built by understanding customers' needs and usage habits, so it stands out in the market in digital products, especially in the payment field.

In co-operation with Big Tech companies such as Apple and Samsung and international card organisations such as VISA, Mastercard and American Express, the bank has launched many modern payment methods, meeting most needs like payments by cards, QR codes, phones, and smart watches.

It is also speeding up completion of the Open Banking model to enhance links with fintech companies, e-commerce platforms, and technology partners to create more convenient payment methods.

Sacombank has 18 million customers, of whom nearly 70 per cent conduct transactions via digital channels.

Fully implementing Basel III standards, leveraging risk management system

EY Vietnam Consulting Joint Stock Company presents a certificate to Sacombank for fully adopting Basel III risk management standards.

With EY Vietnam’s consultancy, Sacombank has adopted crucial Basel III pillars, including ensuring CAR, Leverage Ratio (LR), Liquidity Coverage Ratio (LCR), Net Stable Funding Ratio (NSFR), the internal capital adequacy assessment process (ICAAP), the behavioral modelling methodology, and fully complied with information disclosure and major risk management norms.

It has also successfully built an automatic calculation and reporting system for CAR, LR, LCR, NSFR, and ICAAP calculations.

Basel III is a set of high-level standards for banking risk management, which not only helps manage existing risks but also predicts future failures. More importantly, risk is measured not only in normal conditions but also in stressful scenarios.

The successful implementation of this set of standards affirms Sacombank's stable capital source, liquidity and the capabilities needed to overcome crisis situations.

Receiving Labour Order, second class

Along with vibrant business activities, Sacobank has also engaged in impactful community activities.

In 2023 alone it deployed a series of preferential lending packages to support businesses, and undertook major charity activities such as giving away nearly 4,000 scholarships worth nearly VNĐ11 billion, the blood donation programme and "Steps for the Community" running programe to raise funds for building cultural houses for ethnic minorities.

Sacombank was awarded the Labour Order, second class, a high distinction, by the government for its outstanding contributions to the prevention and control of Covid-19 in HCM City at the ceremony.

Entering 2024 with the motto "Sustainable Internal Capacity, Bright Future," Sacombank will focus on improving its financial capacity and human resource quality, fostering digital banking based on customer-centricity and further enhance risk management activities, thereby steadily building up internal strengths and confidently moving into the future, and quickly completing the restructuring to regain its position and be ready to conquer new goals.