VPBank wins Achievement in Enterprise Risk Management award for second consecutive year

Friday, Aug 06, 2021 10:20

The Asian Banker hailed VPBank for its quick adaption to negative impacts of the COVID-19 pandemic. — Photo courtesy of VPBank

VPBank has now been awarded the Achievement in Enterprise Risk Management in 2021 award by The Asian Banker for two consecutive years. The award has reaffirmed its leading position in the country’s risk management sector, comparable to the leading financial institutions in Asia.

The Asian Banker hailed VPBank for its quick adaptability to the negative impacts of the COVID-19 pandemic, successfully implementing strategic targets and maintaining the quality of its assets.

VPBank has carefully prepared for years to maintain stable operations during economic downturns.

Forecasts for the next three years show the bank has flexibly adjusted risks, financial plans and internal capital adequacy assessment process (ICAAP) to suit changes in the business environment both during and after the pandemic. It is the reason that VPBank has maintained its capital risks at a safe level. It has also kept its liquidity stable by maximising its balance sheet and diversifying mobilisation capital.

VPBank has built a risk management framework following international norms with modern solutions. It has developed high quality IT resources and is investing in modern information security solutions to create a firm foundation for risk management as network risk has been on the rise.

It launched a platform to automatically follow and update credit ratings for customers to be active in risk management for its partners.

An early warning system (EWS) was also developed to discover and resolve credit issues.

In addition, the bank has also been active in building solutions to support its customers to overcome difficulties such as providing online banking products and services, debt payment support while social distancing measures are in place, and opening accounts through eKYC, disbursement, restructuring debts and diversifying payment channels.

A representative from VPBank said the development of a risk management framework following international standards and accelerating the digital transformation process has been its key task. With the firm risk management foundation, the bank is committed to supporting customers in difficult times and expects to enhance the trust of its investors.

“The award recognises VPBank’s efforts and close coordination in the past few years when the global economy has seen a number of challenges. This is evidence of our risk management ability and that we are headed in the right direction to make VPBank comparable to the leading financial institutions in Singapore, China and the Phillippines,” he added.

The Risk Management Awards are an annual prize awarded by The Asian Banker given to financial institutions in Asia – Pacific, the Middle East and Africa to recognise their achievements and creativity in risk management.

In 2020, VPBank was also awarded The Achievement in Liquidity Risk Management award. — VNS

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