Liquidity risk among Viet Nam''s commercial banks remained low as major efforts have taken place in recent decades to bolster the banking sector''s resilience, according to experts.
Improving the non-performing loan (NPL) resolution framework is a high priority for the banking sector to ensure efficient and effective bad debt resolution, as forecasters predict bad debts will rise post-pandemic.
The Vietnamese banking sector is an attractive investment opportunity because it is generating a lot of capital and growing fast, according to a senior banker at JP Morgan.
In the first half of 2018, the Vietnamese banking sector enjoyed VND35.5 trillion (US$1.53billion) in net profit, equivalent to 64 per cent of the previous year.
The An Binh Commercial Joint Stock Bank (ABBank) has announced that its pre-tax profit reached VND288 billion (US$12.8 million) in 2016, representing an annual increase of 169 per cent, mostly thanks to strong returns from the retail banking segment.