Future bright for Vietnam banking sector
(22 November 2006 – Vietnam) Although China is often cited as the growth story in Asia, Vietnam’s banking markets offer great potential for foreign investors.
Deposits are tipped to grow at more than 20 percent a year for the next four years, potentially reaching US$100 billion by 2010 compared with about US$36 billion now.
Further, just five million people have bank accounts in Vietnam and this in a country with a population of 83 million.
The potential of Vietnam was also highlighted this week by the surge in shares of Vietnam’s Asia Commercial Bank, jumping 24 percent on the day they were listed on the Hanoi stock exchange.
Sacombank, in which ANZ has a 10 percent stake, listed on the Ho Chi Minh City Securities Trading Centre earlier in the year.
ACB is recognised by analysts as a stronger retail bank than Sacombank with return on earnings of 30 percent compared to Sacombank’s 20 percent.
Further, just five million people have bank accounts in Vietnam and this in a country with a population of 83 million.
The potential of Vietnam was also highlighted this week by the surge in shares of Vietnam’s Asia Commercial Bank, jumping 24 percent on the day they were listed on the Hanoi stock exchange.
Sacombank, in which ANZ has a 10 percent stake, listed on the Ho Chi Minh City Securities Trading Centre earlier in the year.
ACB is recognised by analysts as a stronger retail bank than Sacombank with return on earnings of 30 percent compared to Sacombank’s 20 percent.
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