IFC Wants to Boost Footprint in Vietnam

Tuan Minh

14:40 11/11/2015

BizLIVE - The International Finance Corporation (IFC), the World Bank’s private lending arm, hopes to increase capitalization for Vietnamese commercial banks, an IFC official said.

IFC Wants to Boost Footprint in Vietnam

SBV Governor Nguyen Van Binh holds talks with Kyle Kelhofer, IFC country manager for Vietnam, Cambodia and Laos. (Photo: sbv.gov.vn)

IFC expects to receive more support from the State Bank of Vietnam (SBV), the country’s central bank, Kyle Kelhofer, IFC country manager for Vietnam, Cambodia and Laos, told SBV Governor Nguyen Van Binh on Monday.
At the meeting, Governor Binh said the Vietnamese government welcomes IFC’s activities and always creates favorable conditions for the corporation’s investment in Vietnamese commercial banks.
Mr. Binh proposed IFC continue to provide technical assistance for the SBV’s agencies and bridge the SBV with foreign banks.
IFC now holds a 10% stake in Hanoi-based An Binh Bank (ABBank) and a 5.39% stake in state-controlled Bank for Industry and Trade of Vietnam (VietinBank). It has invested in a number of local companies such as Anova Corp, a Vietnamese veterinary medicine business, and Hochiminh Stock Exchange-listed Pan Pacific Corp.   
A number of Vietnamese banks have suggested the government allow raising the foreign ownership cap in them to 35% or higher.

TUAN MINH