“Best GTFP issuing bank in East Asia and the Pacific” Award, awarded by IFC – a member of World Bank Group

Hanoi, Vietnam, December 18, 2012—IFC, a member of the World Bank Group, has awarded the “Best GTFP issuing bank in East Asia and the Pacific” to Vietnam International Commercial Joint Stock Bank (VIB). This is a reputable award, aimed at honouring banks which obtained significant achievements under the global trade finance program (GTFP). The program helps to expand and improve local banks’ capacity of trade finance for exporters and importers sectors in emerging markets, including Vietnam.

VIB representative to receive the award "best GFTP issuing bank in East Asia and the Pacific" from IFC

Along with this event, IFC has also expanded a trade finance line for VIB to USD 80 million under GTFP. Accordingly, after only more than 1 year of joining the program, this is the third time VIB has had its trade finance line expanded. Previously, IFC increased the trade line for VIB from 30 million USD to 50 million USD in February 2012. Until November 2012, the total disbursement amount for VIB via IFC’s guarantees reached $125 million. Thanks to this, the bank has financed hundreds of local importers and exporters in different sectors such as petroleum, metals, chemicals, food, agricultural products, etc from and to more than 30 countries and territories. 

Mr. Vivek Chand - Deputy CEO and Head of the Wholesale Banking of VIB (L) to receive the symbolic cheque of USD 80 million from IFC representative

“Trade line expansion and the award well reflect IFC’s recognition of the achievements and success which we have obtained in financing the import and export sector in general and in the GTFP in particular during the past years. This is the basis for VIB to continue further improving our capacity to make better contributions to development of customers and enhance our reputation in the international market” said Ms. Duong Thi Mai Hoa, Chief Executive Officer of VIB.

“The award recognizes VIB’s efforts in covering payment risk in granting trade financing to Vietnam’s small and medium enterprises, many of which have been struggling with a liquidity shortage in a tough economy," said Simon Andrews, IFC Regional Manager for Vietnam, Cambodia, Lao PDR, Myanmar, and Thailand. "Our continued support to VIB underscores IFC’s long-term commitment to fostering the development of the Vietnamese financial markets and the individual banks.”

In addition to IFC, VIB has also worked closely with Asian Development Bank (ADB) and the Netherlands Development Finance Company (FMO) under the Trade finance program (TFP). In 2010, VIB was rated by ADB as a bank which operated positively and efficiently among the participating banks in the TFP in Asia.

Since its inception in 2005, the Global Trade Finance Program has issued more than 13,000 guarantees totaling $20 billion to banks for trade-related payment obligations of their financial-institution clients in emerging markets. In fiscal 2012, IFC provided $2.9 billion to support trade in the world’s poorest countries, and 79 percent of all guarantees went to small and medium enterprises. The program includes more than 250 partner banks in more than 90 emerging-market countries.