Illustrative photo. (Photo: VNA)After four years of restructuring the banking system, total charter capital owned by the State Bank of Vietnam (SBV) at commercial banks increased 1.7 times.
According to online news InfoNet, the central bank currently owns more than 113 trillion VND (5.04 billion USD) charter capital of eight banks. The figure is equal to roughly 37 percent of total charter capital of 34 commercial banks in Vietnam.
The central bank currently holds stakes in eight banks, instead of five as before 2011. Besides, it can be authorised to hold stakes indefinitely at Eximbank and Sacombank soon.
Before 2011, the central bank owned stakes in only five banks of Agribank, Vietcombank, BIDV, and Vietinbank, in addition to MHB. At that time, it held 90.72 percent of charter capital at Vietcombank. The figures at Vietinbank, MHB, BIDV and Agribank were 91.76 percent, 80.31 percent, 100 percent, and 100 percent, respectively.
The new commercial banks that the SBV owned this year were VNCB, OceanBank, GP Bank. The SBV acquired all the three banks this year at zero dong per share due to the banks' ailing performance and failure to meet the required charter capital increase.
At Vietcombank and Vietinbank, the central bank currently owns 77.11 percent and 64.46 percent of the banks' 26.65 trillion VND (1.189 billion USD) and 37.234 trillion VND (1.66 billion USD) charter capital, respectively. Its ownership at BIDV is nearly 30 trillion VND (1.339 billion USD) or 95.28 percent of the bank's total charter capital.
The central bank also holds 100 percent charter capital or 28.72 trillion VND (1.28 billion USD) of Agribank besides 10 trillion VND (446.42 million USD) total charter capital of Ocean Bank, GP Bank and CB Bank. After four years under restructuring, the number of commercial banks in Vietnam reduced by 17 to 34.-VNA
