On July 31, 2016, the Grand Opening of the Bank for Investment and Development of Viet Nam JSC – Yangon Branch (BIDV Yangon) will be held along with the “Four Countries – One Destination” Conference on connecting tourism and expanding cooperation in banking sector in Yangon. Previously, BIDV was granted the official license from the Central Bank of Myanmar on June 30, 2016 and commenced its Branch’s operation from July 01, 2016. The opening of BIDV Yangon marks a new chapter for BIDV in Myanmar’s banking and finance sector, showing reflecting the Bank’s brand, reputation and preparedness in integrating into ASEAN and international financial markets as well as its determination and endurance to contribute and promote economic cooperation between Viet Nam and Myanmar over the years.
Founded in 1957, BIDV is the longest-established and the largest commercial bank in Viet Nam in term of total assets (USD 42 billion). BIDV has maintained its top position and prestige in Viet Nam market as well as continuously expanded operation to important and potential areas, especially the CLMV countries (Cambodia, Laos, Myanmar and Viet Nam) where many Vietnamese enterprises have been doing their business.
BIDV has prepared for its operation in Myanmar since 2010. Following the Joint Statement of the two Governments released in April 2010 on 12 prioritized economic sectors, BIDV established its Representative Office in Myanmar, actively studied the local market and established relationships with local banks. The Bank has prepared facilities and personnel, aiming to establish a Vietnamese bank in Myanmar at the soonest. Besides, BIDV also established the Representative Office of BIDV Insurance Corporation in Myanmar and cooperated with Myanmar partner to found BIDV Myanmar Finance Company Limited. With the entrust from the Government of Vietnam, BIDV has chaired the Association of Viet Nam Investors in Myanmar (AVIM), which has actively contributed and supported to the business community, thus promoting the economic cooperation between Viet Nam – Myanmar.
By the end of June 2016, Viet Nam ranked at 10th among top countries investing in Myanmar with total investment of USD 693 million, 30 times higher than that in 2009, and achieved the 8th position if the USD 85 million paid-in capital for BIDV Yangon Branch was included. In the period 2010-2015, the two-way trade turnover saw the annual average growth of 30% with figure in 2015 being USD 435 million, 3-folds higher than 2010. Tourism also saw a strong growth with 15% increasing in number of tourism each year since 2010.
BIDV was honored to be granted the foreign bank branch license by the Central Bank of Myanmar following a preliminary approval announcement dated 4 March 2016. Within only four months from the approval date, BIDV fully completed all the requirements to be granted the license on 30 June 2016 by the Central Bank of Myanmar and commenced the Branch’s operation in July this year, setting a record in preparation time among 13 foreign banks licensed in both 2014 and 2016. This achievement was appreciated by the Government and the business community of Viet Nam.
The Branch’s mission is to provide modern and comprehensive financial-banking services to its customers; especially to support foreign cooperates in investing and conducting business in Myanmar, to contribute to Myanmar’s banking system and economic development and become a friendly and socially responsible bank through implementing corporate social responsibility programs.
Its target customers include Vietnamese corporates and those from countries which BIDV has a presence and/or a close relationship such as the CLMV countries, ASEAN, Japan, Korea, and Taiwan, etc. Leveraging the advantages of modern and advanced technology and a huge network of branches of the Top Bank in Viet Nam, BIDV Yangon will provide products tailored to serve transactions between Viet Nam and Myanmar. The Branch is aimed to reach total assets target of at least USD 300 million after three years of operation and become one of the Top 5 foreign banks in Myanmar.
BIDV Yangon will at the same time work closely with the AVIM and the BIDV Representative Office in Myanmar to introduce, give consultancy and promote trade and investment, take the leading role in accompanying and supporting Vietnamese corporates in their business activities in Myanmar. It will also coordinate with other members of BIDV in advising, supporting and developing Myanmar’s finance and banking system, especially the interbank market, foreign exchange, derivatives, securities, and government bonds, etc. which BIDV has had many experiences in Viet Nam, Laos and Cambodia.
With close cooperation and support from its foreign corporate customers as well as international and local banks, BIDV Yangon Branch is ready to achieve sound performance and continue to contribute to the economic cooperation between Viet Nam and Myanmar.