Since Q108, we have described numerically the banking business environment for each of the countries
surveyed by BMI. We do this through our Commercial Banking Business Environment Rating (CBBER),
a measure that ensures we capture the latest quantitative information available. It also ensures consistency
across all countries and between the inputs to the CBBER and the Insurance Business Environment
Rating, which is likewise now a feature of our insurance reports. Like the Business Environment Ratings
calculated by BMI for all the other industries on which it reports, the CBBER takes into account the
limits of potential returns and the risks to the realisation of those returns. It is weighted 70% to the former
and 30% to the latter.
The evaluation of the ‘Limits of Potential Returns’ includes market elements that are specific to the
banking industry of the country in question and elements that relate to that country in general. Within the
70% of the CBBER that takes into account the ‘Limits of Potential Returns’, the market elements have a
60% weighting and the country elements have a 40% weighting. The evaluation of the ‘Risks to
realisation of returns’ also includes banking elements and country elements (specifically, BMI’s
assessment of long-term country risk). However, within the 30% of the CBBER that take into account the
risks, these elements are weighted 40% and 60%, respectively.
Further details on how we calculate the CBBER are provided at the end of this report. In general, though,
three aspects need to be borne in mind in interpreting the CBBERs. The first is that the market elements
of the ‘Limits of Potential Returns’ are by far the most heavily weighted of the four elements. They
account for 60% of 70% (or 42%) of the overall CBBER. Second, if the market elements are significantly
higher than the country elements of the ‘Limits of Potential Returns’, it usually implies that the banking
sector is (very) large and/or developed relative to the general wealth, stability and financial infrastructure
in the country. Conversely, if the market elements are significantly lower than the country elements, it
usually means that the banking sector is small and/or underdeveloped relative to the general wealth,
stability and financial infrastructure in the country. Third, within the ‘Risks to the realisation of returns’
category, the market elements (i.e. how regulations affect the development of the sector, how regulations
affect competition within it, and Moody’s Investor Services’ ratings for local currency deposits) can be
markedly different from BMI’s long-term risk rating.”
Vietnam Commercial Banking to 2012
Published: October 2012 No. of Pages: 62 Price: US $ 1175
Table of Contents
Executive Summary
SWOT Analysis
Vietnam Commercial Banking SWOT
Vietnam Political SWOT
Vietnam Economic SWOT
Vietnam Business Environment SWOT
Business Environment Outlook
Commercial Banking Business Environment Rating
Commercial Banking Business Environment Rating Methodology
Global Commercial Banking Outlook
Regional Outlooks
Banking Slowdown Has Further To Run
Asia Banking Sector Outlook
Vietnam Specific Banking Sector Outlook
Economic Outlook
Table: Vietnam – Economic Activity, 2011-2016
Competitive Landscape
Market Structure
Protagonists
Definition Of The Commercial Banking Universe
List Of Banks
Company Profiles
Vietnam Commercial Banking Report Q4 2012
© Business Monitor International Ltd Page 4
Bank for Foreign Trade of Vietnam (Vietcombank)
VietinBank
Agribank
Asia Commercial Bank
Eximbank
Vietnam Technological and Commercial Joint-stock Bank (Techcombank)
Viet A Joint Stock Commercial Bank (Vietabank)
Housing Development Commercial Joint Stock Bank (HDBank)
Sacombank
BMI Banking Sector Methodology