Sunday, 27/07/2025
   

ACB targets 16 per cent credit growth in 2025

Asia Commercial Bank (ACB) successfully held its AGM 2025 on April 8, during which shareholders approved the bank’s business plan and other key matters for the year 2025 – a pivotal year in ACB’s 2025–2030 five-year development strategy.

ACB has set a target pre-tax profit of VND23 trillion ($890.7 million) for 2025, a 9.5 per cent increase over 2024, driven by sustainable growth together with strong risk management and control of asset quality.

The bank also approved a 25 per cent dividend payout, comprising 10 per cent in cash and 15 per cent in sharesmarking the fifth consecutive year of maintaining a high dividend, including three years of cash payouts, reflecting effective business performance, commitment to ensuring shareholders’ highest interests, and meeting shareholders’ expectations.

Chairman of the ACB Board - Mr.Tran Hung Huy

Speaking at the meeting, Tran Hung Huy, chairman of the Board said, “ACB has concluded its previous five-year strategy with notable achievements–tripling profits and delivering consistently high and balanced dividends. Looking ahead, the Vietnam’s economy and financial market would face various challenges in terms of increasing competition and stricter compliance requirements. To meet our strategic goals, ACB will continue to invest in infrastructure and new technology to enhance efficiency and strengthen risk control, with a focus on safety and security.”

In 2025, ACB remains committed to its vision of becoming a leading retail bank in both scale and profitability, strengthening the foundation for the 2025–2030 development strategy.

The key business targets in terms of growth include total asset growth of 14 per cent, deposit growth (including valuable papers) of 14 per cent, and credit growth of 16 per cent. With the strategy of balanced credit growth, while retail banking remains a core strength, ACB will also focus on corporate banking, particularly leading enterprises and foreign-invested enterprises.

Tu Tien Phat, CEO of ACB speaking at the meeting.

In response to shareholders' inquiries regarding the impact of economic developments on ACB’s 2025 business targets, Tu Tien Phat, CEO of ACB said, “Despite economic challenges, including recent US tariff policies, ACB remains committed to its 2025 credit growth targets. Preliminary estimates for Q1/2025 show credit growth exceeding 3 per cent, deposit growth above 2 per cent, and a slight decline in the non-performing loan ratio to 1.34 per cent, indicating effective operational and risk management.”

In 2025, ACB will continue to expand credit and deposit growth, while emphasising asset quality control, boosting fee-based income–particularly in cards and international payments, and investing in subsidiaries to diversify financial product offerings and to better contribute to group performance. The bank will also enhance its digital banking capabilities, encourage technological innovation, and adopt modern, secure digital solutions in operations and transactions.

In 2024, ACB achieved a pre-tax profit of $813.2 million, ranking among the top 7 banks with profits exceeding $774.5 million and in the top 3 most profitable private banks. With 2024 business performance, ACB achieved its targets for the 2019–2024 period of becoming the leading retail bank in Vietnam nearly, with tripled profit and consistent return on equity (ROE) of above 20 per cent.

As of end-2024, total assets reached $33.5 billion, increasing by more than 20 per cent year-over-year, and 7 per cent above target. Loans to customers totalled $22.5 billion, representing a record 19.1 per cent credit growth–well above the industry average and the highest in the bank’s performance in a decade.

Beyond business results, ACB actively supports national policies and State Bank of Vietnam (SBV) initiatives, offering competitive lending rates and launching preferential housing loans for young customers. The bank also facilitates fast and convenient access to banking services by simplifying loan procedures, and enabling online disbursement.

ACB is also among the 10 banks selected by the SBV to pilot the Internal Ratings-Based approach for credit risk and capital management–an important step towards aligning with international Basel standards and strengthening the bank's risk management framework.

In the most recent credit rating updates, Moody’s maintained ACB’s outlook at "Stable," while Fitch Ratings upgraded the bank’s outlook from "Stable" to "Positive" in 2024.

Domestically, FiinRatings assigned ACB the highest rating among rated banks with a long-term issuer rating of "AA+" and a "Stable" outlook.

In March 2025, ACB was named one of Vietnam’s Top 10 Best Banks by Decision Lab (exclusive partner of global research firm YouGov) and was one of the few banks to see an improvement in brand health score.

As a pioneer in sustainable finance, ACB also introduced its sustainable finance framework and disbursed $155 million in 2024 to support businesses aligned with sustainable development goals.

  • Capital poured into agriculture, rural areas

    Capital poured into agriculture, rural areas

    Credit growth for agriculture and rural development in Việt Nam rose 5.31 per cent in the first half of 2025 compared to the end of 2024, accounting for 23.16 per cent of the country’s total outstanding loans.

  • Interest rate developments applied by credit institutions in June 2025

    Interest rate developments applied by credit institutions in June 2025

    State Bank of Vietnam has just released the interest rate developments of credit institutions in June 2025

  • Interest rate cut requires a trade-off in foreign exchange rate

    Interest rate cut requires a trade-off in foreign exchange rate

    Phạm Chí Quang, Director of the State Bank of Vietnam (SBV)’s Monetary Policy Department, talks about the cause of the đồng devaluation and forecasts the đồng in the second half of 2025.

  • SBV Action Plan to implement the National Strategy on Green Growth

    SBV Action Plan to implement the National Strategy on Green Growth

    State Bank of Vietnam (SBV) has coordinated with the German Agency for International Cooperation (GIZ), the International Finance Corporation (IFC), and the Swiss Secretariat for Economic Affairs (SECO) in organizing a Workshop to promote the implementation of the Banking Sector's Action Plan to implement the National Strategy on Green Growth for the period 2021 – 2030, and the Launching Ceremony of the Handbook on Environmental and Social Risk Management System in Credit Granting Activities.

  • Autonomy and stability balanced via credit reform

    Autonomy and stability balanced via credit reform

    The State Bank of Vietnam is setting out a roadmap towards removing credit growth ceilings, accompanied by efforts to enhance the autonomy of credit institutions.

  • More than 86 million bank accounts to be terminated from September 1

    More than 86 million bank accounts to be terminated from September 1

    The SBV stated that the deletion of over 86 million bank accounts was considered a system cleanup measure.

  • Vietnamese banks set for growth on major policy shift

    Vietnamese banks set for growth on major policy shift

    Experts believe that if managed properly, lifting credit room restrictions will enhance lending flexibility, allowing for a more natural adjustment of capital supply and demand, thereby facilitating investment and production needs in the economy.

  • Completing the legal framework for green finance development

    Completing the legal framework for green finance development

    On July 15, 2025, in Hanoi, the Policy Committee of the Vietnam Banks Association (VNBA) successfully organized a Seminar with the theme "Completing the legal framework to facilitate the operations of credit institutions related to green finance". The event brought together many leading experts, representatives of management agencies and financial institutions to discuss solutions to promote the sustainable development of green credit in Vietnam, in line with the country's potential and goals.

  • Vietnam Banks Association debuts its Risk Committee

    Vietnam Banks Association debuts its Risk Committee

    On July 16, 2025, in Hanoi, the Vietnam Banks Association (VNBA) officially announced and launched the Risk Committee under the Association Council.

  • Data is crucial for banking industry to move to new development phase

    Data is crucial for banking industry to move to new development phase

    The banking industry, one of the leading fields in applying technology and digitalising services, has all the conditions to move to a new development phase where data is considered the centre for all operations, decision-making and customer service, Vice Chairman and General Secretary of the Vietnam Banks Association (VNBA) Nguyễn Quốc Hùng said on Wednesday.

Calculate deposit interest
VNĐ
%/year
month
Calculate deposit interest

Loan calculation
VNĐ
%/year
month
Loan calculation