BOARD OF MANAGEMENT’S REPORT & ASSESSMENT
Members of the Board of Directors and Executive Board of HDBank, HD SAISON, HDS, Vikki Bank.
Overview of HDBank’s performance
In 2024, HDBank remained committed to our green and sustainable development strategy, consistently integrating digital technology for retail customers and small businesses in developing rural and urban areas. We also took the lead in establishing an ESG Committee to oversee the sustainability report publication and initiatives, thereby raising awareness of ESG principles within Vietnam’s business community. With the directions and strategies set by our Board of Directors and the timely and effective guidance of our leadership, we further improved our efficiency and prudential indicators, demonstrating our sound approach to sustainable development strategy.
We also continued to solidify our position as one of the top, universal retail banks with a strong foundation, good financial health, sustained high growth capacity, and consistent profitability over the years. The focus of our sustainable growth strategy and strong digital transformation has been on high-quality retail customers and SMEs, especially those in tier-2 urban areas and rural places within high-potential supply chains.
Notable achievements
HDBank launched Vikki Digital Bank, a significant milestone in our “Digital Era” breakthrough strategy. With a modern digital finance platform, Vikki by HDBank was named “Digital Bank of the Year” by MasterCard at the annual awards ceremony recognizing excellence in finance, banking, and technology.
- The Galaxy Innovation Hub has integrated IoT (Internet of Things) technology to automate building management and operations, thereby enhancing performance, security, and cost savings while minimizing environmental impact.
- The Digital Core Banking Thought Machine project has been launched - a world-class, next-generation core banking solution, expected to be completed in Q2 2025.
- HDBank is among the first banks to implement biometric data collection and authentication in customer transactions, fully complying with Decision No. 2345 as per SBV’s Circulars No. 17 and 18.
- The bank is honored to be selected for the implementation of the Government’s Project 06, with over 200 hospitals nationwide signing agreements to use HDBank’s Kiosk solution within the first six months of its roll-out.
- HDBank has launched the VikkiGO 3-in-1 card, which is free for customers to use on Ho Chi Minh City’s first Metro line.
- HDBank was selected by the Government and SBV for the mandatory transfer of DongA Bank.
Financial Performance
TOTAL ASSETS
0 VND billion
15.8% compared to 2023
CHARTER CAPITAL
0 VND billion
Increased to VND 35,101 billion from VND 29,076 billion
CREDIT PERFORMANCE
Total credit
0 VND billion
23.85% compared to 2023
CREDIT QUALITY
Consolidated NPL ratio
0%
Separate NPL ratio
0%
Balance between credit growth, NPL control and sustainable development
DEPOSITS
Total deposits
0 VND billion
increase/decrease of 15.7% compared to 2023
PROFIT BEFORE TAX
0 VND billion
28.5% compared to 2023
CAPITAL ADEQUACY RATIO
Capital adequacy ratio (CAR)
0%
Improvements in organizational structure, policies, and management
Technology advancements with an end-to-end digital transformation program
Aiming to become a “Happy Digital Bank,” HDBank has led the digital transformation trend to deliver the best customer experience. In 2024, HDBank introduced cutting-edge digital solutions, enhancing our brand appeal in the market. HDBank’s digital ecosystem has continued to expand, integrating different customer journeys. Our branches have been gradually evolving into digital business spaces, not only meeting traditional banking needs but also catering to a growing customer base that embraces digital technology.
- HDBank has also fully sponsored Kiosk MediPay, a smart healthcare digital solution, to support digital transformation in the healthcare sector, in line with the Government’s and Ministry of Health’s directives. The solution has enabled quick registration for medical services, standardized patient data through e-identification and e-authentication of patients’ ID information with the Ministry of Public Security’s RAR Center database, and facilitated 100% cashless hospital payments, where smart hospital payment accounts are linked with patients’ medical care accounts and IDs.
- HDBank has launched the Petrolimex 4-in-1 card, integrating credit card, debit card, prepaid card, and Petrolimex ID (Petrolimex’s loyalty account), making it easier for customers to transition into the card payment era.
- As a forerunner in digitalization through biometric technology, HDBank is one of the first banks to implement Decision No.2345, integrating biometric authentication simultaneously across all customer platforms, such as Mobile Banking, Muadee by HDBank, Vikki Digital Bank, transaction counters, and Internet Banking.
- HDBank is a pioneer in adopting the newest technologies, notably cardless cash withdrawal via in-app QR codes, allowing customers to withdraw cash anytime - without needing a physical card.
- By leveraging machine learning and digital transformation, HDBank has introduced one-touch in-app payments, enabling personalized transactions and ensuring a fast and seamless payment experience.
- Through the simultaneous roll-out of powerful digital solutions, HDBank has enhanced customer outreach and engagement through new, time-saving, and optimized experiences.
- The number of new customers grew by over 100% compared to 2023
- Online channels accounted for more than 80% of 2024 new customer acquisition
- The number of eBanking users increased by over 90% compared to 2023
- Total digital transactions rose by 72% from last year
- Digital transactions accounted for nearly 94% of 2024 retail financial transactions
- Online savings account balances grew by over 70% compared to 2023
A strong foundation for high and sustainable growth
Today, HDBank is not simply a bank with impressive financial indicators but a comprehensive ecosystem where different business segments complement and leverage one another. Under the visionary leadership of the Board of Directors and leadership, HDBank has evolved into a multi-sector ecosystem, where banking, aviation, energy, and real estate create unique synergies.
Understanding the future trends of Vietnam’s younger generation, including increased experience, simplicity, personalization, and digital connectivity, and leveraging our existing high-potential customer and partner ecosystem, we have enhanced digital banking adoption - introducing payment infrastructure and unique e-wallet services. Our digital ecosystem connects existing customers and partners, forming a modern platform that meets essential and daily consumer needs. HDBank’s in-app digital ecosystem of services has been developing and expanding its reach to meet customer needs - ranging from financial services (such as money transfers, account opening, stock trading, smart credit card statement management, savings, loan applications, and online gold trading) and online shopping to entertainment and travel, with features such as booking flights, train and bus tickets, taxis, flowers, and movie tickets.
Sustainable development strategy with ESG-related initiatives
In 2024, HDBank remained committed to our green and sustainable development strategy, consistently integrating digital technology for retail customers and small businesses in developing rural and urban areas. Green finance is not just a trend but a commitment, as HDBank develops renewable energy projects and improves environmental quality, aligning them with business operations to generate long-term value for stakeholders and the community. HDBank has been at the forefront of financing renewable energy projects, launching green credit products, and implementing technology solutions to minimize environmental impact, particularly carbon emissions.
- We also took the lead in establishing an ESG Committee to oversee the sustainability report publication and initiatives, raising awareness of ESG principles within Vietnam’s business community.
- For many years, HDBank has worked closely with international financial institutions such as ADB, WB, IFC, Proparco, and DEG. Notably, ADB and Proparco have significantly increased HDBank’s credit limit by hundreds of millions of USD.
- HDBank has received prestigious international awards, including the ADB’s Green Deal Award (2019), The Asset’s Best Bank for Sustainable Finance (2022), and most recently, The Asian Banker’s Best Green Financing in Vietnam (August 2024).
- Alongside business achievements, HDBank actively participated in social programs, including a VND 12,000 billion preferential credit package to support post-Typhoon No. 3 economic recovery and a VND 80 billion contribution to the reducing temporary and dilapidated housing program launched by the Prime Minister.
We have continuously enhanced our workforce quality, improved our productivity, as well as fostered and promoted our corporate culture
NUMBER OF PERSONNEL
0 employees
10,592 of whom are HDBank staff
0 employees
6.8% compared to 2023
HDBANK EMPLOYEES WITH OVER 5 YEARS OF TENURE
0% / of the total staff
AVERAGE INCOME OF HDBANK’S EMPLOYEES
0 VND million/month
27.1% compared to 2023
HDBank is the only bank to be honored for 7 consecutive years as one of the
“Best Companies to Work for in Asia”
by HR Asia for seven consecutive years
BUSINESS PLAN GOALS AND DIRECTIONS
In 2025, the global economy is projected to experience stable growth, albeit below the long-term average. Global inflation is expected to decline, international trade to recover, the US dollar to appreciate, and global stock markets to rebound, while national policy trends undergo significant changes. Forecasts for 2025 global economic growth present both opportunities and challenges for Vietnam. In 2024, Vietnam’s economy ranked among the highest-growing in the region and globally, paving the way for a promising new year. A number of international organizations maintain an optimistic outlook on Vietnam’s 2025 economic prospects. With policy stability, digital transformation, and commitment to sustainable development, Vietnam has the potential to maintain its position as a growth leader in Southeast Asia and beyond.
The year 2025 presents both opportunities and challenges for the banking sector. Credit growth, digital transformation, and international capital flows will serve as key drivers of development. However, pressures from exchange rates, interest rates, and intense competition will require banks to be flexible. Experts suggest that innovation and effective risk management will be the key to advancing the banking sector within the global financial market.
HDBank is well-positioned to remain one of Vietnam’s top-performing banks in 2025. By focusing on green credit, digital transformation, and sustainable development, we aim not only to expand our market share but also to enhance our brand value and make meaningful contributions to socio-economic development. HDBank will continue our strong transformation by integrating cutting-edge technology with a sustainable business model.
2025 business plan
| Item | 2024 | 2025 plan | Growth vs.2024 |
|---|---|---|---|
| Total assets | 697.366 | 890.442 | 28% |
| Charter capital | 35.101 | 35.101 | 0% |
| Owner’s equity | 56.657 | 73.332 | 29% |
| Total deposits(*) | 621.119 | 792.812 | 28% |
| In which: Customer deposits + Valuable papers issuance | 518.855 | 661.271 | 27% |
| Total outstanding balance (**) | 437.731 | 579.896 | 32% |
| Profit before tax | 16.730 | 21.179 | 27% |
| Profit after tax | 13.248 | 17.035 | 29% |
| ROE | 25,7% | 26,2% | 2% |
| ROA | 2,04% | 2,15% | 5% |
| NPL (in accordance with Circular 31/2024/TT-NHNN)(***) | 1,48% | ≤ 2,00% |
(*) Total deposits include: Government and State Bank borrowings, customer deposits, issuance of valuable papers, entrustment investment capital, and deposits and borrowings from credit institutions.
(**) Total credit balance must not exceed the credit growth limit approved by the State Bank of Vietnam.
(***) NPL ratio: calculated in accordance with Circular No. 31/2024/TT-NHNN.
2025 key objectives
EXPLANATION OF THE BOARD OF MANAGEMENT TO AUDITORS’ OPINIONS
CPwC Vietnam Limited gives no qualified opinion, emphasis of matter or other matter on the 2024 financial statements of Ho Chi Minh City Development Joint Stock Commercial Bank.