Board of directors’ assessment on bank performance

Governance

With the commitment on setting up the highest standards on ethic and professionalism values in all operations, 2020 was recorded with ABBANK’s fulfillment, namely:

Fully and regularly update the operation on the Bank website, IDS portal and Annual Report in accordance with the regulation on information disclosure on the stock market promulgated by the Ministry of Finance.
Enhance to design and promulgate the internal regulations and policy framework on the Bank governance and operation.
Pay attention and show the high responsibility for governance and administration such as: Continue enhancing the launch of ABBANK’s strategy orientation, perfect the organizational structure of HO Units and BUs to satisfy the Bank’s development demand, etc.
Direct to successfully fulfill the Bank’s important projects, namely “Improving ABBANK performance and operation”, LOS, Data Governance system, applying digital bank in payment operations.

Environmental and social

responsibility

ABBANK’s environmental policy and social and environmental risk management system were formulated with science-based standards and strictly implemented. This proved that ABBANK’s great determination and efforts in complying with the new Principles on a responsible Bank; associating the environmental protection in business; satisfying the national laws and the international practices and standards to control and minimize the costs on the loss of natural resources, environmental pollution and depletion of the ecosystem during credit grant to economic activities.

ABBANK always raises a high sense of social responsibility

Together with maintaining a stable business, development and control of the environmental and social impacts of the sponsored projects, ABBANK always raises a high sense of social responsibility and green-clean-beauty environment protection, maintenance and development.

Activities towards underprivileged persons

Moreover, ABBANK also maintained a big part of its budget to activities towards underprivileged persons or development of facilities, offering a scholarship to the areas where a series of difficulties have struggled through annual programs such as education and health care sponsor, etc.

ABBANK also shared the environmental responsibility

With social security activities, ABBANK also shared the environmental responsibility through internal activities to contribute its part in preventing the climate changes, growth of green outstanding debt balance in the finance sector as well as showing the environmental responsibility. ABBANK has invested and studied the green credit packages to encourage the borrowers under an agreement to comply with the environmental risk management requirements, monitor and supervise the borrower’s compliance with the Bank’s credit surveillance procedure. ABBANK’s high sense of environmental protection is also demonstrated by using environmental-friendly offerings such as: No more using the plastic cover of saving account passbook, using a paper bag and nonwoven cloth bag instead of plastic bags, etc.

Better assessment and control of credit risk

Better determination, assessment and control of credit risk for loans due to environmental and social issues shall open up opportunities for cooperation, attract the resources and support from the international financial institution when climate changes, green growth and sustainable development become a great concern of the international community.

Cooperate to research and develop green credit support products

ABBANK will cooperate with domestic and foreign organizations and agencies to research and develop green credit support products, expand market share thanks to new environmentally friendly products/ services (sponsor for energy efficiency, renewable energy, clean technology, unexploited markets, etc.), enhancing the available customer networks and attracting qualified customers to gradually increase the green credit density in credit portfolio structure; focus on R&D, launch the environmental & social risk management solutions in credit granting activities.

Board of Management and

THE BANK’S OPERATION

ABBANK stably and effectively operated as expected in 2020.

Although the global and local economy was significantly affected by Covid-19 in 2020, ABBANK still ensured its operation safety, business development, effective debt settlement and risk management in accordance with the standard, profitability improvement and average growth.

ABBANK’s business was supported by stable deposit sources, good liquidity, improved and safer asset quality. ABBANK was continued to be named as the leading top private Commercial Joint Stock Bank with high credit in the Vietnam market.

The Board of Directors recognized that ABBANK's 2020 operation was recorded to exceed the profit before tax approved by the General Meeting of Shareholders. In December 2020, concentrated securities trading registration procedures at UPCoM were successfully fulfilled by ABBANK.

BOD plans and

orientations

At the end of 2020, under the direction of the Board of Directors, the 2021 business plan target set and medium growth plan were basically completed by the Board of Management, including 05 strategic objectives for the period of 2021 – 2025, and approved by the Board of Directors.

Accordingly, the Board of Directors directed and monitored to fulfill the ambitious business goals with average annual profit growth of 30% in the period of 2021 - 2025 with a specific action plan assigned to the Board of Management and BUs, focusing on the following fields:

1

In-depth attraction and exploitation of high-class, mass and SMEs in each appropriate area;

2

Launch the investment banking services;

3

Enhance the sales capacity at the counters;

4

Concentrate and optimize the credit operation, appraisal and approval activities;

5

Actively conduct risk management under the standards;

6

Strengthen the financial analysis capacity;