Hanoi, September 18, 2015 – The Bank for Investment and Development of Vietnam JSC (BIDV) and Van Loc LPG Export - Import and Trade JSC (VALEXIM) inked the agreement to provide commodity swap LPG price product. Representative from State Bank of Vietnam attended the signing ceremony.

​Based on the agreement, BIDV committed to provide and consult VALEXIM about the commodity swap LPG price product, supporting VALEXIM to hedge risks against LPG price fluctuation in the period 2015-2016. The maximum transaction value is USD30 million.

The agreements was resulted from successful first commodity swap LPG price transaction conducted by BIDV in August 2015, helping VALEXIM more proactive in setting business plan and reduce risks amid LPG fluctuation. BIDV is the first commercial bank successful implementing this kind of product.

VALEXIM was established in 2016. The company main business scope is import and export LPG. VALEXIM is one of few Vietnamese companies meeting the requirements stipulated at Decree 107/2009/ND-CP dated November 26, 2009 on importing of LPG. The company owns a LPG storehouse with the capacity of 3,000 tons, being one of companies owning large LPG storehouse in the North of Vietnam. Aiming to be the largest LPG provider in Vietnam, VALEXIM is expanding its distribution network and applying financial tools, especially commodity derivative products to enhance business effectiveness and ensure sustainable development.

BIDV is the pioneer bank in Vietnam providing the derivative products in general and commodity derivative products in particular. BIDV started research and provided these kinds of products since 2006. Until now, BIDV has a portfolio of diversified derivative products including futures, options, swaps of various commodities such as coffee, rubber, corn, soybean, cotton, metal, LPG, jet fuel and so on.

BIDV is the sole bank in Vietnam honored to receive the award “Vietnam House of the year” by Asia Risk Magazine in four straight years (2012-2015). This award remarked upon the bank’s quality derivative product as well as risk hedging services.

The commodity swap LPG price agreement between BIDV and VALEXIM not only marked a development phase in commodity derivative market of BIDV in particular in of Vietnam in general, but also confirmed the synchronous business policy of BIDV “Share opportunities, Share success”.

For more information, please contact:

The Bank for Investment and Development of Vietnam JSC (BIDV)

Tel: (+84) 4.2200485

Website: www.bidv.com.vn