Hanoi, 31 December 2015 – The State Bank of Vietnam issued Document No. 10146/NHNN-TTGSNH approving BIDV’s proposal for establishment of a representative office in Moscow, Russia Federation. The establishment of the office in Moscow is the next step in the bank’s strategy for international integration, making BIDV the only Vietnamese bank to have a commercial presence in the Russian Federation.

 

​Along with a representative office in the Czech Republic, BIDV’s representative office in Moscow will be BIDV’s extended arm in the European market. In the long run, it is more likely that the bank will open a branch/subsidiary bank in the Russian Federation at an appropriate time.

With the Vietnam - Eurasian Economic Union FTA being concludedin 2015 and taking effect from 2016, opportunities for cooperation between Vietnam and Russia will increasingly be strengthened and expanded, aiming to hit the expected two-way trade turnover of USD10 billion by 2020. To achieve the goal of mutual cooperation and address challenges, the two markets should establish a close connection of information on investment and trade opportunities in a frequent and open manner. The establishment of a unit as a focal point to connectinformation, tap investment opportunities and support trade promotion at this time is essential.

Shortly after the conclusion of the FTA, BIDV studied and decided to establish a representativeoffice in Moscow in order to collect economic information, connect businesses and markets. After thorough preparation, in July 2015, BIDVfiled documents for licensing the establishment of the office to the State Bank of Vietnam and was officially approved on December 31, 2015.

Mr. Tran Bac Ha, BIDV Chairman, said: “BIDV representative office in Moscow would support and promoteeconomic, trade and investment cooperationbetween Vietnam and the Russian Federation. The office would function as a unit to collect information, research market and identify cooperation opportunities. The office would also establish and develop relationship and act as a liaison forBIDVand relevant authorities, partners, existing and potential customers in Russia, thus helping enhance the image and position of BIDV in the domestic and international markets”.

The Russian market is one of BIDV’s special interests, defined as a strategic market for development. In 2006, BIDV partnered with VTB Bank (one of the largest banks in Russia) to establishVietnam - Russia Joint Venture Bank (VRB). So far, VRB is considered one of the symbols for economic cooperation between Vietnam and the Russian Federation.

In 2010, BIDV signed a credit contract to fund Hanoi - Moscow Cultural, Trade and Hotel Center project in Moscow. It is the largest commercial center of overseas Vietnamese in general and in Russia in particular, and is expected to promote Vietnamese culture and fame to the local market.

BIDV has established correspondent relations with over 30 Russian commercial banks and financial institutions withpayment volumeincreasing over the years.