Advantages and challenges intertwine

According to Ms. Nguyen Viet Ha, Director of Agribank Tuyen Quang Branch, 2024 is a year of clear socio-economic recovery in Vietnam, thanks to the wise leadership of the Party Central Committee, the close coordination of the political system, and the unanimous efforts of the people, businesses, and the support of international friends. All levels and sectors have proactively and flexibly managed and resolutely implemented key tasks, helping the macro-economy to stabilize, inflation to be controlled below 4%, with the average consumer price index increasing by 3.78%. GDP growth reached over 7%, the monetary market and exchange rate were basically stable, and interest rates decreased compared to 2023, creating favorable conditions for production and business activities.

In Tuyen Quang, the socio-economy continues to develop, national defense, security, and social security are ensured, and people's lives are stable. The gross regional domestic product (GRDP) increases by 9.04% compared to 2023, with the value of agricultural, forestry, and fishery production reaching over VND 12,919 billion, up 4.25%; industry and construction reaching VND 14,452 billion, up 14%; the service sector reaching VND 21 billion, up 9.38%; product tax minus subsidies increasing by 7.18%. State budget revenue reaches VND 4,150 billion, up 33% compared to 2023, with 19/20 socio-economic targets completed and exceeding the plan. Supportive policies from the Government and the State Bank of Vietnam (SBV), such as Directive No. 14/CT-TTg dated May 2, 2024 on monetary policy management, Directive No. 01/CT-NHNN dated January 15, 2024 on the tasks of the banking sector, along with directives from the SBV of Tuyen Quang province and Agribank, have created a solid foundation for the branch's business operations. In particular, national target programs, Project No. 06, and Circular No. 15/TT-NHNN on non-cash payments have promoted a modern financial environment, supporting businesses to access capital effectively.

However, the branch also recognized significant difficulties in 2024. The global economy is recovering slowly and unsteadily, due to strategic competition between major countries, political and military conflicts, and declining trade and investment. Natural disasters and climate change, especially storm No. 3, have caused severe damage in Tuyen Quang, affecting local lives and economy. Domestically, despite economic recovery, challenges from natural disasters and floods still put great pressure on businesses and banks. These factors require Agribank Tuyen Quang to deploy flexible and synchronous solutions to maintain growth and support customers to overcome difficulties.

Business results broke through, exceeding plan

According to Ms. Nguyen Viet Ha, 2024 marks an important turning point in the successful implementation of the Resolution of the Party Congress of Agribank Tuyen Quang Branch for the 2020-2025 term. The branch has united, made efforts to overcome difficulties, and synchronously implemented solutions to complete and exceed 6/6 business targets assigned by Agribank, including capital, outstanding debt, service revenue, finance, debt collection, risk handling, and bad debt control. Service business activities have been stable and safe, affirming the position of a leading commercial bank in the agricultural and rural market.

Regarding capital mobilization, the branch achieved a capital source of VND 12,535 billion as of December 31, 2024, an increase of VND 1,636 billion, equivalent to 15% compared to 2023, exceeding the growth plan by 210%. Of which, institutional deposits reached VND 1,407 billion, and residential deposits reached VND 11,128 billion, demonstrating strong trust from customers. Regarding credit, total outstanding loans reached VND 11,812 billion, an increase of VND 1,518 billion, equivalent to 14.8% compared to 2023, exceeding the plan by 145%. Personal outstanding loans reached VND 8,609 billion, while corporate customer outstanding loans reached VND 3,203 billion, an increase of VND 285 billion, accounting for 27% of total outstanding loans. Notably, the business loan turnover in 2024 reached VND 3,710 billion, affirming the branch's role in supporting local businesses.

Bad debt control also made an impression, with bad debt balance reduced to VND 85 billion, bad debt ratio of only 0.72%, 0.48% lower than the plan assigned by Agribank (1.2%). In particular, bad debt balance of corporate customers decreased to VND 10.2 billion, ratio of 0.32%, down VND 20.1 billion compared to 2023. Debt collection for risk settlement reached VND 25.4 billion, exceeding 212% of the plan, while service revenue reached VND 56.21 billion, exceeding 102.5% of the plan, and finance reached VND 368.75 billion, exceeding 103% of the plan. These figures reflect the effectiveness in risk management and optimization of the branch's business operations.

In the first quarter of 2025, the branch continued to maintain its growth momentum. Mobilized capital reached VND 12,897 billion, an increase of VND 362 billion, equivalent to 2.9% compared to 2024, exceeding 118% of the plan. Outstanding credit reached VND 12,324 billion, an increase of VND 512 billion, equivalent to 4.3%, exceeding 173% of the plan. Corporate customer loan turnover reached VND 965 billion, with outstanding corporate customer loans increasing to VND 3,288 billion, an increase of VND 85 billion, accounting for 27% of total outstanding loans. Preferential credit programs for corporate customers, such as cooperative loans under Resolution 03/2021/NQ-HDND, reached VND 48.3 billion with 33 customers, and loan packages to support large, small, and micro enterprises, investment projects, import and export, and FDI enterprises, with a total cumulative turnover of more than VND 1,798 billion, demonstrating a strong commitment to supporting businesses.

In addition, the branch has invested heavily in digital transformation, applied AI technology, and maintained online conferences and professional inspections via camera systems. Communication work has been promoted through cooperation with local press, diversifying information channels, and preventing 8 cases of fraud via social networks, protecting customers from losses of nearly 1.5 billion VND. Regarding social security, the branch contributed 10,929.8 million VND, supporting education, health care, housing for the poor, and overcoming the consequences of storm No. 3, along with activities to honor war invalids and martyrs. However, the branch also acknowledged some limitations, such as lower average outstanding loans and capital per staff compared to other credit institutions, and credit growth concentrated in the last two quarters of 2024, leading to suboptimal financial efficiency.

Orientation 2025: Preferential credit, digital transformation, and sustainable development

Looking to 2025, Agribank Tuyen Quang aims to make a breakthrough in scale, achieving the average of regional business targets, with capital increasing by 10-12% compared to 2024, outstanding loans increasing by 12-13%, of which outstanding loans to corporate customers increased by 387 billion VND, equivalent to 12.1%, and the bad debt ratio controlled below 1%. The branch is committed to completing 100% of the plan assigned by Agribank, complying with safety ratios according to regulations, and developing comprehensive products and services.

To achieve the goal, the branch proposes key solutions in granting credit to corporate customers. First of all, the branch will strictly comply with the provisions of the law, the State Bank, and Agribank on lending, loan guarantees, and registration of secured transactions, creating favorable conditions for businesses to access capital. The appraisal, inspection, and monitoring of loan use will be enhanced, with management of related customer groups right from the data entry stage, ensuring data standardization for effective information analysis. The branch will maintain its traditional corporate customer base, closely follow the progress of disbursed projects, and at the same time expand access to new businesses and cooperatives through preferential credit programs.

Cooperation with departments, branches, associations, and the Provincial Cooperative Union will be promoted to appraise and grant credit to feasible projects, focusing on key economic programs, OCOP products, and key crops and animals according to the province's projects and resolutions. The branch will regularly work with businesses to grasp difficulties, implement financial solutions such as restructuring debt repayment terms, reducing interest rates, or supplementing preferential capital, helping businesses recover production and business. In particular, digital transformation will be prioritized, with the promotion of digital banking models, process automation, and product and service optimization, bringing better experiences to corporate customers.

With impressive results in 2024 and strategic orientation in 2025, Agribank Tuyen Quang Branch is affirming its pivotal role in the local financial system, accompanying businesses, contributing to building a sustainable Tuyen Quang in the new era.

Source: https://thoibaonganhang.vn/agribank-tuyen-quang-tru-cot-tai-chinh-dong-hanh-phat-trien-ben-vung-cung-kinh-te-khu-vuc-163653.html