Eximbank wins “Best Annual Report 2011” Award

On 05 July, 2011, Vietnam Export Import Commercial Joint Stock Bank (Eximbank) was honored with the award "Best Annual Report 2011" jointly bestowed by the Ho Chi Minh City Stock Exchange (HOSE) and the Stock Investment Magazine. The poll for the best annual report in 2011 attracted the participation of 650 enterprises’ annual reports of which 37 are selected for finalist and then 7 businesses are chosen to win the “Best Annual Report 2011” prize. This is the second consecutive year Eximbank has the honor of being chosen as the winner of this award.

Eximbank has been rated as one of the professional banks in terms of information disclosure, enhancement of transparency policy and high efficiency in operation. The bank is also aware of the role of a business in information disclosure, especially when Eximbank has had its shares listed on the stock market. Therefore, Eximbank’s shares have drawn much attention and high appreciation of investors thanks to its liquidity and sustainable growth. During the past time, despite certain difficulties in the market as well as in the banking industry since the global financial crisis occurred and its aftermath lasted so far, Eximbank is not only confident to overcome challenges but also gradually affirms its position in the Vietnamese financial market.

As one of the joint stock banks having a large amount of charter capital (10,560 billion dong) together with its plan to increase its capital by 17% this year, the operating targets set forth by Eximbank must always be corresponding to such potentiality, which imposes much pressure on the Board of Directors and the Board of Management of Eximbank in ensuring interest of shareholders. However, with the profit before tax of 2010 of 2,378 billion dong, achieving 108% of the target, Eximbank is considered as one of the banks having excellently accomplished its profit target in spite of market difficulties.

Under the plan approved by the Annual General Meeting of Shareholders in mid April 2011, this year Eximbank sets its profit target at 3,000 billion dong and dividend payout ratio at 15%. In order to achieve such results, Eximbank’s Board of Management has run the business flexibly and timely grasped the trend of market fluctuations to actively respond to, minimize risks, and improve the efficiency in business operation so as to ensure the sustainable and safe development for the bank, as well as maximize benefits for shareholders. According to Eximbank, with particular activities of the banking industry, transparency is essential and indispensable in business, especially when Eximbank’s shares have been listed on HOSE. Accordingly, the information disclosure must be complete, accurate and timely in accordance with the laws, which reflects the transparency of information.

From Eximbank’s perspective, that is the foundation of sustainable growth, especially in banking operation. Consequently, the annual report is regarded as a special publication which always receives the attention of the management of Eximbank and is self-made by the Bank in terms of both content and form. Specifically, as for the content, except for the financial statements which are jointly audited by Eximbank and the audit firm, other contents are compiled and edited under a certain procedure with the Business Development Division being the coordinator. To produce an annual report with high-quality content, it is essential that the team of editors of Eximbank must understand the banking operation and understand the situation in the country and abroad to analyze and reflect the bank's activities in 2011.

Eximbank will constantly improve the reporting system and perfect its operation in an effort to bring the fast and most accurate bank’s information to customers, shareholders, investors, etc. On the other hand, the information disclosure must be complete, accurate and timely in accordance with the laws, which reflects information transparency. Therefore, Eximbank has set up its Investor Relations unit who is responsible for providing information as required for a listed enterprise by the competent agencies to ensure transparent and prompt information delivered to investors. In addition, the IR unit also undertakes the task of establishing, expanding, maintaining and strengthening relationships with domestic and foreign investors as well as international organizations, and often receives investors coming to learn about the performance and strategic orientation in each stage of Eximbank.

With the aforesaid policy, Eximbank has gradually asserted its position in the financial market since its business result always exceeds the set targets. Entering 2011, the management of Eximbank foresees certain difficulties in the context of surging inflation. Due to the tight and prudent monetary policy to control inflation, the credit growth rate this year is restricted under 20%. Nevertheless, based on the performance of Eximbank in 2010, the internal resources as well as the inherent strengths, Eximbank has developed a business plan in 2011 on the basis of ensuring the harmony between the general governing orientation of the State Bank of Vietnam and the targets of sustainability, safety and effectiveness.