Citi’s bank services group has been appointed trade finance bank for Vietnam Technological and Commercial Joint-Stock Bank (Techcombank.)
The bank services group, a division of global transaction services, will provide a number of trade finance solutions to Techcombank, which will be offered to exporters and importers.
Specifically, Citi will offer trade advances for trade financing as a way of increasing Vietnamese exporters’ funding options.
Furthermore, Techcombank will also take advantage of Citi’s standing with international organisations and export credit agencies to secure sources of financing that may not have been available to the bank before.
This flexible and cross-border financing will be made available to Techcombank’s clients from major export markets including Australia, China, India, Korea, Malaysia and Russia.
Brett Kraus, managing director, country officer for Vietnam at Citi, says: “Citi has further solidified its standing as the leading provider of trade financing solutions to banks in Vietnam which are looking to support clients as they expand their business regionally and globally.”
Nguyen Duc Vinh, chief executive officer of Techcombank, adds: “Citi has been a long-term and important partner to us. We highly appreciate the collaboration with Citi in all banking business areas, especially across international banking and trade financing. We are confident that such cooperation will contribute significantly to Techcombank’s effort to become the leading bank in Vietnam.”
This comes after Techcombank recorded a consolidated pre-tax profit of US$126mn last year, as well as being recognised as the most active issuing bank in East Asia in 2008 and 2009 by the IFC.
Munir Nanji, managing director, regional head of banking services group, Asia Pacific at Citi, comments: “Vietnam’s corporate space continues to evolve and its banking sector has proactively taken steps to ensure that clients’ demands are met. Techcombank has made a major move in realising its goals and given Citi a phenomenal endorsement in Vietnam, a market where we see great potential to partner with leading financial institutions.”