| Abstract | Economic growth in 2011 slowed down to 5.89%, the lowest level of recent years, but in line
with the tightened macroeconomic policies to contain inflation, stabilize macroeconomic
conditions and ensure social security in the spirit of the Government. Weakening domestic
demand contributed less to economic growth, while stronger net external demand contributed
significantly due to lower imports growth. Macroeconomic conditions became gradually
stabilized, month-on-month inflation declined steadily in the second half of 2011, trade deficit
decreased sharply, budget deficit reduced, and foreign reserves increased.
Entering 2012, the Vietnam economy faced with various risks and challenges. The world
economy showed complicated developments under the impact of the European public debt
crisis. Domestically, inflation was on the uptrend, current account recorded substantial deficit,
VND was under devaluation pressure.
In a nut shell, Vietnam is facing the downtrend and the important business of the economy
which is bank also facing a lot of problem. All banks need to find solution for high bad debt as
it keeps increasing as well as reduce cost, maintain the customers’ base while they demand
more on excellence services.
However, Vietnam retail banking is huge potential. The population is 87 million and only 20%
population having bank accounts.
Vietnam International Bank (VIB), a young private bank, has big ambitious to be leading bank
in Vietnam is facing the big pressure. In order to achieve their vision and mission, the right
approach in crisis time can have them to gain market share from bigger players and boost up
the position in the market |