This flyer, produced by PricewaterhouseCoopers, looks at the prospects for market development in the Vietnamese financial services sector and how international groups can address them. According to the report, financial services markets in Vietnam are expanding rapidly. However, retail and the Small and Medium Enterprises (SME) market penetration is still relatively low, offering considerable opportunities for further growth.
- The banking sector in Vietnam has been expanding at around 20% per annum since the beginning of the decade and has now reached some $80 billion in total assets.
- The potential for further expansion as the economy develops and incomes increase is evident from the fact that only around 5 million people have bank accounts and even fewer have credit cards.
- The revenues of the top 10 banks increased by an average of more than 50% and their profits by an average of 195% in 2006, as demand soared, efficiency improved and costs decreased.
- Insurance is a fast growing but still largely untapped market.