Techcombank

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• Techcombank The Leading Joint Stock Bank in
  Vietnam

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An Introduction to Techcombank

• Established in 1993
• Main shareholders HSBC Hongkong, Vietnam
  Airlines
• Network over 160 branches and TSOs in 30
  provinces and cities, 300 ATMs with connections
  to an additional 4,000 ATMs operated by Smartlink
  and Banknet
• The 1st Vietnamese bank to successfully introduce
  a modern, international standard core banking
  system in 2003
• Very strong in Trade Finance SME and Micro SME
  Lending
• Payment, Trade Finance Operations and Credit
  Appraisal are centralized in Head Office

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Competitive Position
Techcombank is in the top 4 JSCBs in terms of
capital, assets and net income. At H2 2008.
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Techcombanks Rating
5
Financial Highlights
The 2008s figures are not audited
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Trade Finance in Times of Tight Market Liquidity
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Corporate Banking
Techcombank has a tradition of strength in the
SME sector and the bank is known in the market as
the No 1 bank for SMEs. This segment represents
70 of the banks total loan portfolio and 90 of
its fee income and it will continue to be the
focal point for corporate banking in the future.
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Challenges

• For enterprises
• Banks reduce credit facilities cash flow problem
• Economic downturn loss
• FX volatility loss
• Higher cost of financing loss
• For banks
• Tight liquidity Limited access to fund
• NPL increase Higher provision
• High inflation Lower deposits, higher COF

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Why Trade Finance?

• Attract better funding from correspondent bank
  (Trade refinancing)
• Less risky for the bank (lend on individual
  transactions that self-liquidate from trade
  payment)
• Fee income to compensate low margin
• Good cross-selling opportunities to FX,
  guarantees

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What Techcombank Offers?

• We focus on
• SMEs who operate in trading and manufacturing
• Industries ship building, construction steel,
  metals, fertilizer, rubber, coffee, rice, pepper,
  fishery
• We provide
• L/Cs, Collections, Guarantees, Services
• Import finance import post-shipment financing,
  refinancing
• Export finance packing credit, pre-shipment
  financing, post-shipment financing factoring
• Domestic Trade Supply chain financing

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Techcombanks Competitive Advantage?

• Provide good and consistent service
• Techcombank is the only Joint Stock Bank to have
  a centralized processing centre in Vietnam
• Techcombank provides a Priority service for big
  trade clients
• We are proactive
• Techcombank has a Trade Sales team at HO who
  monitors volume fluctuation/attrition and visits
  customers to listen to their needs.
• We are innovative
• We provide new trade products such as supply
  chain, logistic financing, project package
  financing
• We provide value-added services
• Dox pick-up, dox-prep, dox-check and advisory
• We ensure financing for trade customers even in
  tight liquidity in the market
• Techcombank has the highest growth in retail
  deposits in the market
• Techcombank received a bigger line for import
  refinancing from correspondents and IFC
• Techcombank has a good risk management system to
  select customer

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Volume
Millions USD
(9 months)
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Liquidity Management
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Funding Base
Billions VND
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Funding Base (Continued)

• Deposits have grown steadily as a result of new
  saving products, good interest rates and customer
  incentive offers.
• In 2nd quarter 2008, whilst the general
  Vietnamese banking market faced very tight
  liquidity and difficulties, Techcombank remained
  strong.
• Techcombank maintained a CAR of 14.3 (as end of
  2007) and 11.86 (as end of June 2007)

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Customer Loans and Advances
Billions VND
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Thank You!