Women walk near a Citibank branch in Hanoi, Vietnam July 8, 2015. Photo: Reuters/Kham
Citibank is set to open a wholly owned subsidiary in Vietnam, becoming the seventh wholly foreign-owned bank in the country.
The bank is scheduled to receive an official Letter of Acceptance from State Bank of Vietnam Governor Nguyen Van Binh for the bank’s plans to set up the subsidiary in Vietnam during a ceremony at the US Chamber of Commerce in Washington on Thursday (Vietnam time), news website Saigon Times Online reported.
The ceremony will be attended by Vietnamese Communist Party chief Nguyen Phu Trong, who is paying a five-day visit to the US starting July 6.
Natasha Ansell, Citi Vietnam’s Country Officer, said that the US-based global bank with operations in over 100 countries had expressed its intentions to the State Bank to seek a license to operate as a wholly-owned subsidiary in the country in light of the country’s economic progress.
“We believe that the new structure we will apply will foster Citi’s contribution and development to Vietnam’s banking industry as well as consolidate and strengthen our operational platform to further support local and international clients of Citi in Vietnam,” she said.
Citibank was the first US financial institution to receive a branch license and the first US bank to open a full branch in Hanoi in 1994, followed by another in Ho Chi Minh City in 1998.
Six wholly foreign-owned banks licensed in Vietnam are Standard Chartered Bank, ANZ, HSBC, Hong Leong Bank, Shinhan Bank and Public Bank Berhad (PBB).