The central bank has approved South Korean bank Woori's proposal to establish a unit in Vietnam, which will be the sixth fully foreign-owned lender in the country.
Woori, South Korea’s biggest lender in terms of consolidated assets as of the end of March, reportedly planned to launch its Vietnam unit by July, but the State Bank of Vietnam only gave a nod on Tuesday.
VnEconomy reported that the bank is now completing procedural requirements.
South Korea is now the biggest foreign investor in Vietnam, with large projects from tech giants such as Samsung Electronics and LG Electronics.
A free trade agreement between South Korea and Vietnam came into effect last December and is expected to boost investment further.
Woori Vietnam will join other fully foreign-owned banks – HSBC, ANZ, Standard Chartered Bank, Shinhan Bank and Hong Leong Bank, whose registered capital has totaled more than US$814 million by the end of 2015.