The success of financial companies is attributable to target-specific localisation and strong communications efforts with employees in the Southeast Asian country, a basis for a deeper understanding of corporate and retail customers’ needs.

Woori Bank said that Woori Bank Vietnam, its corporate entity in the Southeast Asian country, provided 6.5 billion KRW (4.69 million USD) in dividends last year, accounting for 10% of the subsidiary’s net income in 2023. Woori opened its Hanoi branch in 1997 and has since expanded its network of businesses throughout 26 locations nationwide.

Woori Bank Vietnam accounted for one-sixth, or 16.4% of Woori Bank’s overseas operation net income. This is a significant portion of Woori’s total overseas business portfolio, since the bank aims to draw 25% of its net income from overseas businesses by 2030.

The Vietnamese entity registered an all-time high net income of 48.96 million USD in 2022. The figure has down slightly to 45.70 million USD in 2023, but had steady strong growth from 2.16 million USD in 2017.

It signed an agreement with two leading local payment and settlement platforms, VNPAY and ZaloPay, in the first half of this year. The entity is a party to a three-way business partnership whereby QR-based services for Vietnam-Thailand transactions will be available.

Lotte Finance Vietnam, a subsidy of Lotte Card, registered a profit of 500 million KRW last month, ending six years of consecutive losses since 2018, when the Korean card issuer acquired Techcom Finance, a Vietnamese consumer finance service provider, to establish the Vietnamese entity.

The success was driven by the development of a comprehensive credit rating system, followed by the introduction of diverse borrowing rates tailored to creditworthiness. It also offered a variety of loan products including unsecured loans, auto loans and payment services which resulted in the fact that Lotte's Vietnamese entity having its low-credit borrowers outnumbered by their high-credit peers.

Hanwha Life’s Vietnamese subsidiary paid dividends of about 5.4 billion KRW early this year, the first for any overseas entities of Korea’s life- and non-life insurers combined.

The Vietnamese entity was established in 2008 and remained unprofitable for the next decade. However, it turned a profit in 2019, and has since generated strong earnings. Its net income from 2019 to 2023 totaled 117.8 billion KRW. All employees of the entity are from Vietnam, except three including the firm's head. It aims to make the list of the top five insurers in the Southeast Asian country by 2030.

Prime Minister attends Vietnam-RoK Business Forum in Seoul

Prime Minister Pham Minh Chinh attended a Vietnam-Republic of Korea (RoK) Business Forum in Seoul on July 1, which attracted 500 delegates from ministries, sectors, agencies and enterprises of both countries.

PM hails RoK people's contributions to bilateral ties

Prime Minister Pham Minh Chinh had a meeting with 70 Koreans who represented organisations and associations as well as standout individuals with significant contributions to the Vietnam – the Republic of Korea ties over the past years, as part of his official visit to the Northeast Asian nation.

Expert suggests Vietnam, RoK restructure growth strategies

Dr. Kwak Sung-il, Director of the Security-Economic Strategy Bureau at the Korea Institute for International Economic Policy, has urged the Republic of Korea (RoK) and Vietnam to restructure their growth strategies toward emerging sectors such as semiconductor or clean energy in light of the rapidly evolving global economic landscape.

PM Chinh's official visit to RoK to deepen strategic cooperation: RoK PM

Prime Minister Pham Minh Chinh’s official visit to the Republic of Korea (RoK) from June 30 to July 3 is expected to help consolidate political trust and deepen the strategic cooperation between the two nations, RoK Prime Minister Han Duck Soo has said.

RoK extends issuance of e-group visa for tourists from Vietnam

The Republic of Korea (RoK)’s Ministry of Justice announced to extend the pilot e-group visa programme for citizens of three Southeast Asian countries of the Philippines, Indonesia and Vietnam by two years.

Parliamentary friendship group to work for stronger Vietnam - RoK ties

Vice Chairwoman of the National Assembly (NA) Nguyen Thi Thanh, who is also Chairwoman of the Vietnam - Republic of Korea (RoK) Parliamentary Friendship Group (PFG), had a meeting with members of the group in Hanoi on June 25.

Source: VNA