Outstanding results in 2024 - Affirming leading position
In 2024, Agribank's business results achieved the highest after 4 years of implementing the restructuring plan associated with handling bad debts in the period of 2021-2025. Agribank fulfilled the business plan targets assigned by the State Bank. At the end of 2024, Agribank's total assets reached over VND 2.2 million, mobilizing capital exceeded VND 2 million, credit balance reached over VND 1.72 million, and the bad debt ratio was controlled at 1.56%. These achievements are the result of all Agribank officials and employees across the country towards the goal for the prosperous development of customers and the community.
In the comparative correlation with the end of 2022, the year Agribank focused on implementing the restructuring plan associated with the handling of bad debts in the period of 2021-2025 after the Prime Minister approved the plan to restructure the system of credit institutions in the period 2021-2025; Towards the 35th anniversary of the establishment of Agribank (March 26, 1988-26.3.2023), ready to successfully implement the Scheme of the Party Committee, the Agribank Development Strategy Project by 2025, orientation to 2030, the total assets, capital and outstanding loans of Agribank have increased by Agribank (of which, the total assets increased by more than 19%, but more than 18%of the whole system increased by the whole system in the whole system in the whole system. Increasing more than 3% by promoting the application of science and technology, digital conversion, towards digital banks, making an important contribution to the development of the national digital economy.
Expanding microfinance Practical solutions for disadvantaged people
As the only state-owned commercial bank with a nationwide network, especially in remote areas, Agribank reserves more than 60% of its investment resources in rural areas along with more than 200 modern, convenient and safe financial products; more than 64,000 effectively operated loan groups; 7 preferential credit policies and 3 national target programs are being implemented synchronously. Thanks to that, millions of farming households, poor households and vulnerable groups have the opportunity to access legal capital, serving production and life.
With the characteristics of a country with an agricultural economy that plays a "supporting" role, the proportion of labor and population in rural areas accounts for the majority, access to microfinance with safe and legal financial services contributes to creating livelihoods, supporting people to improve production capacity, expand business activities, and gradually develop the economy is extremely important. With high determination, not to let any hamlets or villages be "empty" in credit, not to let any household have an effective production and business plan without capital, in some areas, each Agribank credit officer is in charge of thousands of customers, most of which are small loans.
With microfinance programs suitable for each customer group, especially people and production and business households in rural, remote and isolated areas applying preferential interest rates, many individuals and collective economic models have accessed Agribank's capital, helping to develop commodity production, create jobs and increase income for local people.
These efforts have contributed to promoting comprehensive finance, supporting millions of households to escape poverty sustainably, and playing an important role in the construction of new rural areas, developing the local economy and repelling black credit.
Preventing black credit - Specific and drastic actions
Along with the development of microfinance, Agribank focuses on promoting comprehensive financial strategies to help people access mainly orthodox services more smoothly. Accordingly, Agribank has simplified procedures, shortened the disbursement time, and deployed many loan packages without collateral, creating conditions for people to access easy and legal loans. In order to bring bank credit to the people, Agribank deployed a mobile banking model to remote villages; Coordinate with the Women's Union, Farmers' Union, Veterans Association to organize unsecured loans; Strengthen communication on black credit risks and guide people to access official capital from the bank. A number of flexible credit programs have been implemented, helping workers and small business households to access legal capital quickly, instead of having to find informal credit with high interest rates.
With Agribank's efforts to repel black credit, the rate of people in many localities using legal credit services has increased significantly, gradually narrowing the "backbone" of black credit.
Pioneering the implementation of a national comprehensive financial strategy
The national comprehensive financial strategy until 2025, oriented to 2030, approved by the Government, determines the inclusive goal: all people, especially the poor, disadvantaged and rural residents, need to access and use official financial products and services conveniently, at reasonable and safe costs.
In this strategy, Agribank is not only one of the implementing units, but also plays a central role, leading the commercial banking system in popularizing finance to each remote village, hamlet, and commune, including outstanding results:
• Promoting the popularization of financial services to all classes:
With more than 2,300 transaction points, most of which are located in rural, mountainous and island areas, Agribank is the bank with the largest network in the system. Maintaining a wide transaction network is also one of Agribank's efforts to create the most favorable conditions for people to use banking services safely and effectively. This allows financial access to be expanded to hard-to-reach communities, contributing to narrowing the development gap between regions.
• Support vulnerable groups to access capital and official financial services:
Agribank deploys many credit products that do not require collateral, simplify lending procedures, provide small-scale loans, meet the production and business needs of the poor, women, farmers and other vulnerable groups. In addition, Agribank also builds suitable and practical credit packages for workers and small business production households; closely coordinate with mass organizations such as Women's Union, Farmers' Association ... to raise financial awareness in the community, help people avoid financial fraud and access bank capital.
• Effective coordination with national target programs:
The bank actively participates in programs such as Sustainable Poverty Reduction, New Rural Development, Socio-economic Development in Ethnic Minority and Mountainous Areas. Thereby, comprehensive finance is integrated into major national development policies, creating a strong spillover effect.
• Digital transformation - the lever to comprehensively expand finance:
With the orientation of developing digital banking, applying technology to provide banking services remotely, regardless of geographical location, Agribank is gradually eliminating barriers to access financial services for tens of millions of people in remote areas.
Agribank's digitalization strategy aims to not only serve urban customers but also expand digital financial services to rural, remote and isolated people - places with limited access to traditional banking infrastructure. The bank is operating mobile banking vehicles with digital devices to help people transact at points without branches. The bank also uses collaborators in the commune, developing a digital platform to connect people and Agribank
Future orientation: Comprehensive digital transformation, focusing on customers
In the coming period, Agribank will focus on comprehensive digital transformation goals:
• Applying artificial intelligence (AI) and Big Data analysis in customer service and credit decision making.
• Promoting Digital Branch, pure digital banking.
• Restructuring processes, streamlining manual operations, increasing operational efficiency.
Agribank is strongly transforming from a traditional bank with strengths in rural areas to a comprehensive, modern, safe and friendly digital bank for all customers, playing a key role in the process of digitalizing the economy and financial inclusion in the country.
From its role as a bank for "Three Farms", Agribank has risen to become a pillar in realizing comprehensive financial goals - a foundation for sustainable poverty reduction, improving the quality of life and ensuring fair development for the whole society.
