For years, the financial performance of banks placed under special control remained undisclosed. Now, following their mandatory transfer, information about these institutions’ recovery and transformation is gradually coming to light.

The four banks that have completed mandatory restructuring - GPBank, MBV, Vikki Bank, and VCBNeo - are being restructured with a clear focus on becoming digital banks, aiming at younger customers.

Of the four, GPBank is the only one that has not changed its commercial name or brand identity. However, all four have undergone significant overhauls in personnel, technology, and services, resulting in improved business outcomes.

Nguyen Duc Vinh, CEO of VPBank, stated that acquiring GPBank through mandatory transfer helped VPBank diversify its product offerings and strengthen its financial group ecosystem. He added that 2025 will mark GPBank’s first profitable year after a prolonged period of losses.

VPBank Chairman Ngo Chi Dung revealed that GPBank used to post annual losses in the trillions of VND. However, this year, it is expected to generate at least 500 billion VND (approx. 19.7 million USD) in profit.

“We’ve developed detailed action plans for GPBank and are confident in its successful restructuring,” Dung said.

MBV was transferred to its parent bank MB in November 2024. According to Vu Thanh Trung, Vice Chairman of MB, MBV is set to report its first profit in 2025.

MBV benefits from MB’s strong support in personnel, technology, and strategic direction, especially as a testing ground for digital products aimed at younger users.

“Small banks have the advantage of flexibility and closer customer service. They’re ideal laboratories for digital transformation strategies,” Trung noted.

For Vikki Bank, Acting CEO of HDBank, Pham Quoc Thanh, said that a comprehensive restructuring is underway. Once under special control, Vikki is now evolving into a vibrant and youthful digital bank.

“Vikki Bank is undergoing a complete transformation with no bottlenecks in its transition. We’re rolling out retail and SME-focused strategies aligned with our group’s long-term plans,” Thanh shared.

As for VCBNeo, Vietcombank Chairman Nguyen Thanh Tung confirmed that the bank has completed its core banking system migration, now operating on the same platform as Vietcombank to ensure safe and efficient operations.

Technological infrastructure, operational procedures, and staffing are all being reviewed and upgraded to match Vietcombank’s standards.

VCBNeo’s development will follow a digital-only model, minimizing branch networks to optimize costs and align with the broader digital transformation trend across the banking sector.

Tung emphasized that Vietcombank is implementing a detailed recovery roadmap for VCBNeo and expects to report its progress and results to shareholders soon.

In addition to diversifying products as part of financial group ecosystems, these transferred banks are also being granted preferential credit growth quotas by the State Bank of Vietnam.

“With the MBV transfer, MB aims to grow its credit by 24% this year and by 35% in 2026,” said MB’s CEO Pham Nhu Anh.

These institutions have also started attracting significant foreign investor interest.

Under the newly issued Decree 69, starting May 19, foreign ownership at commercial banks receiving mandatory transfers (excluding those with over 50% state ownership) may exceed 30%, capped at 49% of charter capital. This presents a major advantage for VPBank, MB, and HDBank in attracting international capital.

However, Vietcombank and VCBNeo - still majority state-owned - are not eligible for expanded foreign ownership.

The State Bank of Vietnam officially completed the mandatory transfer of the four weak banks in January 2025, nearly a decade after placing them under special control.

OceanBank and CB were transferred in October 2024. OceanBank was handed over to MB and renamed Vietnam Hien Dai Commercial One-Member Limited Bank (MBV). CB was assigned to Vietcombank and renamed Ngoai Thuong Digital Technology Bank (VCBNeo).

In January 2025, GPBank and Dong A Bank followed. GPBank was transferred to VPBank, while Dong A Bank was taken over by HDBank and rebranded as Vikki Digital Bank.

Tuan Nguyen