Examining Credit Risk Management for Banks in Vietnam: A Case Study on Bank for Investment and Development of Vietnam- Hai Duong Branch

• Main Authors: Nguyen Quang Trung, 阮光中
• Other Authors: 陳碧雲
• Format: Others
• Language: en_US
• Published: 2014
• Online Access: http://ndltd.ncl.edu.tw/handle/87950470639019894611

碩士 === 樹德科技大學 === 經營管理研究所 === 102 === This study is carried out to examine the status of credit risk management at BIDV, Hai Duong branch in order to find out the problems that still exist. After analyzing the problems existing in credit risk management, the study helps to figure out the causes and the solutions to improve the efficiency of the risk management of credit activities at BIDV, Hai Duong Branch. To achieve the above research purpose, qualitative research methodis applied for this study. Direct interviewmethod is used to collect data. The interview is conducted with three groups: the group of financial experts, managers, and senior managers from BIDV; the group of managers of BIDV, Hai Duong Branch, and the group of credit officers who are working in BIDV, Hai Duong Branch. The framework used in this study focuses on the six dimensions of credit risk management. They are Establishment of appropriate credit policies; Credit manual; Credit analysis;Credit inspection and monitoring;Risk dispersion;and Risk settlement. The research results show that BIDV has developed all the six dimensions; however, the effectiveness is not yet high. Specifically, for the establishment of appropriate credit policies, the bank has issued many policies that support the credit risk management a lot such as policies of Judgment, authorize decentralization, Policy for clients, and Guaranteed properties. For Credit manual, BIDV Hai Duong Branch has adopted the ii regulations from the State Bank of Vietnam and the mother BIDV about credit management, however, it requires the branch to train more about these for staff skills to follow the regulations. For Credit analysis, there are internal credit ranking and credit information system, however, internal credit rankingis still weak as this method is based mainly on qualitative factors, and the Credit Information Center is incomplete. The Credit inspection and monitoring remains many loopholes, errors as there is conflict between the Department of Customer Relationship and the in-charge departments.For risk dispersion, credit debt still focuses on some industries, some large companies. For risk settlement, the branch faces the problem information processing and the credit team has not much experience.