On April 11, 2019, the macroeconomic report, released by Training and Research Institute of Joint Stock Commercial Bank for Investment and Development of Vietnam (BIDV), shows that: It is expected that in 2019, Vietnam will receive $16.7 billion of remittances and be in the top 10 countries in the world receiving largest remittances. According to data from the State Bank of Vietnam (SBV), Ho Chi Minh city branch, in the first eight months of 2019, there were $3.65 billion of remittances transferred to credit institutions in the city. It is estimated that in 2019, the total amount of remittances transferred to Ho Chi Minh city will reach $5.6 billionan increase of about 10 percent compared to the same period last year.
In order to welcome an increasing amount of remittances flowing to Vietnam, banks have launched many services and promotions to attract remittances to their banks. In addition to promotions and gifts, there is a bank that also set up a subsidiary specialising in receiving remittance services, and set up a separate website for this service.
For example, DongA Joint Stock Commercial Bank (DongA Bank) has established Dong A Money Transfer Company and launched a new website of the company with the promotion programme “happy spring, wealthy year” with many attractive gifts. Nguyen Ba Thiendeputy general director of Dong A Money Transfer Company said that with more than 1.54 million successful transactions in the first three quarters of 2019, this promotion programme was considered as the company’s graditude to the customers. This was not only an annual programme but also a series of plans to develop DongA Money Transfer brand based on the orientation to create spiritual values for customers.
Being strong in providing foreign exchange services, Joint Stock Commercial Bank for Foreign Trade of Vietnam (Vietcombank) has opened a campaign to attract remittances with the budget of 2.8 billion dong including Vinfast Fadil Plus cars, Air Blade motorcycles, Samsung Galaxy Note 10 phones and cash prizes as gifts to individual customers with overseas remittance transactions. Vietnam Bank for Agriculture and Rural Development (Agribank) is currently the largest money transfer agent of Western Union in Vietnam, providing both money transfer and Western Union payment services at all Agribank branches and transaction offices.
Although there are branches spread widely, Military Commercial Joint Stock Bank (MB) chooses to focus on the niche market of Cambodia with eMoney remittance service from Cambodia to Vietnam. This is a link service between MB and Viettel Cambodia Company Limited (Metfone). This service allows individual customers in Cambodia to transfer money to individual receivers in Vietnam through eMoney account or agent. MB commits to pay immediately to the recipient’s account or pay cash within five minutes, and free of charge for the recipient.
Vietnam Export Import Commercial Joint Stock Bank (Eximbank) has just announced the SWIFT remittance service with a commitment that it is a modern and highly secure form of money transfer, with a wide network of affiliates in 84 countries. Eximbank’s customers can choose to receive remittances at counters, at ATMs, or at private houses even after office hours. With more than 50 partners in five continents, Eximbank’s overseas remittance company offers a wide range of services with the common point is that customers receive money within 10 minutes from the time the transferor completes the procedure. The bank does not charge a recipient and also publicly declares that customers do not need to declare the source of money.
Nguyen Dinh ThangChair of Lien Viet Post Joint Stock Commercial Bank (LienVietPostBank) said that normally at the end of the year, remittances would flow more. According to Vietnamese customs, when preparing for the Lunar New Year, workers abroad sent money back to their families as a gift of lucky money, and shopping for Tet holiday. Therefore, this was the right time for the bank to launch many promotions to attract customers to transfer overseas remittance.
Previously, banks had to invite customers’ relatives to collect money, but now there are cashless payment facilities such as cards, e-wallets, and bank accounts. Customers can open account and request card issuance, just after a few minutes they will receive the money with a meaningful greeting or card from the bank. Remittance recipients are faster, safer, and better.
Regarding the current remittance policy, Thang said that Vietnam always realised the great importance of the resources of compatriots abroad. It not only helped relatives of overseas Vietnamese have a better life but also contributed to create motivation for investment and economic development in Vietnam. Remittances would positively impact the market, boosting purchases and consumption, thereby contributing to the further development of Vietnam’s economy.
