HÀ NỘI — Sài Gòn-Hà Nội Joint Stock Commercial Bank (SHB) has received approval from the State Bank of Việt Nam (SBV) to open its branch in Myanmar.

This would become the third foreign market where it has a presence.

Myanmar has a lot of potential in the finance and banking market although its economy is in the development phase. In addition, Việt Nam and Myanmar signed a joint announcement on comprehensive cooperation in the finance and banking sector in 2010. The signing created a legal framework for the operation of Vietnamese banks in Myanmar.

The establishment of the branch in Myanmar will help SHB expand its brand name in the southeast region while promoting investment cooperation and seeking potential customers.

The SBV also permitted the bank to open five new branches in Hà Tĩnh, Đắk Lắk, Hà Nam, Bình Định and Tây Ninh provinces.

The branches are expected to begin operations in the third quarter of the year providing deposit, lending, payment, guarantee and foreign exchange services.

Nguyễn Văn Lê, SHB’s general director, said the bank’s network expansion has been one of its important targets to improve its service quality, business effectiveness and competitiveness to affirm its brand name value, both inside and outside the country.

“SHB has targeted to expand its network, ensuring safety, effectiveness, international integration and professionalism,” he added.

By the end of March, SHB had charter capital of VNĐ11.2 trillion (US$492.5 million) and total assets of VNĐ247.9 trillion. It has a network of 500 branches in Việt Nam, Laos and Cambodia, with some 7,000 employees serving nearly four million individuals and businesses.

It has targeted to become a strong financial group by 2020. — VNS