Post-restructure financial performance of commercial banks in Vietnam 2011-2016
Nguyen, Mai (2018)
Nguyen, Mai
Haaga-Helia ammattikorkeakoulu
2018
All rights reserved
Julkaisun pysyvä osoite on
https://urn.fi/URN:NBN:fi:amk-201804164761
https://urn.fi/URN:NBN:fi:amk-201804164761
Tiivistelmä
The main purpose of the thesis is to analyze the financial performance of commercial banks in Vietnam between 2011 and 2016. The reason for conducting the thesis is based on the restructuring plan of the State Bank of Vietnam and the Government that aims to restructure the weak banking system to enhance performance and efficiency that is more suitable to the international integration of the country.
By using the CAMEL framework, seven selected commercial banks were chosen for analysis to evaluate the results of the restructuring plan. CAMEL is an acronym for Capital adequacy, Asset quality, Management quality, Earnings, and Liquidity. The selected commercial banks need to have M&A deals between 2011 and 2016, and the financial data needed to be available two years after restructure to clearly identify the results. The banks are assessed based on financial ratios, rated according to the CAMEL ratings, and are then evaluated.
In conclusion, the CAMEL framework has evaluated the banks at the same level as that of banking professionals who evaluated them at the end of the restructuring. In broader terms, the banking sector achieved some positive results, but there are still some potential obstacles that need tackling and should be efficiently dealt with in the second restructuring plan from 2016 to 2020.
By using the CAMEL framework, seven selected commercial banks were chosen for analysis to evaluate the results of the restructuring plan. CAMEL is an acronym for Capital adequacy, Asset quality, Management quality, Earnings, and Liquidity. The selected commercial banks need to have M&A deals between 2011 and 2016, and the financial data needed to be available two years after restructure to clearly identify the results. The banks are assessed based on financial ratios, rated according to the CAMEL ratings, and are then evaluated.
In conclusion, the CAMEL framework has evaluated the banks at the same level as that of banking professionals who evaluated them at the end of the restructuring. In broader terms, the banking sector achieved some positive results, but there are still some potential obstacles that need tackling and should be efficiently dealt with in the second restructuring plan from 2016 to 2020.