The UK-based Standard Chartered Bank officially launched a wholly foreign-owned subsidiary in Vietnam on Aug. 28, saying the local entity seen as the bank’s long-term commitment to the country.
In September last year, the State Bank of Vietnam issued a license to allow Standard Chartered to set up a wholly foreign-owned local subsidiary in the country.
Standard Chartered Bank Vietnam, which is based in Hanoi-based and has a registered capital of VND1 trillion (about US$56 million), officially started operations in June this year.
On Aug. 26, the State Bank said it has allowed Standard Chartered Bank Vietnam Ltd. to provide foreign exchange services in the domestic market.
The central bank said in a statement that Standard Chartered Vietnam will be permitted to provide a wide range of foreign exchange services to clients, including raising and lending funds, transmitting funds, and underwriting and managing foreign exchange assets.
Standard Chartered said in a statement it would continue introducing innovative products and services relevant to Vietnamese customers.
In May, Standard Chartered had to sell a 0.02 percent stake in Vietnam’s Asia Commercial Bank (ACB) as its ownership exceeded the cap of 15% set by the central bank. Standard Chartered was due to sell more than 133,000 of the almost 95.5 million shares it owned in ACB, according to a statement seen on the website of the Hanoi Securities Trading Center, where ACB is listed.