Vietnam Consumer Finance Report 2020: Challenges and opportunities for getting ahead The 2019 has been particularly eventful, with the revival of at least two previously inactive FinCos to the market (PTFinance, FCCOM), putting pressure on the market shares of the incumbents. CF increased its contribution to national loan book to 20.5% in 2019, up from the 19.6% in 2018. Given the current market size, CF penetration in Vietnam is currently considered slow compared to its regional peers, signifying an attractive growth prospect. Assess to our FULL REPORT: http://fiinresearch.vn/Reports/20AA1-vietnam-consumer-finance-report-2020-.html

2. 2
FiinGroup Joint Stock Company
Head Office
10th Floor, Peakview Tower
36 Hoang Cau, Dong Da
Hanoi, Vietnam
Tel: +84 (24) 3562 6962
www.fiingroup.vn
Ho Chi Minh City Branch
3rd Floor, Profomilk Plaza Bldg, 51-53 Vo
Van Tan, Ward 6, District 3, Ho Chi Minh,
Vietnam
Tel: +84 (28) 3933 3586
Date: Jun 4, 2019
Dear Our Valued Clients,
Re: The publication of Vietnam Consumer Finance Report 2020
FiinResearch, a market research division of FiinGroup, is pleased to
present our Vietnam Consumer Finance Report 2020. So far, FiinGroup
has been publishing annually updated Vietnam Consumer Finance
Market Report for eight years, providing the first and most
comprehensive reports on the sector.
Based on the feedbacks from our clients, in addition to the
comprehensive analysis of the market, we updated Vietnam Consumer
Finance Market Report this year with emphasis on in-depth analysis of
market share and financial performance amongst key players, the
development of each product segment, prominent trends as well as new
market entrants’ movements. The impacts of COVID-19, key players’
reactions as well as an update on regulatory framework of the sector
are also covered in the report.
During the research work, leveraging on our extensive business network,
we have conducted various discussions with key industry players to
capture the in-depth sector insights, market situation and performance.
We understand that this is a targeted but also an open research. We would
be happy to provide further information to address any questions that you
may have on the report or for any specific sector or target business in
Vietnam.
Should you have any questions, please contact me or our Lead Analyst of
Consumer Finance, Ms. Oanh Tran at +84 (24) 3562 6962 (ext. 120) or her
email: oanh.trankieu@fiingroup.vn.
Yours sincerely,
Le Xuan Dong
Director, Head of Research and Consulting Services (“FiinResearch”)
FiinGroup Joint Stock Company

3. 3
Abbreviation
NO. ABBREVIATION STAND FOR
1 1M 1 month
2 Q1 1st quarter
3 Q2 2nd quarter
4 4M 4 months
5 AI Artificial intelligence
6 APAC Asia Pacific
7 ATM Automatic teller machine
8 bn Billion
9 CAGR Compounded annual growth rate
10 CDs Consumer durables
11 CF Consumer finance
12 CIT Corporate income tax
13 CIR Cost to income ratio
14 CIs Credit institutions
15 D/E Debt to equity
16 ENR Ending net receivables
17 FinCos Finance companies
18 GSO General of Statistics
19 GDP Gross domestic product
20 IPS Intermediary payment services
21 KYC Know your customer
22 M&A Mergers & acquisitions
23 mn Million
NO. ABBREVIATION STAND FOR
24 NAPAS National Payment Corporation of Vietnam
25 NII Net interest income
26 NIM Net interest margin
27 NLB National loan book
28 NPAT Net profit after tax
29 NPL Non-performing loan
30 OEM Original equipment manufacturer
31 OPEX Operating expense
32 P2P Peer-to-peer
33 PIT Personal income tax
34 POS Point of sales
35 ROAA Return on average asset
36 ROAE Return on average equity
37 SMEs Small and medium enterprises
38 SBV State Bank of Vietnam
39 TOI Total operating income
40 trn Trillion
41 UN United Nation
42 VAT Value added tax
43 VAMM Vietnam Association of Motorcycle Manufacturers
44 VAMA Vietnam Automobile Manufacturers Association
45 WB World Bank
46 YoY Year over year

4. 4
Table of Contents
Section Content Page
Executive Summary 5
1 Updates of Vietnam consumer finance market 6 - 13
1.1 Market size and growth 6 - 10
1.2 Market segmentation 11 – 13
2
Competitive landscape of consumer finance
companies 14 - 37
2.1
Market share, market size and growth of finance
companies
14 - 16
2.2 Product mix analysis 17 – 28
2.3 Financial benchmarking 29 – 35
2.4 Operational benchmarking 36 – 37
3 Competitive landscape of Banks in Consumer finance 38 – 44
3.1 Key players in retail banking and consumer finance 38 – 39
3.2 Analysis of key banks’ consumer finance products 40 – 41
3.3
Case studies: Retail product mix and strategic moves in
consumer finance among key bank players
42 - 44
Section Content Page
4 Impacts of Covid-19 on consumer finance companies
45 – 50
5 Key development trends
51 – 60
5.1 Strategic and innovative moves among active FinCos 51 – 54
5.2 Structural trends: M&A and revival of inactive FinCos 55 – 57
5.3 Emergence of P2P platforms and other alternative
lenders
58 – 60
6 Regulatory updates
61 – 68
6.1
Circular 18/2019 revising Circular 43/2016 on
consumer lending activities among finance companies
61 – 62
6.2
Other regulatory changes that matter consumer
lending
63 – 66
6.3 Updates on financial inclusion policies
67 – 68
7 Appendices
69 - 87
7.1 Macro-economic factors 69 – 74
7.2 Vietnam Retail Banking – Key Figures 75 – 76
7.3 Profiles of some selected Fincos 77 – 87

5. 5
Executive Summary
Consumer Finance Market size and YoY growth
Market size share in FinCos’ CF landscape
FE Credit
Home Credit
HD Saison
Mcredit
Shinhan Finance
Toyota Financial
Services
Mirae Asset
JACCS
Others
0
500,000
1,000,000
1,500,000
2,000,000
2015 2016 2017 2018 2019
2015 2016 2017 2018 2019
NPL of FinCos NPL of Banks
2015 2016 2017 2018 2019
NIM of FinCos NIM of Banks

6. 6
Contents
Section 1: Updates of Vietnam CF market
Page
1.1 Market Size and Growth 6 – 10
1.2 Market Segmentation 11 - 13

7. 7
2015 2016 2017 2018 2019
Inactive FinCos' loans
Section 1: Updates of Vietnam CF market
1.1. Market Size and Growth
Figure 1: Total Outstanding loans of consumer finance players (Banks
and FinCos) (VNDbn) and YoY growth
Figure 2: Total outstanding loans of consumer finance players (Banks and
active FinCos) (VNDbn) (excluding inactive FinCos’s loans) and YoY growth
577,407
815,135
1,080,555
1,413,982
1,681,397
0
500,000
1,000,000
1,500,000
2,000,000
2015 2016 2017 2018 2019

8. 8
Section 1: Updates of Vietnam CF market
1.1. Market Size and Growth
2015 2016 2017 2018 2019
CF lending YoY Growth
CF outstanding loans (excluding
inactive FinCos) YoY Growth
Banks' CF YoY Growth
Active FinCos YoY Growth
2015 2016 2017 2018 2019
Banks' CF Active FinCos
Figure 3: Proportion of Banks’ CF and active FinCos, 2015 – 2019 Table 1: YoY Growth of CF segments (Banks & FinCos)

9. 9
2015 2016 2017 2018 2019
CF outstanding loans (excluding inactive FinCos) YoY
Retail banking YoY
Corporate banking YoY
Total loans YoY
2015 2016 2017 2018 2019
Credit Outstanding YoY Credit Growth
Section 1: Updates of Vietnam CF market
1.1. Market Size and Growth
Figure 4: All credit institutions' outstanding loans and its growth Figure 5: Credit growth (YoY) by segments of 26 selected banks
CF as a % of
National Loan
Book

10. 10
Figure 6: Consumer lending in Vietnam and its growth compared to
regional peers
Figure 7: Consumer Loan as a % of GDP in selected countries and
territories, 2019
Section 1: Updates of Vietnam CF market
1.1. Market Size and Growth

11. 11
Contents
Section 1: Updates of Vietnam CF market
Page
1.1 Market Size and Growth 6 – 10
1.2 Market Segmentation 11 - 13

12. 12
Section 1: Updates of Vietnam CF market
1.2. Market Segmentation
Figure 9: Loan proportion by product of active Fincos, 2018 vs. 2019Figure 8: Market Size (VNDbn) of active FinCos, 2015 – 2019
FINCOS’ CF
2015 2016 2017 2018 2019
Personal Loans/ Cash Loans & Others
Vehicles Loans (two and four wheelers)
Consumer Durables
Credit Cards

13. 13
Housing/ Home Improvement Loans
Consumer Durables
Personal Loans/ Cash Loans & Others
Vehicles Loans (two and four wheeler)
Credit Cards
Figure 10: Market Size (VNDbn) of Banks’ CF loans, 2015 – 2019 Figure 11: Loan proportion by product of Banks’ CF, 2018 vs. 2019
BANKS’ CF
Section 1: Updates of Vietnam CF market
1.2. Market Segmentation
2015 2016 2017 2018 2019

14. 14
Contents
Section 2: Competitive landscape of Finance companies
Page
2.1 Market share, market size and growth of finance companies 14 – 16
2.2 Product mix analysis 17 – 28
2.3 Financial benchmarking 29 – 36
2.4 Operational benchmarking 37 - 38

15. 15
FE Credit
Home Credit
HD Saison
Mcredit
Shinhan Finance
Toyota Financial Services
Mirae Asset
JACCS
Others
Figure 12: Market size by loan book of active FinCos, 2018 vs. 2019 (VNDbn) Figure 13: Market size of FinCos, 2018 vs. 2019 (VNDbn)
Section 2: Competitive landscape of Finance companies
2.1. Market share, market size and growth of finance companies
Others
Market size (VNDbn) YoY growth Market share
2018 2019 % 2018 2019
Total
CHANGES IN MARKET SHARE AND MARKET SIZE
FE Credit
Home Credit
HD Saison
Mcredit
Shinhan Finance
Toyota Financial Services
Mirae Asset
JACCS
Others
2018 2019

16. 16
Figure 14: Comparison in loan book growth of selected* FinCos Table 2: Loan book growth of selected* FinCos
CAGR 2015 - 2019
YoYGrowth2019
0.0%
10.0%
20.0%
30.0%
40.0%
50.0%
60.0%
70.0%
0.0% 10.0% 20.0% 30.0% 40.0% 50.0% 60.0% 70.0% 80.0% 90.0% 100.0%
CAGR 2015 - 2019 YoY Growth
Section 2: Competitive landscape of Finance companies
2.1. Market share, market size and growth of finance companies
LOANBOOK GROWTH

17. 17
Contents
Section 2: Competitive landscape of Finance companies
Page
2.1 Market share, market size and growth of finance companies 14 – 16
2.2 Product mix analysis 17 – 28
2.3 Financial benchmarking 29 – 36
2.4 Operational benchmarking 37 - 38

18. 18
Personal Loans/ Cash Loans & Others
Vehicles Loans (two and four wheeler)
Consumer Durables
Credit Cards
Figure 15: Market Segment by Products 2019 vs. 2018 (VNDbn)
FINCOS’ PRODUCT MIX
2018 2019
Consumer Durables
2018 2019
Credit Cards
2018 2019
Vehicles Loans (two and four wheelers)
2018 2019
Personal Loans/ Cash Loans & Others
Section 2: Competitive landscape of Finance companies
2.2. Product mix analysis

19. 19
Home Credit
HD Saison
FE Credit
Mcredit
Mirae Asset
JACCS
Figure 16: Market share in Consumer Durables, 2018 vs. 2019 Table 3: Fincos’ YoY growth in Consumer Durables
Consumer Durables YoY Growth
Section 2: Competitive landscape of Finance companies
2.2. Product mix analysis
CONSUMER DURABLES

20. 20
Indonesia
Viet Nam
Philippines
Thailand
Malaysia
Singapore
US$percapita
Philippines
Indonesia
Vietnam
Thailand
Malaysia
Singapore
US$percapita
Figure 17: Home appliances’ Retail value vs. Retail volume
in Vietnam, 2015 - 2019
Figure 18: Expenditure on Home appliances (US$ per capita) in
selected countries, 2019
Figure 19: Consumer electronics’ Retail value vs. Retail volume
in Vietnam, 2015 - 2019
Figure 20: Expenditure on Consumer electronics (US$ per capita) in
selected countries, 2019
Section 2: Competitive landscape of Finance companies
2.2. Product mix analysis
CONSUMER DURABLES
-
5,000
10,000
15,000
20,000
25,000
2015 2016 2017 2018 2019
-
1,000
2,000
3,000
4,000
5,000
US$mn
Retail value (US$mn) Retail volume ('000 units) (RHS)
-
10,000
20,000
30,000
2015 2016 2017 2018 2019
-
2,000
4,000
6,000
8,000
US$mn
Retail value (US$mn) Retail volume ('000 units) (RHS)

21. 21
Toyota Financial Services
HD Saison
FE Credit
Home Credit
JACCS
Mcredit
Mirae Asset
Figure 21: Market share in Vehicles Loans (two and four wheelers) Table 4: Fincos’ YoY growth in Vehicles Loans (two and four wheelers)
Vehicles Loans
(two and four wheelers)
YoY Growth
Section 2: Competitive landscape of Finance companies
2.2. Product mix analysis
VEHICLES LOANS
Figure 22: Top 5 players in four-wheelers sales volume (‘000 units) in
Vietnam, 2019
Ford
Honda
Toyota
Hyundai
Thaco
•
•
•
•

22. 22
Figure 23: Two-wheeler sales volume (mn) and YoY growth,
2015 - 2019
Figure 24: Four-wheelers sale volume (‘000 units) and YoY growth,
2015 - 2019
VEHICLES LOANS
-30%
0%
30%
60%
0
100
200
300
400
500
2015 2016 2017 2018 20192015 2016 2017 2018 2019 1Q2020 1Q2019
Section 2: Competitive landscape of Finance companies
2.2. Product mix analysis

23. 23
FE Credit
Viet Credit
Home
Credit
Figure 25: Market share in Credit card loans Table 5: YoY growth in Credit card loans
Credit Cards YoY Growth
Section 2: Competitive landscape of Finance companies
2.2. Product mix analysis
CREDIT CARDS
FinCos
Number of active credit cards
YoY Growth
2018 2019
FE Credit
Home Credit
Table 6: FE Credit and Home Credit’s number of active credit cards and
YoY growth

24. 24
Section 2: Competitive landscape of Finance companies
2.2. Product mix analysis
CREDIT CARDS
Credit Card FE Credit Home Credit JACCS LOTTE Finance
Credit limit
Annual fee
Cash Withdrawal Fee
Over Limit Fee
Maximum free-interest
period
Monthly interest
Minimum due
Card re-issuance fee
PIN re-issuance fee
Privileges

25. 25
Section 2: Competitive landscape of Finance companies
2.2. Product mix analysis
CREDIT CARDS
VietCredit Loan Card Other FinCos’s Cards
Cash advance
Cash
withdrawal
Payment
Table 7: VietCredit Loan Card vs Other FinCos’s Cards

26. 26
2015 2016 2017 2018 2019
US$/card
2015 2016 2017 2018 2019
'000cards
Figure 26: Total credit cards in circulation (accumulated) Figure 27: Average usage value per credit card
Figure 28: Average usage value per credit card of Vietnam
compared to regional peers
US$/card
Section 2: Competitive landscape of Finance companies
2.2. Product mix analysis
CREDIT CARDS

27. 27
Figure 29: Market share in Cash loans, 2018 vs. 2019 Table 8: YoY growth in Cash loans
Personal Loans/ Cash Loans & Others YoY Growth
Section 2: Competitive landscape of Finance companies
2.2. Product mix analysis
CASH LOANS
FE Credit
Home Credit
Shinhan
Finance
Mcredit
Mirae Asset
HD Saison
SHB Finance
Others*

28. 28
Section 2: Competitive landscape of Finance companies
2.2. Product mix analysis
CASH LOANS
Table 10: Cash loans as % of FinCos’ loan book
FinCos 2018 2019
Table 9: Circular 18/2019’s roadmap to reduce proportion of cash loan

29. 29
Contents
Section 2: Competitive landscape of Finance companies
Page
2.1 Market share, market size and growth of finance companies 14 – 16
2.2 Product mix analysis 17 – 28
2.3 Financial benchmarking 29 – 35
2.4 Operational benchmarking 36 - 37

30. 30
Source: FiinResearch
Section 2: Competitive landscape of Finance companies
2.3. Financial Benchmarking
SUMMARY OF FINANCIAL RATIOS
ASSET QUALITY PROFITABILITY COST CONTROL, EFFICIENCY & CAPITAL STRUCTURE
NPL Provisions/ TOI
NIM
(=NII/ ENR)
NPM
(= NPAT/TOI)
CIR ROAA ROAE D/E
2018 2019 2018 2019 2018 2019 2018 2019 2018 2019 2018 2019 2018 2019 2018 2019

31. 31
Toyota Financial
Services
Shinhan Finance
Home Credit
SHB Finance
JACCS
Mirae Asset
HD Saison
FE Credit
Mcredit
2019
2018
Figure 30: Comparing NIM of Finance companies, 2018 vs. 2019 Figure 31: Finance companies’ average NIM, 2015 –2019
Section 2: Competitive landscape of Finance companies
2.3. Financial Benchmarking
PROFITABILITY
2015 2016 2017 2018 2019
NIM of FinCos NIM of Banks

32. 32
Mcredit
JACCS
Mirae Asset
SHB Finance
Home Credit
FE Credit
HD Saison
Shinhan Finance
Toyota Financial
Services
2019
2018
Figure 32: Comparing NPM of Finance companies, 2018 vs. 2019 Figure 33: Finance companies’ average NPM, 2015 –2019
Section 2: Competitive landscape of Finance companies
2.3. Financial Benchmarking
PROFITABILITY
2015 2016 2017 2018 2019
NPM of FinCos NPM of Banks

33. 33
JACCS
SHB Finance
Mcredit
Mirae Asset
Toyota Financial Services
Home Credit
Shinhan Finance
FE Credit
HD Saison
2019
2018
Mcredit
JACCS
Toyota Financial Services
Mirae Asset
Home Credit
SHB Finance
Shinhan Finance
FE Credit
HD Saison
2019
2018
Figure 34: Finance companies’ average ROAA and ROAE, 2015 - 2019 Figure 35: Finance companies’ ROAE, 2018 vs. 2019
2015 2016 2017 2018 2019
ROAA ROAE
Figure 36: Finance companies’ ROAA, 2018 vs. 2019
Section 2: Competitive landscape of Finance companies
2.3. Financial Benchmarking
EFFICIENCY

34. 34
0.0%
Toyota Financial Services
Home Credit
JACCS
Shinhan Finance
Mirae Asset
HD Saison
FE Credit
Mcredit
SHB Finance
2019
2018
Figure 37: Comparing NPL ratios of Finance companies, 2018 vs. 2019 Figure 38: Finance companies’ average NPL, 2015 –2019
Section 2: Competitive landscape of Finance companies
2.3. Financial Benchmarking
ASSET QUALITY
2015 2016 2017 2018 2019
NPL of FinCos NPL of Banks

35. 35
SHB Finance
Shinhan Finance
JACCS
Home Credit
FE Credit
HD Saison
Mirae Asset
Toyota Financial Services
Mcredit
2019
2018
Source: FiinResearch
Figure 39: Comparing D/E of Finance companies, 2018 vs. 2019 Figure 40: Finance companies’ average D/E, 2015 –2019
2015 2016 2017 2018 2019
Section 2: Competitive landscape of Finance companies
2.3. Financial Benchmarking
FINANCING STRUCTURE

36. 36
Contents
Section 2: Competitive landscape of Finance companies
Page
2.1 Market share, market size and growth of finance companies 14 – 16
2.2 Product mix analysis 17 – 28
2.3 Financial benchmarking 29 – 35
2.4 Operational benchmarking 36 - 37

37. 37
Section 2: Competitive landscape of Finance companies
2.4. Operational Benchmarking
Figure 41: Distribution network, number of employees, and number of customers served of selected FinCos
FinCos Number of POS Number of employees Number of customers (mn) Customers/ POS Customers/ employees
733
622
1,005
200
500
173

38. 38
Contents
Section 3: Competitive landscape of Banks in Consumer finance
Page
3.1 Key players in retail banking and consumer finance 38 – 39
3.2 Analysis of key banks’ consumer finance products 40 – 41
3.3
Case studies: Retail product mix and strategic moves in consumer
finance among key bank players
42 - 44

39. 39
Section 3: Competitive landscape of Banks in Consumer finance
3.1. Key players in retail banking and consumer finance
2015 2016 2017 2018 2019
KEY BANK PLAYERS
Table 11: Top Retail Banks in Main CF Product CategoriesFigure 42: Market Size (VNDbn) of banks’ CF loans, 2015 - 2019

40. 40
Contents
Section 3: Competitive landscape of Banks in Consumer finance
Page
3.1 Key players in retail banking and consumer finance 38 – 39
3.2 Analysis of key banks’ consumer finance products 40 – 41
3.3
Case studies: Retail product mix and strategic moves in consumer
finance among key bank players
42 - 44

41. 41
Housing/ Home Improvement Loans
Consumer Durables
Personal Loans/ Cash Loans & Others
Vehicles Loans (two and four wheeler)
Credit Cards
Figure 45: Home buyers' real estate loan, 2017 – 9M2019
Section 3: Competitive landscape of Banks in Consumer finance
3.2. Analysis of key banks’ consumer finance products
Figure 43: Loan proportion by product of banks’ CF, 2019
HOUSING LOANS
Figure 44: Developers vs. Home buyers’ loans, 2017 – 9M2019
0.0%
2.0%
4.0%
6.0%
8.0%
10.0%
12.0%
14.0%
2017 2018 9M2019
VNDtrn
Home buyers % Home buyers/ National loan book
2017 2018 9M2019
Developers
Home buyers

42. 42
Contents
Section 3: Competitive landscape of Banks in Consumer finance
Page
3.1 Key players in retail banking and consumer finance 38 – 39
3.2 Analysis of key banks’ consumer finance products 40 – 41
3.3
Case studies: Retail product mix and strategic moves in
consumer finance among key bank players
42 - 44

43. 43
Figure 46: Target customer in consumer finance
Section 3: Competitive landscape of Banks in Consumer finance
3.3. Case studies: Retail product mix and strategic moves in consumer finance among key bank players

44. 44
2015 2016 2017 2018 2019
Affluent Mass Affluent Mass Others
Figure 47: Retail loan breakdowns by products, 2015 - 2019 Figure 48: Retail loan breakdown by Customer segment, 2015 - 2019
0
20
40
60
80
100
120
2015 2016 2017 2018 2019
Retailloans(VNDtrn)
Consumer housing loans Auto loan Other mortgage loans
Household business Credit card Personal/cash loans
Others
Section 3: Competitive landscape of Banks in Consumer finance
3.3. Case studies: Retail product mix and strategic moves in consumer finance among key bank players

45. 45
Contents
Section 4: Impact of Covid-19 on consumer finance companies
Page
4.1 Impact of Covid-19 on FinCos’ loan book growth 46
4.2 Impact of Covid-19 on FinCos’ asset quality and earning quality 47
4.3 Impact of Covid-19 on FinCos’ fund mobilization 48 – 49
4.4 FinCos’ reaction to Covid-19 50

46. 46
LOANBOOK GROWTH
FE Credit HD Saison EVN Finance
Q1/2019 Q1/2020
Figure 49: Outstanding loan of selected FinCos, Q1/2020 vs Q1/2019
Total loan growth YoY growth YTD growth
% 3M2019 3M2020 3M2019 3M2020
Figure 50: Loanbook growth of selected FinCos
Figure 51: Number of applicants for Unemployment Insurance in
Q1, 2017-2020
Section 4: Impact of Covid-19 on loan book growth of consumer finance companies
4.1. Impact of Covid-19 pandemic on loan book growth of FinCos
1Q2017 1Q2018 1Q2019 1Q2020

47. 47
ASSET QUALITY AND EARNING QUALITY
Section 4: Impact of Covid-19 on consumer finance companies
4.2. Impact of Covid-19 on FinCos’ asset quality and earning quality
Figure 52: NPL ratios of selected FinCos, Q1/2019 vs Q1/2020
FE Credit HD Saison EVN Finance
Q1/2019 Q1/2020
FE Credit
HD Saison
EVN Finance
Q1/2020 Q1/2019
Figure 53: FinCo’s net interest income margin, Q1/2019 vs
Q1/2020
Q1/2017 Q1/2018 Q1/2019 Q1/2020
Table 11: Unemployment rate in Q1, 2017-2020

48. 48
FUNDINGSection 4: Impact of Covid-19 on consumer finance companies
4.3. Impact of Covid-19 on FinCos’ fund mobilization
Figure 54: Sectors with negative cashflow from operation in Q1/2020

49. 49
FUNDINGSection 4: Impact of Covid-19 on consumer finance companies
4.3. Impact of Covid-19 on FinCos’ fund mobilization
Figure 57: Top sectors with decreasing EBIT in Q1/2020
(20.5)
(68.0)
(645.9)
(780.5)
(793.4)
(1,605.9)
(1,777.3)
(3,625.3)
(6,692.0)
(7,575.4)
-
0.5
1.0
1.5
2.0
2.5
3.0
3.5
4.0
4.5
5.0
-25
-20
-15
-10
-5
0
5
10
15
20
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1
2018 2019 2020
EBIT chang (YoY) Interest Coverage Ratio
Figure 56: Change in EBIT and interest coverage ratio
7
9
11
13
15
17
19
0.5
0.7
0.9
1.1
1.3
1.5
1.7
1.9
2.1
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1
2018 2019 2020
Debts/Net Revenue Debts/EBITDA
Figure 55: Change in EBIT and interest coverage ratio

50. 50
Section 4: Impact of Covid-19 on consumer finance companies
4.4. FinCos’ reaction to Covid-19
FinCos’ reaction to Covid-19
FinCos Key actions Expected results
Key actions of FinCos in response to the impact of Covid-19 pandemic

51. 51
Contents
Section 5: Selected (development) trends
Page
5.1 Innovative and strategic moves among active FinCos 51 – 54
5.2 Structural trends: M&A and revival of inactive FinCos 55– 57
5.3 Emerge of P2P platforms 58 - 60

52. 52
Finco Strategic moves Implications
Section 5: Selected (development) trends
5.1. Strategic and innovative moves among active FinCos
INNOVATIVE TRENDS

53. 53
Section 5: Selected (development) trends
5.1. Strategic and innovative moves among active FinCos
STRATEGIC TRENDS

54. 54
Section 5: Selected (development) trends
5.1. Strategic and innovative moves among active FinCos
STRATEGIC TRENDS
0
1,000
2,000
3,000
2017 2018 2019
Revenue from insurance fee Total income fee
Figure 58: Partnership between Lotte Finance and PJICO in the field of
insurance - finance
Figure 59: Easy Credit and BMI to establish comprehensive cooperation
Figure 60: FE Credit revenue from insurance (VNDbn), 2017 - 2019

55. 55
Contents
Section 5: Selected (development) trends
Page
5.1 Innovative and strategic moves among active FinCos 51 – 54
5.2 Structural trends: M&A and revival of inactive FinCos 55– 57
5.3 Emerge of P2P platforms 58 - 60

56. 56
Section 5: Selected (development) trends
5.2. Structural trends: M&A and revival of inactive FinCos
M&A
Fincos Description

57. 57
Section 5: Selected (development) trends
5.2. Structural trends: M&A and revival of inactive FinCos
REVIVAL OF INACTIVE FINCOS
PTFinance FCCOM
List of product
Target customer
Strategy

58. 58
Contents
Section 5: Selected (development) trends
Page
5.1 Strategic and innovative moves among active FinCos 51 – 54
5.2 Structural trends: M&A and revival of inactive FinCos 55– 57
5.3 Emerge of P2P platforms 58 - 60

59. 59
Section 5: Selected (development) trends
5.3. Emerge of P2P lending platforms
P2P LENDING
Figure 61: P2P lending model

60. 60
Section 5: Selected (development) trends
5.3. Emerge of P2P lending platforms
P2P LENDING

61. 61
Contents
Section 6: Regulatory updates
Page
6.1
Circular 18/2019 revising Circular 43/2016 on consumer
lending activities among finance companies
61 – 62
6.2 Other regulatory changes that matter consumer lending 63 – 66
6.3 Updates in financial inclusion policies 67 - 68

62. 62
Section 6: Regulatory updates
6.1. Circular 18/2019 revising Circular 43/2016 on consumer lending activities among finance companies
TITLE SCOPE OF APPLICATION KEY ACTIONS IMPLICATIONS

63. 63
Contents
Section 6: Regulatory updates
Page
6.1
Circular 18/2019 revising Circular 43/2016 on consumer lending
activities among finance companies
61 – 62
6.2 Other regulatory changes that matter consumer lending 63 – 66
6.3 Updates in financial inclusion policies 67 - 68

64. 64
Section 6: Regulatory updates
6.2. Other regulatory changes that matter consumer lending
TITLE SCOPE OF APPLICATION KEY ACTIONS IMPLICATIONS
MACROECONOMICS

65. 65
Section 6: Regulatory updates
6.2. Other regulatory changes that matter consumer lending
TITLE SCOPE OF APPLICATION KEY ACTIONS IMPLICATIONS
MACROECONOMICS

66. 66
Section 6: Regulatory updates
6.2. Other regulatory changes that matter consumer lending
TITLE SCOPE OF APPLICATION KEY ACTIONS IMPLICATIONS
FINANCIAL SECTORS

67. 67
Contents
Section 6: Regulatory updates
Page
6.1
Circular 18/2019 revising Circular 43/2016 on consumer lending
activities among finance companies
61 – 62
6.2 Other regulatory changes that matter consumer lending 63 – 66
6.3 Updates in financial inclusion policies 67 - 68

68. 68
Section 6: Regulatory updates
6.3. Updates in financial inclusion policies
TITLE SCOPE OF APPLICATION KEY ACTIONS IMPLICATIONS
FINANCIAL INCLUSION

69. 69
Contents
Section 7: Appendices
Page
7.1 Macro-economic factors 69 – 74
7.2 Vietnam Retail Banking – Key Figures 75 – 76
7.3 Profiles of selected FinCos 77 - 87

70. 70
Section 7: Appendices
7.1. Macro-economic factors
Vietnam in numbers…
Hoang
Sa
Truong Sa

71. 71
163
49
278
327
0
50
100
150
200
250
300
350
6-Mar 13-Mar 20-Mar 27-Mar 3-Apr 10-Apr 17-Apr 23-Apr 30-Apr 7-May 14-May 21-May 27-May
Numberofcases
Active Recovered Total confirmed cases
Section 7: Appendices
7.1. Macro-economic factors
Figure 62: Number of cases in Vietnam

72. 72
-8.0%
-6.0%
-4.0%
-2.0%
0.0%
2.0%
4.0%
6.0%
8.0%
China United States European
Union
Singapore South Korea Vietnam
1Q2020 2020f before COVID-19 Fitch 08 April ADB 03 April IMF 06 April
Figure 64: Projections growth for 2020Figure 63: Economic growth by countries, 2019 – 1Q2020
-8.0%
-6.0%
-4.0%
-2.0%
0.0%
2.0%
4.0%
6.0%
8.0%
China United
States
European
Union
Singapore South Korea Vietnam
2019 1Q2020
Section 7: Appendices
7.1. Macro-economic factors
GDP

73. 73
4M2018 4M2019 4M2020
Revenue of retails
Figure 71: Number of enterprises under business suspension by sector, 4M2020
Wholesale, Retails,
Automobiles repair shops
Science, technology,
marketing
Accomodation &
foodservice
Transportations &
warehousing
Employment services,
tourism, leasing
Real estate
Figure 65: Number of foreign
tourists (mn)
Figure 66: Number of domestic tourists
(mn)
Figure 67: Number of flights Figure 68: Revenue of tourism
industry (VND bn)
Figure 70: Revenue of accommodation
and foodservice (VND bn)
Figure 69: Retail revenue
(VND trn)
4M2018 4M2019 4M2020
Number of foreign tourists
1Q2018 1Q2019 1Q2020
Number of domestic tourists
4M2018 4M2019 4M2020
Number of flights
4M2018 4M2019 4M2020
Revenue of tourism industry
4M2018 4M2019 4M2020
Revenue of accommodation and food service
Section 7: Appendices
7.1. Macro-economic factors

74. 74
Figure 72: Key cashless transactions indicators, YTD
Section 7: Appendices
7.1. Macro-economic factors

75. 75
Contents
Section 7: Appendices
Page
7.1 Macro-economic factors 69 – 74
7.2 Vietnam Retail Banking – Key Figures 75 – 76
7.3 Profiles of selected FinCos 77 - 87

76. 76
Section 7: Appendices
7.2. Vietnam Retail Banking – Key Figures
Top retail banks in Vietnam by proportion of retail loans out of total loans in FY2019
Ticker Name Exchange
Total Assets
(VNDbn)
Total Loans
(VNDbn)
Charter Capital
(VNDbn)
Retail Loan
(VNDbn)
TOI
(VNDbn)
% Retail Loan/
Total Loans

77. 77
Contents
Section 7: Appendices
Page
7.1 Macro-economic factors 69 – 74
7.2 Vietnam Retail Banking – Key Figures 75 – 76
7.3 Profiles of selected FinCos 77 - 87

78. 78
BUSINESS PROFILE KEY FINANCIAL & OPERATIONAL INDICATORS
Section 7: Appendices
7.3. Profiles of selected Fincos
OPERATIONAL INDICATORS
Apps
Sales channels
Payment channels
Number of customers
Number of staffs
Indicators 2017 2018 2019
FE Credit VNDbn VNDbn VNDbn
Total Assets
Charter Capital
Shareholder's Equity
Total Loans
Net Interest Income
Profit After Tax
NPL
ROAA
ROAE

79. 79
BUSINESS PROFILE KEY FINANCIAL & OPERATIONAL INDICATORS
OPERATIONAL INDICATORS
Apps
Sales channels
Payment
channels
Number of
customers
Number of staffs
Section 7: Appendices
7.3. Profiles of selected Fincos
Indicators 2017 2018 2019
Home Credit VNDbn VNDbn VNDbn
Total Assets
Charter Capital
Shareholder's Equity
Total Loans
Net Interest Income
Profit After Tax
NPL
ROAA
ROAE

80. 80
BUSINESS PROFILE KEY FINANCIAL & OPERATIONAL INDICATORS
OPERATIONAL INDICATORS
Sales channels
Payment
channels
Number of
customers
Number of
staffs
Section 7: Appendices
7.3. Profiles of selected Fincos
Indicators 2017 2018 2019
HD Saison VNDbn VNDbn VNDbn
Total Assets
Charter Capital
Shareholder's Equity
Total Loans
Net Interest Income
Profit After Tax
NPL
ROAA
ROAE

81. 81
BUSINESS PROFILE KEY FINANCIAL & OPERATIONAL INDICATORS
OPERATIONAL INDICATORS
Sales channels
Payment
channels
Number of
customers
Number of
staffs
Section 7: Appendices
7.3. Profiles of selected Fincos
Indicators 2018 2019
Mcredit VNDbn VNDbn
Total Assets
Charter Capital
Shareholder's Equity
Total Loans
Net Interest Income
Profit After Tax
NPL
ROAA
ROAE

82. 82
BUSINESS PROFILE KEY FINANCIAL & OPERATIONAL INDICATORS
OPERATIONAL INDICATORS
Apps
Sales channels
Payment
channels
Number of
staffs
Section 7: Appendices
7.3. Profiles of selected Fincos
Indicators 2017 2018 2019
Viet Credit VNDbn VNDbn VNDbn
Total Assets
Charter Capital
Shareholder's Equity
Total Loans
Net Interest Income
Profit After Tax
NPL
ROAA
ROAE

83. 83
BUSINESS PROFILE KEY FINANCIAL & OPERATIONAL INDICATORS
OPERATIONAL INDICATORS
Apps
Sales channels
Payment channels
Number of customers
Number of staffs
Section 7: Appendices
7.3. Profiles of selected Fincos
Indicators 2017 2018 2019
Easy Credit VNDbn VNDbn VNDbn
Total Assets
Charter Capital
Shareholder's Equity
Total Loans
Net Interest Income
Profit After Tax
NPL
ROAA
ROAE

84. 84
BUSINESS PROFILE KEY FINANCIAL & OPERATIONAL INDICATORS
OPERATIONAL INDICATORS
Sales channels
Payment
channels
Number of
customers
Number of
staffs
Section 7: Appendices
7.3. Profiles of selected Fincos
Indicators 2018 2019
SHB Finance VNDbn VNDbn
Total Assets
Charter Capital
Shareholder's Equity
Total Loans
Net Interest Income
Profit After Tax
NPL
ROAA
ROAE

85. 85
BUSINESS PROFILE KEY FINANCIAL & OPERATIONAL INDICATORS
OPERATIONAL INDICATORS
Apps
Sales channels
Payment
channels
Number of
staffs
Section 7: Appendices
7.3. Profiles of selected Fincos
Indicators 2017 2018 2019
Lotte Finance VNDbn VNDbn VNDbn
Total Assets
Charter Capital
Shareholder's Equity
Total Loans
Net Interest Income
Profit After Tax
NPL
ROAA
ROAE

86. 86
BUSINESS PROFILE KEY FINANCIAL & OPERATIONAL INDICATORS
OPERATIONAL INDICATORS
Payment
channels
Number of
staffs
Section 7: Appendices
7.3. Profiles of selected Fincos
Indicators 2017 2018 2019
PTFinance VNDbn VNDbn VNDbn
Total Assets
Charter Capital
Shareholder's
Equity
Total Loans
Net Interest
Income
Profit After Tax
NPL
ROAA
ROAE

87. 87
BUSINESS PROFILE KEY FINANCIAL & OPERATIONAL INDICATORS
OPERATIONAL INDICATORS
Sales channels
Payment
channels
Number of
staffs
Section 7: Appendices
7.3. Profiles of selected Fincos
Indicators 2017 2018 2019
FCCOM VNDbn VNDbn VNDbn
Total Assets
Charter Capital
Shareholder's
Equity
Total Loans
Net Interest
Income
Profit After Tax
NPL
ROAA
ROAE

88. 88
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