FiinRatings: ACB Ranks Highest in the Credit Rating Agency Performance Evaluation

ACB has achieved an impressive ranking among domestic banks that have been rated by
domestic credit rating organizations, earning a score just one level below the highest
possible rating of AAA.

According to FiinRatings, this ranking is based on stringent evaluation criteria and
guarantees transparency and independence in the assessment process. ACB’s high credit
rating is attributed to its solid business position, stable capital structure, strong
profitability, and prudent risk appetite. The bank’s capital-raising capabilities and
liquidity are expected to benefit from an increase in highly stable capital sources,
facilitating credit growth and stable liquidity.

FiinRatings assessed ACB’s performance across various factors, ranging from
“appropriate” to “excellent”:

– Business position rated ‘Good’: ACB consistently maintains its leading position among
Vietnam’s top private joint-stock commercial banks. Its diverse business model and
high stability are supported by the bank’s prudent development and management
strategies. As of Q2 2024, ACB ranked among the largest JSBs in Vietnam, with a
combined loan balance of VND 550.2 trillion and customer deposits of VND 511.7
trillion.

Capital structure and leverage rated ‘Appropriate’: This assessment is based on ACB’s
relatively high capital adequacy ratio (CAR) compared to the industry median, the
increase in Tier 1 capital in its capital structure, and recent efforts to improve
financial leverage. ACB’s capital buffer is considered appropriate for the scale of its
operations. As of the end of Q2 2024, ACB’s CAR stood at 11.8%, ranking third
among JSBs of similar scale.

Profitability rated ‘Good’: ACB demonstrates superior performance in terms of NIM and ROA
compared to industry averages. This is supported by its customer-centric lending
strategy focusing on retail and SME clients, effective management of MMLC, and
efficient operational cost control.

Risk position rated ‘Excellent’: FiinRatings upgraded ACB’s risk position by two notches, reflecting
the bank’s relatively prudent risk appetite. This is evidenced by (i) its cautious
lending and investment policies, (ii) the low-risk concentration among its target
retail customer base, (iii) a credit growth strategy that prioritizes asset quality, and
(iv) superior loan recovery and non-performing loan ratios. The rating agency
commends ACB’s internal risk management criteria, acknowledging its comprehensive
risk management practices and clear and transparent governance structure.

Capital sources and liquidity rated ‘Good’: ACB’s ability to diversify its capital structure and focus on
more stable sources of capital compared to industry averages contributes to this
rating. The bank’s liquidity position is also assessed as “Good,” supported by its
superior capital mobilization capabilities relative to the industry. ACB’s short-term
liquidity sources are sufficient to meet short-term capital needs, and its liquidity
contingency plans are deemed appropriate for practical purposes.

FiinRatings’ credit rating affirms ACB’s solid position and strong growth potential in
Vietnam’s banking industry. This recognition enhances ACB’s access to international
capital markets and boosts its brand reputation and reliability among investors,
shareholders, and customers.

Earlier, Fitch Ratings affirmed ACB’s BB- rating, considering the bank’s asset quality,
profitability, and risk management capabilities, placing it among the highest-rated
joint-stock commercial banks in Vietnam. Fitch acknowledged ACB’s strong loan
quality and stable credit portfolio, reflecting its focus on retail lending.

With these positive ratings from both domestic and international rating agencies, ACB
reinforces its stable financial position and robust growth prospects. This competitive
advantage not only instills confidence in customers but also attracts and retains
long-term investors who value safety and efficiency in their investments.