“VietinBank Leads the Way in Digital Transformation: Streamlining Physical Branches and Embracing AI”
Streamlining Staff and Branches:
VietinBank has taken a bold step towards digitalization by announcing the closure of several branches located in Hanoi, Ho Chi Minh City, Dong Nai, Quang Ninh, Gia Lai, and Hue. This follows their previous decision to cease operations of 25 branches across Hanoi, Hai Phong, Thai Nguyen, Ho Chi Minh City, and Phu Tho on March 31 and April 1.
At the recent 2025 Annual General Meeting of Shareholders, Mr. Tran Minh Binh, Chairman of the Board of Directors of VietinBank, revealed that VietinBank is the first among the four state-owned commercial banks to explore the reduction of physical transaction offices.
Mr. Binh expressed that VietinBank plans to close down hundreds of branches and replace them with digital platforms to enhance customer experience.
Vietinbank reduces physical branches and embraces AI.
Mr. Binh also shared that the bank is experimenting with an AI-powered customer service center model, which could potentially replace up to 70% of operational staff. In the last two years, VietinBank has refrained from hiring staff for traditional business activities, including credit and capital.
However, in 2025, VietinBank is ramping up recruitment, especially in the field of information technology, aiming to increase the number of IT personnel from 300 to nearly 1,000 (including outsourced staff) with competitive salaries.
Digital Transformation as a Strategic Focus:
For VietinBank, 2025 marks a year of continued focus on digital transformation. The bank has outlined an extensive plan for the year, encompassing investments in infrastructure, hardware, software, and human resources. This strategic shift is among the bank’s top priorities.
Previously, TPBank also announced a reduction of 300-500 employees as they intensified their adoption of technology and AI.
Sacombank, after downsizing by over 350 employees last year, continues on this path in the first quarter of this year, ranking second in terms of streamlined personnel. Their leadership has indicated that this trend is expected to continue in 2025 and 2026.
Sacombank intends to reduce staff at traditional branches and encourage digital transactions. They have consistently discontinued branch operations in Hanoi and Ho Chi Minh City. While downsizing, Sacombank’s management acknowledges the challenge of recruiting high-quality personnel.
The bank is currently sourcing talented individuals from various fields, including partnerships with technology, data management, and AI companies.
According to a survey by the State Bank of Vietnam, over 21% of banks continued to downsize their workforce in the first quarter of 2025. Experts predict that the acceleration of digital transformation and business restructuring will lead to a significant reduction in physical branches and bank staff in the coming years.
AI as a Strategic Enabler for Banks:
At a recent seminar on “Practicing Sustainability Reporting in the Banking Sector with AI Solutions,” hosted by the Banking Times, Ms. Pham Thanh Ha, Deputy Governor of the State Bank of Vietnam, highlighted a notable development: six additional commercial banks have officially released their Sustainability Reports.
In 2024, a record number of 33 organizations integrated sustainability content into their annual reports, reflecting the banking industry’s positive shift in awareness and action regarding environmental, social, and governance (ESG) factors. Approximately 13-15 commercial banks have published independent sustainability reports.
Deputy Governor Ha emphasized that the application of AI and modern digital technologies is seen as a pivotal solution to enhance data governance, strengthen analytical capabilities, and support timely and transparent decision-making processes.
Dr. Le Hung Cuong, Deputy General Director of FPT Digital, underscored the importance of AI in helping businesses overcome ESG data challenges and simplifying the reporting process. This, in turn, unlocks access to green financing from financial institutions and banks.
According to Dr. Cuong, while the global trend is shifting from “voluntary” to “mandatory” sustainability reporting, businesses often face difficulties in data collection and analysis.
A survey of over 200 Vietnamese enterprises revealed that 67% have not yet defined ESG-related indicators or are in the process of doing so; 47% are unclear about ESG data collection and processing methods; 71% lack the necessary knowledge about data requirements for reporting, and 70% rarely or never publish ESG reports externally.
FPT addresses these challenges by leveraging digital technologies and AI in ESG data collection, monitoring, and supervision. Dr. Cuong emphasized that ESG data is scattered across various critical areas of business operations and governance, requiring precise identification and separation.
The Great Bank Branch Shake-up: What Happened to the 42 VietinBank, Sacombank, and SCB Offices?
“The Chairman of VietinBank emphasized that VietinBank would be the first among the large state-owned capital group to undertake this endeavor.”
The Street with 4-5 Banks: Why Are So Many Branches Closing Down?
In the first half of 2025, a wave of bank branch closures swept across Vietnam as numerous financial institutions announced the shutdown of their physical locations in various provinces.
A Transformational Year for PGBank: Rising to New Heights
In 2025, PGBank aims to build on its transformative progress in 2024 and forge ahead with robust, efficient, and sustainable growth. This ambitious goal will be achieved through a continued focus on process optimization, strategic expansion, vigorous brand-building, and enhancing the customer experience.
“Over 108 Million Customers’ Biometric Data Verified: Unlocking the Power of Secure Authentication.”
“After a 10-month pilot of biometric authentication using the National Population Database (via CCCD chip-enabled cards and VneID), over 108 million customer records have been collected and cross-referenced with biometric data. Payments have been processed smoothly, and this initiative has helped curb incidents of fraud and financial loss for customers.”
“Vietnam Airlines and FPT: Forging Ahead with Next-Gen Aviation Technology”
Vietnam Airlines and FPT have joined forces, signing a comprehensive strategic cooperation agreement with a shared vision of digital transformation. This partnership aims to enhance operational capabilities and optimize the customer experience through innovative solutions. With FPT’s expertise in technology and Vietnam Airlines’ commitment to excellence, this collaboration is set to revolutionize the industry, taking both companies to new heights.
