Vietnamplus

Some banks have announced plans to pay cash dividends to shareholders for the first time in three years.

The Bank for Investment and Development of Vietnam (BIDV) plans to increase its charter capital by 8.304 trillion VND (361 million USD) to 48.5 trillion VND, up 20.6 percent against that on December 31, 2020.

Despite the difficulties inflicted by the COVID-19 pandemic, several companies plan to pay dividends at surprisingly high rates.

Many banks in Vietnam have reduced their profit target for 2020, and plan to support companies severely impacted by the COVID-19 pandemic.

A favourable geographic location, abundant resources and a dynamic and investor-friendly administration make Vinh Long province an optimal destination for foreign direct investment (FDI).

Many of them have paid dividends in shares, issued bonus stocks, or even asked to retain their dividends.

Authorities have basically agreed on the State Bank of Vietnam (SBV)’s proposal to allow large State-owned commercial banks to retain their dividends or pay them in shares to increase capital.

The Saigon-Hanoi Commercial Joint Stock Bank (SHB) has a plan to increase its charter capital by over 5.53 trillion VND (237.48 million USD) to more than 17.57 trillion VND (754.5 million USD) via public offering of shares and paying dividends in the form of additional stocks.

The Vietnam Maritime Commercial Joint Stock Bank (Maritime Bank) has been certified by assessment body Economic Dividends for Gender Equality (EDGE) in recognition of its commitment to gender equality in the workplace.

The Ho Chi Minh City Power Corporation under the Electricity of Vietnam (EVN HCMC) has been presented an Economic Dividends for Gender Equality (EDGE) Certification, making it the first enterprise in Vietnam to receive the certification.

The Government is directing ministries and agencies to raise capital for State-owned commercial banks through the use of dividends or share sales this year, Deputy Prime Minister Vuong Dinh Hue said at a recent meeting.

The low-cost carrier Vietjet Air will issue more than 90.2 million shares as dividends paid to its shareholders for the last stage of 2017 at the rate of 20 percent.

The Saigon – Hanoi Bank (SHB) plans to raise its charter capital by more than 1.2 trillion VND (52.8 million USD) to 13.24 trillion VND (582.56 million USD) in 2018.

Kasikornbank (KBank), the fourth largest lender by assets of Thailand, predicted the baht will continue to appreciate against the US dollar in the next few months, following brisk gains in January.

State-owned banks are finding it more difficult to increase charter capital, especially when they still have to pay dividends instead of keeping the money for this purpose.

The Government’s recent decision on the restructuring of credit institutions ensures that State-owned banks listed on the market no longer have to worry about dividend payout in cash, experts said.

Along with owners of State invested firms, the Ministry of Finance (MoF) will also participate in decision-making on dividend payout at firms to better manage State assets.

As of May, the Government's revenue from dividends remained low at only 13.5 trillion VND (602 million USD), equal to only 25 percent of the estimates for the year.

The World Bank (WB) announced its World Development Report 2016: Digital Dividends in Hanoi on March 14.

Many companies have declared over hundreds of billions of Vietnamese dong to pay dividends in the next two months.