Partly-equitised Vietcombank posted a creditable pre-tax profit of 2.8 trillion VND (145.83 million USD) to June 30, up 7.3 percent against the same six months of last year.

After-tax profit of 2.15 trillion VND (111.77 million USD) was up 8.7 percent.

"I'm pleased with the result and believe Vietcombank will be able to beat its target of 4.5 trillion VND (234.38 million USD) in pre-tax profit by year end," Vietcombank chairman Nguyen Hoa Binh told Vietnam News on July 28.

It would have been very difficult to make a higher profit.

The bank's net profit to June 30 was 4.19 trillion VND (218.12 million USD), up 40.7 percent against the first six months of last year.

Net income from non-credit services was up 15 percent to 475 billion VND (24.74 million USD). But revenue from the bank's foreign exchange services was down 50.9 percent to 192 billion VND (10 million USD).

Credit services accounted for 80 percent of the total profit, Vietcombank Financial Statement Spokeswoman Phung Nguyen Hai Yen told Vietnam News.

The non-credit and foreign exchange services provided the remainder.

Vietcombank had wanted to raise its profit from non-credit services but the effort failed.

The Hanoi-based bank increased its risk provision 39.6 percent against the first half of last year to 350 billion VND (18.22 million USD).

Its total assets as of June 30 was 246.33 trillion VND (12.83 billion USD).

The bank is now increasing its charter capital from 12.1 trillion VND (630.2 million USD) to 13.22 trillion VND (688.7 million USD) through the issuing of 112.28 million shares to existing shareholders - including the State - at a ratio of 1,000:92.79.

The State Bank of Vietnam - the State's holder of Vietcombank shares - transferred 1.02 trillion VND (53.02 million USD) from the support fund for the reorganisation and equitisation of State-owned enterprises to buy additional shares on July 26. The State now holds almost 1.1 billion or 90.72 percent of Vietcombank shares.

Vietcombank has sold 5 million shares or 0.57 percent of its stake in Eximbank and 19 percent of its stake in Gia Dinh Bank to reorganise its investment portfolio.

It now holds an 8.19-percent stake in Eximbank and 11 percent in Gia Dinh Bank.

The sales were also intended to help Vietcombank raise its minimum capital adequacy ratio to 9 percent - instead of the previous 8 percent - and lower its ownership of other credit institutions to 11 percent in accordance with central bank regulations, explained general director Nguyen Phuoc Thanh.

Vietcombank shares, VCB on the HCM Stock Exchange, closed down 0.1 percent at 36,900 VND each July 28./.