Vietnam Bank for Social Policies

Name

Vietnam Bank for Social Policies

Legal name

Vietnam Bank for Social Policies

Website

https://vbsp.org.vn

Company type

Private

Founded year

2002

Operating status

Operating

Headcount range

5,001–10,000 employees

Short description

Vietnam Bank for Social Policies (VBSP) is Vietnam's sole state-owned policy bank, founded in 2002 to deliver concessional credit to poor households, disadvantaged students, and vulnerable populations through 34 provincial branches and approximately 11,000 commune-level transaction points nationwide.

Ownership category

akta.pro rank

Product category

Policy Banking / Microfinance

NAICS

Depository Credit Intermediation (5221), Finance and Insurance (52)

SIC

State Commercial Banks (6022)

akta.pro primary industry

National Development Banks & State Development Finance Institutions (DFIs) (BPADACAC)

Keywords

• Social policy lending
• Concessional credit programs
• Microfinance services
• Poverty alleviation finance
• Financial inclusion banking

Headquarters

HQ city

Hanoi

HQ country

Vietnam

HQ region

Asia

Offices4 records

Markets served

GTM type

B2C

Offering type

Services

Cost components

Personnel, Operations, Infrastructure, Technology or R&D, Others

Revenue model

1. Policy-Based Interest Income: VBSP is a state-owned policy bank that operates on a non-profit basis. It earns interest income from concessional loans extended to poor households, students, and other policy target groups. Interest rates are set by the government and are below commercial rates. The bank's operational costs are subsidized by the state budget.
2. Savings Deposits: The bank accepts savings deposits from the general public at commune-level transaction points, paying interest to depositors and using those funds partly for on-lending to policy borrowers.
3. Government Subsidies and Capital Allocations: The bank receives periodic capital injections and operational subsidies from the state budget. Government sources (state budget, international development funds via government programs) provide the primary lending capital, with the bank acting as a policy delivery channel.

Pricing tiers

Go-to-market motion2 records

Distribution channels5 records

Marketing channels6 records

Core offering

Vietnam Bank for Social Policies (VBSP/NHCSXH) is a state-owned policy bank that delivers government-mandated concessional credit programs and basic banking services to poor and vulnerable populations in Vietnam. It provides preferential microloans to poor and near-poor households, students, ethnic minorities, post-rehabilitation individuals, and small enterprises, alongside savings deposit accounts, payment/remittance services, and a mobile banking application. Its defining operational feature is a network of approximately 11,000 commune-level transaction points that bring basic financial services into every commune/ward nationwide.

Product overview

Vietnam Bank for Social Policies (VBSP) operates as a policy bank offering a comprehensive suite of preferential credit programs and banking services. The product portfolio centers on targeted lending programs for disadvantaged groups including poor households, near-poor households, students, ethnic minorities, and marginalized populations. Core credit programs include poor household lending, student lending, social housing loans, employment support loans, clean water/sanitation loans, and specialized programs for post-incarceration individuals and drug rehabilitation participants. International development partner-funded programs include KFW small enterprise lending, World Bank forestry lending, and Nippon Foundation disability-focused lending. Banking services encompass savings deposits (term and demand), payment/transfer services, and remittances. Digital offerings include VBSP SmartBanking mobile application and GO DIGITAL financial education programs. The bank operates through a nationwide network of provincial branches and commune transaction points to deliver services to rural and underserved populations.

Differentiator

Problem solved

Functional benefit

Brands

• VBSP SmartBanking: Mobile banking application for digital services

Products and services

• Concessional Lending Program for Poor and Near-Poor Households (Chương trình cho vay hộ nghèo) Preferential credit program providing below-market-rate loans to poor and near-poor households for production, business, livestock, housing improvement, and livelihood development. Loans are disbursed without collateral requirements.
• Student Concessional Lending Program (Chương trình cho vay học sinh, sinh viên) Concessional loans for tuition and living expenses to students from poor and near-poor households, disbursed via ATM cards through the bank and partner education institutions.
• Social Housing Lending Program (Chương trình cho vay nhà ở xã hội) Preferential loans supporting purchase, construction, or renovation of social housing for poor and low-income households.
• Employment and Livelihood Creation Lending Program (Chương trình cho vay hỗ trợ tạo việc làm) Loans to micro-enterprises, cooperatives, and individuals to create, maintain, and expand employment opportunities.
• Clean Water and Rural Sanitation Lending Program (Chương trình cho vay cấp nước sạch và vệ sinh môi trường nông thôn) Concessional loans financing the construction of clean water supply systems and rural sanitation facilities for poor households in rural areas.
• Overseas Contract Worker Lending Program (Chương trình cho vay hỗ trợ đi làm việc ở nước ngoài theo hợp đồng) Loans for Vietnamese workers going abroad under employment contracts, including deposit guarantees for the Korea EPS (Employment Permit System) program.
• Post-Rehabilitation and Post-Incarceration Reintegration Lending Program (Chương trình cho vay người sau cai nghiện ma túy / người chấp hành xong án phạt tù) Concessional credit to individuals recovering from drug addiction or returning from incarceration, supporting vocational training and small business activities for reintegration into society.
• Ethnic Minority and Mountainous Region Development Lending Program (Chương trình cho vay phát triển vùng dân tộc thiểu số và miền núi) Special credit programs targeting ethnic minority households in Vietnam's mountainous and remote regions, including the Central Highlands (Tây Nguyên) and border provinces, for economic development.
• KfW Small and Medium Enterprise Lending Program (Chương trình cho vay dự án doanh nghiệp nhỏ và vừa) Small and medium enterprise lending program financed through Germany's KfW development bank for SME development.
• World Bank Forestry Lending Program (Chương trình cho vay hỗ trợ trồng rừng trong dự án phát triển ngành lâm nghiệp) Forestry lending program financed through World Bank funding for afforestation and sustainable forestry development in project areas.
• Nippon Foundation Small-Scale Disability Inclusion Lending Program (Chương trình cho vay quy mô nhỏ NIPPON) Small-scale lending program for production facilities serving or operated by persons with disabilities, financed through the Nippon Foundation.
• Savings Deposit Services (Dịch vụ nhận tiền gửi tiết kiệm) Savings deposit services including term deposits (Tiền gửi tiết kiệm có kỳ hạn) and demand deposits (Tiền gửi tiết kiệm không kỳ hạn / Tiền gửi thanh toán) for individual customers, with a minimum deposit of 500,000 VND. Deposit interest rates equivalent to commercial bank rates.
• Payment and Money Transfer Services (Dịch vụ thanh toán và chuyển tiền) Domestic money transfer services including incoming transfers (Chuyển tiền đến trong nước), outgoing transfers (Chuyển tiền đi trong nước), and remittance services (Dịch vụ chuyển tiền kiều hối) for individual customers.
• VBSP SmartBanking Mobile Application Mobile banking application providing digital financial services to existing customers, including account management and transactions, complementing the physical commune-level transaction point network.
• GO DIGITAL Digital Literacy and Financial Education Program (Bình dân học vụ số, GO DIGITAL) Digital literacy and financial education program promoting digital transformation and basic digital skills for customers and communities.
• STEM Education Lending Program (Chương trình cho vay STEM) Concessional lending program supporting students pursuing science, technology, engineering, and mathematics education.

Quantifiable outcome

• 270,000+ households served in Nghệ An province alone, with 6,536 billion VND in outstanding loans
• +4 more outcomes

Named customers8 records

Segments6 records

Ideal customer profiles3 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature3 records

Partnerships

Seven partnerships are on record, tiered minor and core.

• MUFG Bank / NHNN Vietnam / SHBFinanceminorStrategic or Co-development Partner · 12 January 2025VBSP participated in a financial education program 'Hiểu để không bị mắc lừa' (Understanding to avoid being scammed) organized jointly by the State Bank of Vietnam, MUFG Bank, NHCSXH, and SHBFinance. The program was held in Đà Bắc district, Hòa Bình province, targeting rural communities with essential financial literacy knowledge.
• Banking with the Poor NetworkminorStrategic or Co-development PartnerVBSP is listed as a member of the Banking with the Poor Network, an international network of financial institutions focused on financial inclusion for the poor. This membership provides knowledge-sharing and benchmarking opportunities with similar institutions globally.
• APRACA (Hiệp hội Tín dụng Nông nghiệp và Nông thôn khu vực Châu Á Thái Bình Dương)minorStrategic or Co-development PartnerVBSP is a member of the Asia-Pacific Rural and Agricultural Credit Association (APRACA), a regional network promoting rural finance and agricultural credit. Membership enables cross-border learning and institutional cooperation. A high-level ASDP-Nepal delegation visited VBSP in March 2023 under APRACA framework.
• State Bank of Vietnam (Ngân hàng Nhà nước)coreOthersThe State Bank of Vietnam (SBV) is the banking regulator and supervisory authority over VBSP. VBSP operates as a specialized policy bank under SBV's regulatory framework. SBV sets the overall monetary and banking policy within which VBSP operates.
• Ministry of Finance (Bộ Tài chính)coreOthersThe Ministry of Finance is the state agency responsible for state budget allocations to VBSP. VBSP receives capital from government budget allocations and operates under the financial supervision of the Ministry of Finance.
• Ministry of Labor, Invalids and Social Affairs (Bộ Lao động - Thương binh và Xã hội)coreOthersThe MOLISA is the line ministry responsible for social welfare policy, including poverty reduction programs that VBSP delivers. The ministry sets eligibility criteria for policy beneficiaries and coordinates with VBSP on program design and implementation.
• NAYOBY BANK (Myanmar)minorStrategic or Co-development PartnerVBSP and NAYOBY BANK (Myanmar) have conducted a joint workshop for operational experience exchange under the framework of regional financial inclusion cooperation. This peer-to-peer learning relationship supports institutional capacity building for both institutions.

Scale indicators12 records

Recent moves6 records

Expansion highlights5 records

Others

• KfW Development Bank: German state-owned development bank that is itself a VBSP program partner (KfW-funded SME credit line) and also a global peer in the policy/development finance space, relevant as a counterpart institution rather than a direct competitor.

Direct peers

• Land Bank of the Philippines: Philippine state-owned bank mandated to serve farmers, fisherfolk, and rural cooperatives with concessional credit and related services, sharing VBSP's policy-bank mandate targeting disadvantaged rural populations.
• Khushhali Microfinance Bank: Pakistan's flagship microfinance bank focused on poverty alleviation through small uncollateralized loans to low-income households, structurally similar to VBSP's concessional lending to poor households.
• Bank Rakyat Indonesia (BRI): Indonesian state-owned bank with a massive microfinance unit serving millions of small borrowers through rural branches and unit desa, closely mirroring VBSP's mandate to extend credit to underserved populations at scale.
• National Bank for Agriculture and Rural Development (NABARD): India's apex development finance institution for agriculture and rural economy, channeling concessional credit to poor and rural borrowers via institutional partners, functionally comparable to VBSP's role as policy credit conduit.
• Grameen Bank: Bangladesh-based microfinance institution providing small uncollateralized loans to poor households through group-based lending, conceptually the closest peer to VBSP's social credit and grassroots group-lending model.

Regional players

• National Bank of Cambodia: Cambodia's central and development bank with policy lending functions in a neighboring Southeast Asian economy, sharing the regional policy-bank context but operating under different mandate specifics.
• Banco do Nordeste do Brasil: Brazilian regional development bank administering concessional credit programs for low-income and rural borrowers in northeastern Brazil, comparable as a state development finance institution but focused on a specific region.

Emerging players

• BRAC Bank / BRAC Microfinance: Bangladesh-based microfinance institution running group-based lending to poor women and households, conceptually aligned with VBSP's grassroots village savings and lending group model.

Broad incumbents

• Postal Savings Bank of China: Large Chinese state-owned bank with extensive rural deposit-taking and policy-aligned lending network, comparable in scale and rural distribution depth but serving a much larger and broader commercial remit than VBSP.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat4 records

Key risks6 records

Key highlights7 records

Customer concentration

• Xx.com/icd_vbsp

Revenue estimate

Valuation estimate

Number of profiles

Profiles2 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

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Frequently asked questions about Vietnam Bank for Social Policies