By Sundeep Tucker in Hong Kong
Published: September 10 2008 03:00 Last updated: September 10 2008 03:00
HSBC and Standard Chartered are gearing up to expand their operations in Vietnam after securing approval to be the first overseas banks to incorporate their local operations in the fast-growing economy.
The State Bank of Vietnam yesterday awarded each a license to apply to open wholly owned units in the country, honouring a pledge it made when it joined the World Trade Organisation last year. Some 40 foreign banks account for less than 15 per cent of total lending in Vietnam and local incorporation will give HSBC and StandardChartered a head start on foreign rivals.
Thanks to Fred Becker, our man in London, for this story from the Financial Times. You can read the whole story here: http://www.ft.com/cms/s/0/de4bf6c8-7e90-11dd-b1af-000077b07658.html As an interesting tidbit, HSBC has been involved in Vietnam since 1870. Bet you didn't know that! StandardChartered followed with a branch in 1904.