Chapter 3 - The Achievement of Tech
Global Transaction Service
“Our impressive growth was driven by first-class digital capabilities, breakthrough products and solutions, dedicated SME–MSME offerings and our unyielding pursuit of the Main Operating Account strategy.”
Deputy CEO cum Chief Global Transaction Services Officer
Phan Thanh Son
2022 Highlights
NFI
54%
YOY
The headwinds of 2022 were turned into opportunities thanks to GTS’ quick strategic responses including enhanced digital capabilities, streamlined direct integration APIs, and dedicated offerings.
Net fee income was up 54% YoY driven by cash management (remittances, account services, agency services), trade services and FX. The stats speak for themselves, with YoY increases for:
89%
Cash management products
- +29% by remittances
- +191% by account services
- +199% by agency services
- +33% by collection
44%
Trade services
- +34% by Letters of Credit
- +65% by guarantees
75%
FX income
Enhanced digital capabilities
- The number of domestic remittance transactions grew 58%. Digital transactions accounted for c.86% of total transactions
- The transaction value of overseas remittances grew 69%. Digital transactions accounted for c.76% of total transactions
- Foreign exchange (FX) transaction value grew 38%. Digital transactions accounted for c.66% of total transactions
Streamlining the Direct Integration system
- Payment transaction volume grew 2.9 times, while total value increased 82%.
- Collection transaction volume grew 57%, with total value growing 25%.
Expanded dedicated offerings for small and medium enterprise (SME) and micro SME (MSME) customers
SMEs
- Payment transaction volume grew 2.9 times, while total value increased 82%.
- Collection transaction volume grew 57%, with total value growing 25%.
MSMEs
- Value of overseas remittances grew 118%.
- FX transaction value grew 64%, with volume up by 41%.
Accelerating Main Operating Account (MOA) strategy
We provided more reasons for customers to bank with us from transaction banking services, to new state-of-the-art tools such as cash and treasury management and a series of new complementary products.
Continuing to launch breakthrough products and solutions
In 2022, the breakthrough products that Techcombank put out into the market included:
- Pioneering investment solutions
- Fine-tuning and enhancing supply chain financing solutions
- Virtual corporate account solutions
- Expanding QR Code use
- Digital signature hub platform
‘Leading information, leading advice’
GTS worked with Wholesale Banking and Business Banking divisions to host a seminar series – ‘Market Forecast 2023: Liquidity Management for Vietnamese Enterprises’. Around 400 CEOs, CFOs and financial directors from Vietnam’s leading enterprises attended the forums in Ho Chi Minh City and Hanoi.
Seminar series – ‘Market Forecast 2023: Liquidity Management for Vietnamese Enterprises’
400
CEOs, CFOs and financial directors from Vietnam’s leading enterprises attended
80%
of participants found the content useful and particularly enjoyed the knowledge sharing and networking components
RATER model
60%
indicators improved in comparison with the baseline
Improving capabilities and position via RATER model to ensure the highest quality customer services
We established a complete set of comprehensive indicators to measure service quality across TCB’s three main digital channels – F@st EBank, Techcombank Business and Direct Integration.
Key milestones and awards
- FX: Most Active Bank, Best Market Maker and Top 5 volume trader by Refinitiv
- Payment: Best Corporate Payment Implementation in Vietnam by The Asian Banker
- Supply Chain Finance: Best Supply Chain Finance in Vietnam by The Asian Banker.
The focus of GTS for 2023
We will aim to maintain our 2022 momentum and focus on winning the Main Operating Account (MOA) of our corporate clients, which will help drive the CASA balances of the whole Bank.
We will look to complete the strategic initiatives and deliver new liquidity management solutions to help customers optimise their working capital.
More generally, we will keep developing and optimising the products and services we offer, covering:
- New collection and digital payment solutions
- Account receivable management
- Liquidity management
- Investment products
- Cooperation with digital partners.