Malaysian lender CIMB Group has received in-principle approval from Vietnam’s central bank to establish and operate a 100%-owned subsidiary in the country.
The bank intends to offer a wide range of wholesale, commercial and consumer banking products and services in Vietnam.
CIMB Group’s first branch in Hanoi is expected to be fully operational by the third quarter of 2016, during which the lender is expecting to secure the full operating banking licence.
Commenting on the approval, CIMB Group CEO Tengku Dato’ Zafrul Aziz said: "This approval allows us to expand our presence in Vietnam, a country that has shown resilient growth, backed by a large young population and growing middle class.
"With this foray into Vietnam, we will be able to further solidify our position as the leading ASEAN bank and offer the much needed regional connectivity to intermediate trade and investment flows."