Enhancing the efficiency of capital mobilization of the bank for the investment and development of vietnam – chuong duong branch

ĐẠI HỌC QUỐC GIA HÀ NỘI TRƯỜNG QUẢN TRỊ VÀ KINH DOANH - NGUYỄN THỊ MAI LAN ENHANCING THE EFFICIENCY OF CAPITAL MOBILIZATION OF THE BANK FOR THE INVESTMENT AND DEVELOPMENT OF VIETNAM – CHUONG DUONG BRANCH NÂNG CAO HIỆU QUẢ HUY ĐỘNG VỐN TẠI NGÂN HÀNG ĐẦU TƯ VÀ PHÁT TRIỂN VIỆT NAM – CHI NHÁNH CHƯƠNG DƯƠNG LUẬN VĂN THẠC SĨ QUẢN TRỊ KINH DOANH HÀ NỘI - 2022 ĐẠI HỌC QUỐC GIA HÀ NỘI TRƯỜNG QUẢN TRỊ VÀ KINH DOANH - NGUYỄN THỊ MAI LAN ENHANCING THE EFFICIENCY OF CAPITAL MOBILIZATION OF THE BANK FOR THE INVESTMENT AND DEVELOPMENT OF VIETNAM – CHUONG DUONG BRANCH NÂNG CAO HIỆU QUẢ HUY ĐỘNG VỐN TẠI NGÂN HÀNG ĐẦU TƯ VÀ PHÁT TRIỂN VIỆT NAM – CHI NHÁNH CHƯƠNG DƯƠNG Chuyên ngành: Quản trị kinh doanh Mã số: 8340101.01 LUẬN VĂN THẠC SĨ QUẢN TRỊ KINH DOANH NGƯỜI HƯỚNG DẪN KHOA HỌC: PGS.TS PHẠM THỊ THANH HOÀ HÀ NỘI - 2022 DECLARATION I hereby declare that this thesis on the topic “Enhancing the efficiency of the Capital Mobilization of the Bank for Investment and Development of Vietnam - Chuong Duong Branch” is my personal research work during this period via All data used for analysis in the thesis and research results are my own research and analysis, objectively, honestly, with clear origin and have not been published in any form I take full responsibility for any dishonesty in the information used in this study.” Hanoi, 15/09/2021 Student Nguyen Thi Mai Lan i ACKNOWLEDGEMENTS First of all, I would like to thank my supervisor, Assoc of Prof Dr Pham Thi Thanh Hoa This graduate thesis would have never been accomplished if I hadn’t had her assistance and dedicated involvement in every step throughout the process I would like to thank you very much for your support and understanding over these times I would also like to show gratitude to my teachers at the Hanoi School of Business and Management (HSB) with enthusiastic and inspiring teachers, including Their teaching style and creativities for the topic made a strong impression on me and I have always carried positive memories of all the classes with me Getting through my thesis required more than academic support, and I have many, many people to thank for listening to and, at times, having to tolerate me over the past two years I cannot begin to express my gratitude and appreciation for their friendship My friends have been unwavering in their personal and professional support during the time I spent at HSB ii TABLE OF CONTENTS DECLARATION i ACKNOWLEDGEMENTS ii TABLE OF CONTENTS iii LIST OF TABLE vi LIST OF FIGURE vii INTRODUCTION .1 The urgency of the topic Overview of research Purpose and mission of the study 3.1 General objective: .6 3.2 Detail goal: .6 Research question Object and scope of the study Research method 6.1 Approach method: Research method: 7 Proposed thesis structure .8 CHAPTER THEORETICAL BASIS OF CAPITAL MOBILIZATION ACTIVITIES OF A COMMERCIAL BANK .9 1.1 Commercial bank overview 1.1.1 Concepts and functions of Commercial Banks 1.1.2 The main activities of commercial banks 10 1.1.3 Roles and functions of commercial banks .11 1.1.4 Basic operations of a commercial bank 14 1.1.4.1 Fundraising activities 14 1.2 Capital raising activities of commercial banks 15 1.2.1 The concept and role of capital mobilization for commercial banks 15 iii 1.2.2 The necessity of raising capital for commercial banks 16 1.2.3 Types of capital mobilization by commercial banks .18 1.3 Criteria for evaluating capital mobilization activities at commercial banks 21 1.3.1 The role of capital mobilization activities for commercial banks 21 1.3.2 Evaluation of capital mobilization activities at commercial banks 21 1.4 Factors affecting the capital mobilization of commercial banks 25 1.4.1 Internal factors of commercial banks 25 1.4.2 External factors of commercial banks .27 CHAPTER 30 CURRENT SITUATION OF CAPITAL MOBILIZATION IN VIETNAM BANK FOR INVESTMENT AND DEVELOPMENT – .30 CHUONG DUONG BRANCH .30 2.1 Overview of Bank for Investment and Development of Vietnam - Chuong Duong Branch 30 2.1.1 History of formation and development 30 2.1.2 Business performance of Bank for Investment and Development of Vietnam - Chuong Duong Branch .34 2.2 Actual situation of capital mobilization at Bank for Investment and Development of Vietnam Chuong Duong Branch 37 2.2.1 Forms of capital mobilization 37 2.2.2 The ability to meet the capital use needs of BIDV, Chuong Duong branch .49 2.2.3 Cost of raising capital 51 2.3 Evaluation of capital mobilization of Joint Stock Commercial Bank for Investment and Development of Vietnam - Chuong Duong Branch through survey questionnaires .52 2.3.1 Evaluate about: Capital mobilization policy 52 2.3.2 Evaluate about: Capital mobilization products 53 2.3.3 Evaluate about: Facilities of BIDV Chuong Duong 53 2.3.4 Evaluate about: Capital mobilization activities .54 iv 2.4 Evaluation of capital mobilization activities at Bank for Investment and Development of Vietnam – Chuong Duong Branch .55 2.4.1 Result .55 2.4.2 Limited and causes 57 CHAPTER 62 SOLUTIONS TO PROMOTE CAPITAL MOBILIZATION AT VIETNAM'S INVESTMENT AND DEVELOPMENT CHUONG DUONG BRANCH 62 3.1 Orientation for capital raising activities of BIDV Chuong Duong 62 3.1.1 General orientation 62 3.1.2 Orientation for capital mobilization .63 3.2 Solutions to increase capital mobilization for BIDV Chuong Duong 64 3.2.1 Diversify capital mobilization products and services 64 3.2.2 Building a reasonable capital mobilization policy, interest rate is the key factor .67 3.2.3 Develop plans and plans to use capital effectively 69 3.2.4 Promote Bank Marketing activities 70 3.2.5 Expand operation network and improve facilities 72 3.3 Recommendations .74 3.3.1 Recommendations to BIDV Vietnam 74 3.3.2 Recommendations to the State Bank of Vietnam 79 3.3.3 Recommendations to the State .81 CONCLUSION 83 REFERENCES 84 v LIST OF TABLE Table 2.1: Business results of BIDV Chuong Duong Branch period 2018-2020 .36 Table 2.2: Funding results at BIDV Chuong Duong in the period of 2018-2020 38 Table 2.3: Credit balance of BIDV Bank Chuong Duong Branch period 2018-2020 40 Table 2.4: Mobilization of capital through deposits of residents in the period 20182020 42 Table 2.5: Capital mobilization through the issuance of valuable papers in the period 2018-2020 43 Table 2.6: Payment deposits of economic organizations in the period of 2018-2020 .44 Table 2.7: Capital structure by currency at BIDV Chuong Duong in the period of 2018-2020 45 Table 2.8: Capital structure by term at BIDV Chuong Duong in the period of 20182020 47 Table 2.9: Capital structure by mobilized sources in the period 2018-2020 48 Table 2.10: Balance between capital mobilization and use in the period 2018-2020 49 Table 2.11: Balance between capital mobilization and use structure in the period of 2018-2020 50 Table 2.12 Cost of capital mobilization over the years in the period 2018-2020 51 Table 2.13: Survey results on capital mobilization policy of BIDV Chuong Duong 52 Table 2.14: Survey results on capital mobilization products of BIDV Chuong Duong.53 Table 2.15: Survey results on facilities of BIDV Chuong Duong 53 Table 2.16: Survey results on capital mobilization activities of BIDV Chuong Duong 54 vi LIST OF FIGURE Figure 2.1: Organizational structure of BIDV, Chuong Duong branch 33 Figure 2.2: Business results of BIDV Chuong Duongperiod 2018-2020 37 Figure 2.3: Structure of capital by foreign currency 46 Figure 2.4: Balance between capital mobilization and use .49 vii INTRODUCTION The urgency of the topic Capital plays a very important role in any business For the commercial banking system as an intermediary operating in the monetary sector, capital is even more important Depending on the specific conditions of each bank, the environmental conditions in which a bank operates, banks often seek their own increasingly appropriate forms of capital mobilization Raising capital is one of the fundamental problems that commercial banks always face In order to maintain regular operations, while ensuring solvency and the ability to provide capital for loans, banks must mobilize a stable source of capital, with a reasonable capital structure and cost the capital is low and the capital size is appropriate to the bank's scale of operations However, in the context of our country's always changing economy and unpredictable fluctuations, banks always face difficulties in raising capital, such as difficulty in attracting customers, capital mobilization costs are increasing In addition, the network of banks is expanding day by day, raising the efficiency of capital mobilization is on top priority and plays an important role in improving competitiveness of the bank on the market Joint Stock Commercial Bank for Investment and Development of Vietnam (BIDV) - Chuong Duong Branch has always been focused and has achieved certain results in capital mobilization However, the capital mobilization process still faces many difficulties, the achievement is not high In addition to the significant impacts of market factors such as: prices, high inflation, complicated exchange rate fluctuations, deposit interest rates are always hot, the competition among commercial banks is equal interest rates are increasingly drastic… the Branch also has shortcomings that need to be overcome On the other hand, the main source of income for BIDV Chuong Duong is net income from capital mobilization, credit and net service income, in which the net income from capital mobilization is a large, safe and stable source of income for spending branch Therefore, the branch b Public Relations (PR) PR is a term that refers to activities undertaken to build and maintain mutual understanding between the bank and its stakeholders PR is not only oriented to customers but also to many other parties such as media agencies, authorities, customers, partners, etc PR is considered to be more effective than advertising because of its approach wider, the truthfulness of the information is higher, and the prestige is higher However, the conditions for PR are more difficult and the bank does not have the initiative as advertised BIDV Chuong Duong can through coordination and cooperation activities with relevant stakeholders to provide information and images about the bank and the products and services it is providing In addition, when launching new products, services or promotional programs, the Bank should organize press conferences and conferences to increase prestige and show the professionalism of a large bank c Promotion mix, promotion A tool to promote and stimulate customers to create demand for products locally, immediately or in a short time This method is often used on the occasion of major national holidays or important milestones for the bank such as birthdays, anniversaries, etc On these days, the bank will launch programs attractive promotions, stimulate customers to come and participate Promotional forms are quite diverse, typically interest rate bonuses, gifts, winning prizes, offering accompanying services, etc The prize value must be really meaningful to increase its effectiveness A note when performing mixed promotion and promotion is that it needs to be done with focus and focus so as not to overshadow and reduce the attractiveness d Internal communications Internal communication is an important activity that cannot be ignored Although it is rarely mentioned when implementing a marketing strategy, it is a factor that contributes to its effectiveness This is a multi-dimensional communication activity carried out within the bank, between senior staff and junior staff so that all members understand what is happening internally and future orientation help them believe, work and contribute Good internal communication 71 also helps employees better understand the products that the bank is providing, understand their duties and work to advise and serve customers better Internal communication channels include: Internal Magazine, Intranet, Electronic Newsletter, Association, Internal Group, Direct Communication, Bulletin Board e Some other marketing and marketing methods: In addition to the above marketing methods, BIDV Bank Chuong Duong branch needs to be flexible when implementing a number of other marketing methods such as: - In addition to the above marketing methods, BIDV Bank Chuong Duong branch needs to be flexible when implementing some marketing methods to visit, win prizes, give vouchers, etc - In connection with the above marketing methods, BIDV Bank Chuong Duong branch needs to be flexible when implementing a number of marketing methods to visit, win prizes, give gifts - Implementation of marketing methods and suggestions: BIDV bank, Chuong Duong branch, needs to be flexible when implementing some marketing methods to visit, win prizes, give vouchers, etc to serve customers Effective marketing activities will help BIDV Bank Chuong Duong branch to expand customers, maximize the size of mobilized capital, and at the same time strengthen the Bank's position, reputation and brand among all classes of people reside This is a tool to firmly shape the image of the Bank in the hearts of customers, promoting demand for products that BIDV is providing 3.2.5 Expand operation network and improve facilities Professional qualifications and attitude towards customers of BIDV's staff, Chuong Duong branch have a great influence on customers' decision to deposit money This is clearly reflected in the direct transactions in the process of raising capital as well as transactions at the Bank This result also affects the operational efficiency of the entire capital mobilization in particular as well as the activities of BIDV Bank, Chuong Duong branch in general 72 In order to improve service quality, raise the efficiency of capital mobilization in general and the efficiency of activities at BIDV Bank, Chuong Duong branch in particular, the improvement of the capacity and professional qualifications of the banking team is important staff is essential and plays an important role Below are some suggestions on measures to improve professional qualifications and working capacity for staff at BIDV Chuong Duong branch - Building transaction culture of BIDV Bank Chuong Duong branch through working attitude and style of staff The key is to improve communication skills, service attitude, showing the friendliness, enthusiasm and dedication of the Bank's staff - The Bank should determine that in-depth professional training for officers and employees is a long-term and effective development strategy It is necessary to conduct intensive training on traditional operations, in parallel with updating new knowledge and modern and advanced working methods in the current banking system Training objectives need to be carried out on a long-term and periodic basis, so the Bank needs to develop a training plan in each appropriate period to bring about the highest efficiency while not affecting the overall operation In addition, it is necessary to clearly define the training purposes, training subjects and the contents and knowledge that need to be disseminated to bring the highest efficiency in the training process as well as the feasibility when applied in practice see off - In order to improve service quality as well as improve operational efficiency, it is necessary to arrange suitable human resources, at the right positions and with professional qualifications to promote individual strengths and capabilities of each person - Develop a specific and transparent reward and discipline regime to encourage and encourage the working spirit of officials and employees Should launch emulation movements in the unit to stimulate the spirit of work, effort and progress in each individual - Develop work plans, specific and closely related work targets to accurately and fairly evaluate the ability to work as well as create motivation for each individual Along with the reward regimes, both material and spiritual, it is also 73 necessary to have policies to cut emulation applied to cases where cadres not fully fulfill the planned targets In particular, it is necessary to strictly discipline and criticize officials who violate principles, corrupt and corrupt officials, causing serious consequences, causing damage and affecting the Bank's reputation - The bank should also organize sharing and discussion sessions between groups and departments in order to create a sociable working environment, colleagues to learn and exchange experiences with each other This is also a form of self-training that brings high efficiency and stimulates healthy and active competition from staff in the same Bank Above are some suggestions on how to perform the management work, improve the qualifications and capacity of the staff at BIDV Bank, Chuong Duong branch This is also a staff training method that is applied effectively in many other banking units in the country as well as office units Therefore, these solutions can be completely applied at BIDV Bank, Chuong Duong branch If applied in a suitable and harmonious way, these improvement solutions can help improve service quality better as well as contribute to improving the qualifications and capacity of the staff and workers At the same time, building a civilized, polite and positive service environment at BIDV Bank, Chuong Duong branch 3.3 Recommendations 3.3.1 Recommendations to BIDV Vietnam Although there are still many limitations, however, within the scope of the thesis as well as the scope of my research topic, the author of the thesis would like to give some recommendations to BIDV in order to improve the quality of banking services capital mobilization activities in general as well as the quality of capital mobilization activities in Chuong Duong city in particular It is hoped that these comments will partly help the bank to improve the quality of its operations as well as bring about the highest efficiency in credit mobilization in particular and the operation of the bank in general Firstly, BIDV Vietnam needs to improve the internal capital transfer pricing mechanism 74 Completing the FTP internal transfer pricing mechanism will bring high efficiency in credit mobilization and contribute to creating a good foundation for bank staff to easily approach potential customers At the same time, the completion of the internal FTP transfer pricing mechanism also aims to support branches, reduce business risks and ensure the interests of customers In addition, the decentralization of authorization needs to be implemented effectively, creating conditions for branches to decide on mass interest rates FTP (Fund Transfer Pricing) is a term that refers to the interest rate of "buying" capital and "selling" capital, made between Head Office and Business Units Branches/transaction offices will become business units and sell all liabilities (typically raising capital) to the Head Office and collect interest, and at the same time buy all assets from the Head Office yes (typically a loan) Thus, liquidity risk and interest rate risk will be brought to the Head Office In order to attract more customers, the FTP cost should be established with a separate price for each customer group, increase the FTP price for important customers, so that the branch level has favorable and flexible conditions more active when implementing policies to attract and retain customers, increase competitiveness with other competitors in the market Second, BIDV Vietnam needs to decentralize authorization in mobilizing capital The decentralization of authorization in capital mobilization will help increase the initiative when deciding the deposit interest rate at branches This also means giving the initiative to each branch However, it is also necessary to have a control limit such as specific regulations on deposit balance and interest rate margin to ensure control and business safety If proactive empowerment at branches can be well implemented, the exploitation of mobilized capital will have more breakthroughs, be more effective and also be easier This is completely achievable when the bank staff working directly in the locality are the ones who regularly interact and work with customers as well as understand the aspirations and needs of customers the most Therefore, when implementing proactive empowerment at bank branches, it is equivalent to helping the bank operate better and more specifically 75 Even this is also regulated by the State Bank of Vietnam to be implemented on a large scale with equivalent levels being commercial banks Accordingly, Article of Circular No 36/2014/TT-NHNN dated November 20, 2014 of the State Bank of Vietnam stipulates: “Limits and ratios to ensure safety in operations of credit institutions , foreign bank branches, credit institutions must issue internal regulations on credit extension These internal regulations must be reviewed, revised and supplemented periodically at least once a year Thus, commercial banks are like "extended arms" of entities that have the authority to issue legal documents Based on the provisions of the legal regulations, commercial banks need to set up internal regulations referring to the principle of decentralization, authorization of credit decisions, approvals, regulations on risk distribution risks in credit granting activities; method of deciding to grant credit to a customer and related persons at the level of 1% or more of the credit institution's own capital, publicity and transparency between the stages of appraisal, credit granting and debt restructuring, preventing prevent conflicts of interest between the appraiser, the person who decides to grant the credit and the customer who is a related person of these persons” According to the above Circular, the application of decentralization of authorization to commercial banks also means decentralizing operations in the most profound way to credit entities under the management of competent authorities enforce legal documents This means that commercial banks are independent entities operating under the supervision of legal organizations and working in accordance with the regulations promulgated by law Based on this principle, commercial banks in general and BIDV's Vietnam branch in particular can implement a similar model with their banking system Decentralization of authorization in capital mobilization proactively for bank branches under specific operating mechanism based on clear regulations and strict sanctions on capital mobilization level, interest rate or balance and interest margin will help banks control credit mobilization activities while still bringing initiative in work This is similar to remote monitoring based on specific regulations, which both helps BIDV Vietnam to reduce the burden of having to closely review and inspect each bank's operations, and at the same time, helps stimulate business 76 activities activity and initiative of each branch bank according to a certain framework Meanwhile, BIDV Vietnam can still easily control based on general sanctions on interest rates and capital mobilization margins Third, it is necessary to further develop products and services suitable for each set of customers In particular, focus on investing in term deposit products, meeting the bank's quick capital needs and creating safety and initiative when using capital Market research and customer research activities in the coming time must be really effective, thereby building deposit products and services for customers according to different purposes and needs Customer classification will help the bank make the most perfect pricing policy, product design, and marketing policy, satisfying the needs of customers, an effective measure to attract and increase customer choice choose and use the products that the bank offers Each customer according to age, level, condition at each time and place of living will have different needs as well as different credit mobilization potential Therefore, the development of specific products and services, suitable for each customer group, will help fully exploit the mobilized capital In addition, this contributes to reaching customers quickly and effectively, easily gaining market share as well as building customer trust Fourth, promote the application of modern technical technology to banking activities Applying modern and advanced technical technology to banking activities, becoming the most modern bank in the country, on par with world powers Improving and applying high technology, electronic technology, telecommunications, and the internet is an indispensable thing that any bank needs to to be able to compete in the current era of deeper and deeper integration Especially when at present, the application of modern techniques and advanced technologies to banking activities is carried out extensively, the technology race will bring many positive effects and innovations to banks Bank Moreover, when most customers now update technology quickly and promptly, the 77 application of techniques and technology also partly meets the needs of customers and avoids becoming obsolete in front of customers Fifth, BIDV Vietnam needs to strengthen support for branches in staff training The training of staff working in the Bank is a long-term strategy and also the right direction to help branch banks in particular and BIDV in general operate better and more efficiently It is the bank staff who are really the ones who regularly work and have direct contact with customers, therefore, they are the ones who communicate the bank's services, products and policies to the customers customers in the most specific, intuitive, clear and fast way Therefore, the implementation of training of banking ministries at branch banks will help increase working efficiency here However, due to the inadequacy of knowledge, ability as well as qualifications, self-training at the branch bank can hardly be effective without the help from the general bank BIDV Vietnam branch Moreover, specific regulations and plans are always implemented from the general bank, so direct training and training plan development from BIDV Vietnam will bring higher efficiency and accuracy and more professional Accordingly, BIDV Vietnam needs to support staff training at branch banks in general and BIDV's Chuong Duong branch in particular on issues such as: - Training in knowledge, expertise, operations, skills such as management, design, product development and deployment, communication skills, customer information skills - Training on fundraising products: periodically organize training courses on sales skills at different levels, improving product knowledge Especially when providing new products, the Bank needs to organize training sessions to help employees understand the product so that they can advise and convince customers - Develop credit manuals, detailed instructions on deposit products for customer relations officers and regularly update new content or adjustments, if any Sixth, BIDV Vietnam needs to develop a reasonable interest rate policy Building a reasonable interest rate policy not only helps employees at the bank work more easily, but also contributes to creating a competitive advantage in 78 the market Today, it can be seen that the race in the banking industry is very fierce, especially with new and foreign banks to attract and attract customers Because in essence, any individual, organization or business that chooses to deposit money in a bank wants to earn the highest profit, increase their own benefits And in order not to be underestimated, BIDV Vietnam also needs to have this attraction In fact, what makes customers choose to invest capital in a particular bank or credit institution is determined based on the reputation, growth rate and interest rate of each bank Therefore, taking advantage of interest rates will make it easier for banks to build trust with customers From there, it is easy to get a large market share of local customers 3.3.2 Recommendations to the State Bank of Vietnam The orientation and policies and decisions of the State Bank have a great influence on the business activities of the commercial banking system Therefore, in order to create a favorable business environment for the entire banking industry in general and BIDV's Chuong Duong branch in particular, it is necessary to play a great role of the State Bank of Vietnam, specifically: - Develop a reasonable monetary policy, complete and innovate the money market in accordance with the current situation Promote the market for government bonds and bank bills - Create conditions for banks to implement their own interest rate policies Since August 2002, the floating interest rate policy issued by the State Bank marked an important step Interest rates at banks are no longer coercive as before Allowing commercial banks the freedom to set interest rates helps create a competitive environment and encourages banks to take the initiative to create their own business strategies However, basically, this is still a form of "controlled floating" Therefore, in the coming time, the State Bank needs to take measures to make the floating interest rate policy really effective, which is a tool to help banks build competitive advantages for themselves Besides, it is impossible to relax management to ensure that interest rates are one of the tools to regulate the economy, promoting the role of the banking system in the socialist-oriented market economy 79 - The State Bank should create conditions for domestic banks to be competitive when integrating through reasonable policies on the ownership ratio of foreign investors and domestic banks - Strengthening international relations, enlisting the help of foreign partners in capital, technology and management - Continue to perfect the process of restructuring the banking system in order to build a healthy and efficient financial system Small and weak banks need to be narrowed down to create a competitive environment and at the same time, safe and healthy deposit and credit activities for both customers and banks - Strengthening the inspection, examination and supervision function of the State Bank of commercial banks in order to prevent illegal activities, detect errors and holes in business activities of commercial banks , thereby taking appropriate corrective measures - It is necessary to continue researching and perfecting the interest rate policy to suit the economic situation at each time, contributing to stabilizing social life, stabilizing macro indicators and economic development - The State Bank must be the leading unit in market research, long-term strategic planning and forecasting of risks for the whole system in order to be able to warn and offer effective preventive measures The SBV is also the center providing information to help commercial banks make accurate, correct and timely decisions - Effectively implement the function of reallocating capital from credit institutions with excess capital to places with temporary shortage of capital - Monitor commercial activities of commercial banks and provide timely relief measures when the bank encounters difficulties The activities of the State Bank and commercial banks have a reciprocal impact, so to create the common development for the entire banking industry in particular and the whole economy in general requires close and comprehensive coordination 80 3.3.3 Recommendations to the State - Maintaining a stable macroeconomic environment: When the economy, inflation, deflation, consumer price indexes, etc are kept stable, the value of the domestic currency and interest rates on the market will be maintained The new market stabilized and customer confidence in the bank was enhanced At the same time, economic development, people's living standards improve, businesses well, which are favorable conditions for the bank to develop in terms of both scale and quality of capital and credit mobilization On the contrary, in the condition of economic recession, banking activities will be halted, even falling into crisis In order to keep the economy developing stably, the State needs to effectively and synchronously implement macroeconomic measures, eliminate irrationalities in the economic structure Only then can we ensure rapid and sustainable growth - Improving the legal environment: One of the remaining problems is that the legal environment of our country is not really tight and unified Therefore, in the coming time, the Government needs to continue to supplement and complete the laws, by-laws, and legal regulations on issues related to banking operations A tight and stable legal environment will create a healthy and safe competition environment - Coordination of sectors and levels: The development of the banking system has important implications for the overall development of the entire economy And to get this development will need the coordination of sectors and levels In the course of business operations, each decision made must be considered from many angles and aggregated from many input sources, such as customer evaluation information, credit appraisal information This information source is mostly provided by departments such as the Department of Finance, tax authorities, insurance, etc Therefore, BIDV Chuong Duong Bank needs the attention, help and coordination of all levels industries in the area - Building business trust: Building trust for people is paramount to creating peace of mind and confidence when depositing accumulated money To this, it is 81 required that the rule of law state "of the people, by the people and for the people" must maintain macro-management in accordance with the constitution and the law It is necessary to quickly renew the administrative environment, remove difficulties and regulations that lack scientific and practical feasibility in order to improve the interests of the whole people 82 CONCLUSION In the context of fierce competition with many domestic and foreign competitors, creating a stable and solid capital is an extremely urgent issue Solving this will help the Bank expand its scale and create a competitive advantage, ensuring long-term development Aware of this, following the general direction of BIDV Vietnam, BIDV's Chuong Duong branch has taken solutions to enhance capital mobilization activities and initially brought positive results However, due to being a newly established branch and the impact of internal and external factors, the capital mobilization still has some shortcomings In order to solve these shortcomings and promote business activities of BIDV Chuong Duong to achieve more success, the author has selected the above problem as a research topic During the research process, although the author has made many efforts and received enthusiastic help from BIDV Chuong Duong's leadership, due to the limited level of awareness and understanding of the research area processing; The time to study and learn at the branch is not much, the topic is related to many areas of banking activities, so the thesis cannot avoid errors and misunderstandings The author is looking forward to receiving comments from scientists, teachers, teachers, colleagues and anyone interested in this issue so that the author can further improve the topic 83 REFERENCES Assoc.Prof.Dr Phan Thi Thu Ha (2009), Commercial Banking Administration, Statistical Publishing House, Hanoi TS Nguyen Thi Minh Kieu (2007), Modern banking profession, Statistics Publishing House Nguyen Thi Phuong Lien (2011), Curriculum on commercial banking management, University of Commerce Assoc.Prof.Dr Phan Thi Thu Ha, Commercial Banking Curriculum, National Economics University Publishing House, Hanoi, 2013 State Bank of Vietnam, Circular 48/2018 / TT-NHNN Regulation on savings deposits, Hanoi, 2018 The State Bank of Vietnam, Circular 49/2018 / TT-NHNN Regulation on term deposits, Hanoi, 2018 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Thi Minh Thanh, Deposit mobilization at Joint Stock Commercial Bank for Investment and Development of Vietnam - Hung Yen branch Master's thesis in economics, Hanoi University of Commerce, 2016 18 Luong Thi Quynh Nga (2011), Improving the efficiency of mobilizing capital deposits at Vietnam Export Import Commercial Joint Stock Bank, master thesis 19 Vu Thi Thu Nguyet (2014), Improving the efficiency of capital mobilization at Vietnam International Commercial Joint Stock Bank, master's thesis 20 Nguyen Thi Lan Phuong (2010), Solutions to increase capital mobilization at Joint Stock Commercial Bank for Foreign Trade of Vietnam, Master thesis 21 Bui Hoang Tung (2014), Some solutions to improve the efficiency of capital mobilization at Vietnam Bank for Agriculture and Rural Development - Trung Yen Branch, master thesis 22 Tong Thi Van (2015), Promoting the mobilization of residential capital at Vietnam Joint Stock Commercial Bank for Investment and Development, Nam Dinh branch, master thesis 85 ... SITUATION OF CAPITAL MOBILIZATION IN VIETNAM BANK FOR INVESTMENT AND DEVELOPMENT – CHUONG DUONG BRANCH 2.1 Overview of Bank for Investment and Development of Vietnam - Chuong Duong Branch 2.1.1... topic: "Enhancing the efficiency of the Capital Mobilization of the Bank for Investment and Development of Vietnam - Chuong Duong Branch" as the subject for my master thesis mine Overview of research... efficiency of the Capital Mobilization of the Bank for Investment and Development of Vietnam - Chuong Duong Branch" in terms of subject and scope of the study Purpose and mission of the study 3.1