NÂNG CAO CHẤT LƯỢNG THẨM ĐỊNH tài CHÍNH dự án TRONG HOẠT ĐỘNG CHO VAY tại NGÂN HÀNG GPBank sở GIAO DỊCH hà nội e

THESIS IMPROVING THE QUALITY OF FINANCIAL EVALUATION OF PROJECT IN LENDING IN GLOBAL PETRO COMMECIAL JOINT STOCK BANK HA NOI TRANSACTION OFFICE (10) 2013 Page i COMMITMENT I hereby declare that this dissertation is my own research The data and results described in this dissertation are honest and clearly originate TABLE OF CONTENT TABLE OF CONTENT LIST OF ABBREVIATIONS LIST OF TABLES LIST OF CHARTS, OUTLINES INTRODUCTION Page ii CHAPTER I: Overview on quality of project finance evaluation of lending activities in Commercial Banks 1.1 Project finance evaluation of lending activity 1.1 Definition of project finance evaluation 1.1.2 Process of project finance evaluation 1.1.3 Content of project finance evaluation 1.1.3.1 Evaluating the total investment capital and funding source 1.1.3.2 Evaluating expected financial tables 1.1.3.3 Evaluating the cash flow of project 1.1.3.4 Evaluating the discount interest rate of cash flow 1.1.3.5 Evaluating the financial efficiency of project 1.1.3.6 Evaluating financial risks of the project 1.2 Quality of project finance evaluation of lending activity in Commercial Banks 1.2.1 Definition of quality of project finance evaluation 1.2.2 Criteria for project finance evaluation 1.3 Influenced factors to quality of project finance evaluation of lending activity in Commercial banks 1.3.1 Subjective factors 1.3.2 Objective factors CHAPTER 2: Actual situation of quality of project finance evaluation of lending activity in GP Bank- Ha Noi transaction office 2.1 Introduction to GP Bank- Ha Noi transaction office 2.1.1 Overview on establishment and development 2.1.2 Organizational structure 2.1.3 Business results 2.2 Actual situation of quality of project finance evaluation of lending activity in GP Bank- Ha Noi transaction office Page iii 2.2.1 Process of evaluation of investment project 2.2.2 Content of project finance evaluation 2.2.3 Actual situation of project finance evaluation 2.2.3.1 The accuracy, comprehensiveness of the content and conclusion of financial evaluation 2.2.3.2 The result of project finance evaluation in recent years 2.2.4 Examples of evaluation process of an investment project 2.2.4.1 Preliminary introduction of investment project 2.2.4.2 Result of project finance evaluation 2.3 Assessment of quality of project finance evaluation of lending activity in GP Bank – Ha Noi transaction office 2.3.1 Achievements 2.3.2 Disadvantages and causes 2.3.2.1 Disadvantages 2.3.2.2 Causes Chapter III Solutions for improving the quality of project finance evaluation of lending activity in GP Bank – Ha Noi transaction office 3.1 Development driven of GP Bank – Ha Noi transaction office 3.1.1 The general development driven of GP Bank – Ha Noi transaction office 3.1.2 Lending activity driven by projects in GP Bank – Ha Noi transaction office 3.2 Solutions for improving the quality of project finance evaluation of lending activity in GP Bank – Ha Noi transaction office 3.2.1 Raising awareness of the role of project finance evaluation of lending activity 3.2.2 Enhancing the quality information 3.2.3 Classifying Owners and providing appropriate services to customers 3.2.4 Training and improving the qualification of lending evaluation staff 3.2.5 Building preferential policies for retaining well qualified, competent staff for long-term working at the bank Page iv 3.2.6 Equipped computers, devices and software for evaluation 3.2.7 Completing method of project finance analysis and evaluation 3.2.7.1 Evaluating the investment capital of project 3.2.7.2 Determining appropriate discount rate for each project 3.2.7.3 Evaluating the Actual capacity of loan recovery of the project 3.2.7.4 Evaluating the risk level of the project 3.3 Proposal 3.3.1 Proposal to Government, related Ministries and sectors 3.3.2 Proposal to State Bank of Viet Nam and Head Quarter of GP Bank 3.3.3 Proposal to customers CONCLUSION LIST OF REFERENCES APPENDICES LIST OF ABBREVIATIONS Abbreviations Origin in Vietnamese Origin in English Global Petro Joint Stock Commercial GPBank GP Bank- Ha Noi Bank Global Petro Joint Stock Commercial exchange GTGT NXB Bank- Ha Noi transaction office Value Added Publisher Page v TP TSCĐ City Fixed assets LIST OF TABLES Table 2.1: Operating Results the period of 2009 - 2013 Table 2.2: Working capital needs Table 2.3: Table principal repayment balance with the basic plan Table 2.4: Table principal repayment balance with solution of productivity and sale price decrease of 20% Table 2.5: Table principal repayment balance with the solution of productivity decrease of 10% Table 2.6: Table principal repayment balance with the solution of sales price decrease of 20% Table 2.7: Table principal repayment balance with the solution of sale price increase of 20% Table 2.8: Report of Operating Results through the years 2010 - 2013 Page vi LIST OF DIAGRAMS, CHARTS Diagram 2.1: Income through years Diagram 2.2: Capitalization through years Diagram 2.3: Loans over years Diagram 2.4: Domestic steel productivity in 2011 Diagram 2.5: Domestic consumption of steel in 2005 – 2020 F Diagram 2.6: Outstanding loan growth through years Diagram 2.7: Delinquency rate over the years Chart: 2.1: Organizational structure of management Chart: 2.2: Organizational Chart of the evaluation work in GPBank – Ha Noi transaction office Page vii Page viii Dinh Tien Loi-IeMBA-B03 PREFACE The necessity of the subject Vietnam is now in the process of speedy development and international integration Meanwhile, investment for manufacturing activities and building infrastructure construction is growing increasingly Hence, the demand of capital for the economy keeps high Commercial banks and financial institutions, which operate in special area is to provide capital for the economy, are under the management and supervision of the State Bank “The outbreak of the financial crisis in the U.S and its global spreading led to a simultaneous collapse of series of big financial institutions, stock market subversive in 2008 witnessed unprecedented efforts of the economies to cope with economic storm”, The economic crisis within the country and around the world has significantly affected to the investment and business activities of enterprises So lending activity, including loans made by the Bank for project implementation may include potential risks In order to improve the efficiency and safety of lending capital of the Bank, the critical issue that must be set out is to improve the quality of project appraisal, including financial appraisal of lending project In recent years, Global Petrol Bank (GPBank) - Hanoi transaction office (GPBank - Hanoi transaction office) has granted loans to major projects in Hanoi area and neighboring provinces However, the project evaluation in general and project finance evaluation in particular remains inadequacies, does not meet the risk management requirements of GPBank In order to improve the quality of financial appraisal of the investment project for lending activity in GP Bank - transaction office (Branch) and to select feasible projects for funding to ensure efficiency and safety of using capital The author decided to choose the topic "Improving the quality of project financial appraisal of lending activity in Global Petro Bank –Hanoi Exchange" as a subject for study Objectives of the study Page Dinh Tien Loi-IeMBA-B03 - Outlining the rationale for the financial appraisal of projects in commercial banks - Studying and assessing the project financial evaluation in GPBank – Hanoi exchange - Proposing solutions and recommendations to improve the quality of project financial evaluation in GP Bank - transaction office Questions for the study - How will the economic crisis affect to the selection, implementation and efficiency of the project in the context of a volatile economy with high inflation? - How will qualification of appraising staff, Bank leaders influence the selection of projects to lend? - How will the bank’s tools and equipment influence the appraisal and selection of projects to lend? - How will the Owner’s reputation, experience and capacity influence the appraisal and selection of projects to lend? - How will the Owner’s financial capability influence the selection and lending process of the Bank? Subject and scope of the study Subject of the study is the quality of project financial evaluation of lending activity at GP Bank - transaction office The spatial scope of the study is the investment, business and commercial projects that GP Bank - transaction office has approved to grant for loans The scope of the study is the quality of financial evaluation of lending projects in GP Bank - transaction office period of 2009-2013 Research Methodology Research methodology is based on the dialectical materialistic method in combination with other modern economical research methods: statistical method, analysis method, synthesis method and econometric model method Page Dinh Tien Loi-IeMBA-B03 the employees in the enterprises, and the authorities to get the information about the business.a Thus, based on the characteristics of the business, ability, qualities of the leaders in that particular business, the evaluation staffs will have specific policies when conducting; project financial evaluation for a loan However, the basic content of the project financial analysis needs to be followed strictly to ensure scientific and tight chracteristics 3.2.4 Fostering and improving qualifications, professional ethics for evaluation staffs, the Board of Directors, the Board of loan approval Bank or Credit Office for enterprise customers, board of directors, board of loan approval often have to accumulate and improve skills, experience and ethics to minimize risks in the lending process In project evaluation supporting for lending decision, the evaluation staffs directly manage the evaluation of financial effectiveness The results of the project finance evaluation is the result of the evaluation, reviewing the project considered by subjective view of the evaluation staff based on science and the various evaluation criteria Quality of project finance evaluation is highly dependent on the capacity of the evaluation staff Therefore, to improve the quality of project finance evaluation, it is required to improve the qualifications, expertise, ethics of the evaluation staffs To well the above requirements, HR department should recruit the pesonnels with good training On the professional level, the evaluation staffs need to be fulltime trained, have basic knowledge of the market economy, the capacity of negotiation to trengthen the operational capacity Regarding work experience, the majority of bank officers are very young, especially the evaluation staff Therefore, the banks need an alternative arrangement between enthusiastic dynamic young staff and the experienced senior to exchange learning and complement each other From this method, the bank always trains the next staffs generation with good quality, agility and creativity of young people, and also has been acquiring and comprehend Page 82 Dinh Tien Loi-IeMBA-B03 the valuable experience of previous generations, and can make equality in key positions in any circumstances Besides, it is not possible to ignore the training of evaluation staffs with good moral qualities, honesty, high responsibility, and high career discipline 3.2.5 Building preferential policies for retaining well qualified, competent staff for long-term working at the bank To foster the work well, the board of directors should promote the specialization in organizings tasks and personnel such as market development department conducs customer search, Credit department for enterprise customers perform the application collection, project evaluation and loan proposal, Department of evaluation perform If this can be done, the risks can be reduced in evaluation process Thus, specialization of the work helps the evaluation staff to be more focused, higher labor productivity, the quality of each task assigned will be more improved, and also that the quality of evaluation would be better There are excellent staffs at profession which is not enough because if they are not logically arranged as their talents are wasted Thus, the assignment, logical organization in the process of project finance evaluation will avoid unnecessary duplication, reduce restrictions and promote positive aspects of evaluation staffs as well as the whole team, reduce operating costs as well as shorten the evaluation period To get logical and scientific organization and arrangement, the Bank should base on the capacity of each staff to promote their strengths In addition, banks are required to organize short-term training courses for evaluation staffs in the whole system with the participation of local and foreign experts to exchange experiences And this is an opportunity for officers of different levels can comment, help each other, complement knowledge each other, thereby overcoming the gap in the level and experience of the staffs in the whole system from central to branch level Page 83 Dinh Tien Loi-IeMBA-B03 And banks can not provide a clear solution for sanctions regime Since this will encourage the evaluation staffs for enthusiasm, creativity, hard working 3.2.6 Equipped computers, devices and software for evaluation Currently GPBank has equipped enough computers for staff in the system to ensure that the work done in the best way However, the computer system has been used over the years, it is often slow and the processing speed is not high Therefore, the Board of Directors need to purchase additional new computers with high capacity and higher processing speeds to best meet the needs of the job In addition, the software program developed for evaluating project finance is necessary to be researched and developed in a scientific way to facilitate loan officer to take business operations correctly and simply Along with equipments with modern techniques, GPBank- Ha Noi head office needs the staff training, to improve staff qualifications and increase adaptability to new equipment and technology 3.2.7 Improving methods of analysis, project finance evaluation of in the loan appraisal process A good project finance evaluation should base on a reasonable and scientific analysis Some contents of project finance evaluation should be changed to be suitable and ensure the science characteristic: 3.2.7.1 Evaluating the investment capital of project When evaluating the total investment capital of the project, the evaluation staffs should carefully consider the items that are needed to be invested, and the items are not necessarily needed to be invested and need to be removed from the project or may be constructed after the project was put into operation that investors deliberately included to enhance the total investment of the project In the process of disbursement to implement the project, evaluation staffs need regularly inspect and evaluate all aspects of the project, which propose to increase or decrease the loan amount based on the evaluation of the actual project Page 84 Dinh Tien Loi-IeMBA-B03 On the other hand, the evaluation staffs must carefully appraise the price of raw materials, implementation cost of the project items, avoid the situation that the investors give the bigger figures to increase the total investment, as result of this the investors require increase in lending limit from the bank Whereas the actual amount needed to implement the project is not as that amount When calculating the working capital requirements for the project, we often base on estimated data at the time of the project foundation to determine working capital However, when the project was put into operation, the calculation of working capital needs have to be recalculated by each specific year of the project, on the basis of the depreciation of materials, fuel, inventory, trade credit policy of the enterprise, actual productivity and especially the volatility of raw material prices in the last few years and projections for the coming years Working capital needs increase or decrease each year will affect annual cash flow of the project Annual net workign capital is calculated as: ∆WCRi = WCRi − WCRi −1 In which: ∆WCRi : Net working capital needs in year i WCRi : Working capital needs in year i WCRi-1 : Working capital needs in year i-1 3.2.7.2 Determining appropriate discount rate for each project The calculation of discounted cash flow rate of the project must be calculated on the basis of the cost of each source of capital and the proportion of each type of capital in the total capital structure Funds in the project which is applied for a loan usually comes in two forms: source of corporate equity and bank loans Capital cost of the bank loan is interest expense; interest rates often change over the years which make it difficult for businesses because only when analyzing the entire risk of the project, the evaluation staffs identify the interest rate paid by the investors under the loan For the own funds of enterprises, the cost of capital is a weighted average WACC WACC calculation method is as follows: Page 85 Dinh Tien Loi-IeMBA-B03 WACC = D E i (1 − t ) + k D+E D+E In which: D: Loans and long-term debt E: Equity i: Long-term debt interest t: Corporate income tax k: Profitability on equity, k can be also calculated based on the expected profitability of the Company's shares on the stock market k = rf + β (rm − rf ) In which: rf: risk-free interest rate rm: Expected market interest rate β : Risk factor - In recent years, the inflation rate in Vietnam is in double digits This issue has a great impact on the project under the construction and installation Many projects being construced are forced to stop due to raw material prices go up too high, leading to increase in total investment capital is up to 40-50% even 70% of previous estimattion This caused difficulties for investors and bank If the investor does not borrow additional fund, it is dificult to continue to implement the project and the investors can not repay the bank If the bank also approved additional loans, the bank will find difficult to control lending and debt collection lafterward To overcome this drawback, the bank need to increase the required reserve ratio in the total project investment up to 10% - 20% / year, and also take into account the inflation factor incalculation when building cash flow (the inflation can taken by 10% / year) - Vietnam is a member of the world trade organization WTO, so the volatility of prices, foreign exchange rates in the world market has a strong impact on prices Page 86 Dinh Tien Loi-IeMBA-B03 of goods in the domestic market When analyzing projects, it is necessary to consider the situation of the world economy especially the long-term forecasts, these are important information to help the evaluation staffs to calculate the annual cost of lifelong project 3.2.7 Evaluating the Actual capacity of loan recovery of the project Each project usually takes a period of months to several years to implement and then come into operation After coming into operation, some projects bring profit immediately while some others need more time to be able to bring revenue and profit for the investor Therefore, when making decision on lending at the initial period, evaluation officers shall calculate the repayment capacity of the project based on assumed data So, the amount of annual repayment and adequate period for repayment in accordance with repayment capacity of the project need to be adjusted To properly assess the repayment capacity of the project, evaluation officers must closely observe the project, constantly go to the site to test, collect related information to grasp the full range of information about the project as : project progress, quality, project execution capability of the investor, difficulties in project implementation from which to propose leaders to adjust repayment schedule, repayment period consistent with the actual situation of projects 3.2.7.4 Evaluating the risk level of the project The essence of the project risk analysis is to analyze the project in dynamic status, associated with possible risks of the market which helps bank to anticipate risks and appropriate precautious actions Risk analysis includes sensitivity analysis and scenario analysis  Sensitivity analysis The unidentified situation in project analysis is that future incidents possibly occured out of investors’ expectation Therefore, when investors make cash flow projection, they try to determine what will happen and its affection The impact of undesirable events may impact one component of the project cash flow or also series of components of the project (eg, macroeconomic policy changes, market Page 87 Dinh Tien Loi-IeMBA-B03 demand changes, strong volatility of raw material price can affect costs, inflation can impact revenue and expenditure cost, working capital increasing) It is important for evaluation staff is to predict the changes that may occur in the future, based on those forecasts to analyze the volatility of cash flows and financial efficiency criteria of project Recently, the our inflation rate has always been in two digits and unpredictable The project finance evaluation was greatly influenced by inflation, cash flows and strong fluctuation of financial efficiency criteria Thus, during the evaluation process, evaluation staff need to calculate the price fluctuation due to inflation when estimating project cash flow, specifically, calculating the annual devaluation rate of about 12% - 15%, raising the rate of financial reserve in the total estimation from 5% - 10% To reduce the risk of inflation, investors should: - Accelerating the process of project implementation - Signing long – term service contracts includes specific price - Signing service contract for whole implementation process of the project - Sign the big valued contracts to get preferential prices, costs  Scenario analysis Scenario analysis requires the evaluation the sensibility, ability to predict the effects that may occur when there is an incident affecting to the project For better prediction of future issues and incidents that may occur in the future and affect to the project, evaluation officers is required to have basic knowledge of economic, market, financial - monetary sections, flexibility to be able to accurately predict the future fluctuations that affect to financial efficiency of the project 3.3 Proposal In order that the lending project operation at Global Petro Joint Stock Bank (GPBank) in general and GP Bank Ha Noi – Headquarter in particular to achieve good results, in the coming time branch should closely comply with the direction Page 88 Dinh Tien Loi-IeMBA-B03 from the guidance of the Management Board, the GPBank Board of directors, City people's Committee, people's Committee of the province as well as the Authorities, Companies operating in the area of Hanoi City and neighboring provinces 3.3.1 Proposal to Government and related Ministries and Sections Investment projects often meet difficulties in the stage of subimiting application for investment license, land clearance, funding mobilization mechanisms, the legal framework Therefore, the Government should issue fully, clearly and consistently the legal framework, in order that Companies can be assured in implementing project The City People's Committee, the provincial Committee, the relevant Departments should implement rapidly procedures for land allocation, procedures for investment license, procedures for construction permits , reducing time for applying licenses in order that investors are able to implement the project as soon as possible to grasp the business opportunities For untransparent investors who have fruad activity in the lending process, local Authorities, along with GPBank should uncompromisingly recover loan to ensure benefits of the Bank The City People's Committee, the Provincial People's Committee, the relevant Departments should fully and transperantly provide information about legality and capacity of investors of projects on the scope of their management , build network systems and publicize the information about the projects that they are managing so that Bank and other interested parties can access easily Related Authorities and Departments are required to provide information on land use planning, the investment sectors that Ha Noi calls for investment and rewards incentives for major investment projects of the City This is the orientation, the basis for the evaluation staff in conducting efficiency analysis and making decision of lending Besides, Local public Authorities should respect lending decisions of bank's branches, not participate or intervene in lending decision making of branch This is to ensure the objectivity and efficiency of project funding decision of the branch Page 89 Dinh Tien Loi-IeMBA-B03 3.3.2 Proposal to State Bank and GP Bank Headquarter State Bank regulates all activities of Vietnam's banking system Therefore, State Bank is suggested to issue policies of completing Central credit information center, improve coordination role and activeness in gathering information from sources, which provide support information for financial evaluation more efficient State Bank should also organize training programs, exchange of experience across sectors to enhance cooperation between the commercial banks, and enhancing the professionalism of staff Global Petro Join Stock Bank should research and supplement "Guidance of evaluating the content of investment projects” in the direction of strengthening the scientific and specific details Detailed guidance for each content in the process of evaluation: evaluation of economic – financial efficiency, risk assessment, evaluation of market aspects, evaluation technique – technology of investment projects Regularly organize training courses to promote project evaluation capacity of credit officers Building a database on economic sections and fields as a basis for project evaluation Investing for procurement of equipment such as modern computers, software to serve scientifically the project evaluation process, shorten the evaluation period Hanoi and neighboring provinces are the broad market and attract more and more investment So, to be more proactive in approaching the project, GP Bank Headquarter needs to increase loan restriction for Ha Noi transaction office in order to be more proactive in business activity 3.3.2 Proposal to customers - Bank is usually based on the information that enterpries use for project planning, project analysis, and then provide to the Bank So the accuracy of information decisively affects the final result of project evaluation Therefore, the Page 90 Dinh Tien Loi-IeMBA-B03 Bank requests the spirit of close cooperation with the Bank to provide promptly and accurately related information - Companies should give correct, consistent, subjective information and are responsible of legacy of information provided as basis for the evaluation process of the Bank - Enterprises should strictly comply with provisions of the Government, Ministries governing the construction sector, such as: Investment Law, Construction Law, Procurement Law and related the legal documents, The serious compliance with the law provisions helps enterprises in reducing risks during project implementation - In addition, during project implementation due to changes of some factors that affect to the project implementation such as: project duration, change in capacity, income and loan interest it results in adjustment to the conditions of the loan agreement in accordance with the implementation and operation of project Companies’ leaders need to exchange, work and ask for consultancy from the Bank If Companies’ request is reasonable, the Bank should facilitates to adjust provisions of loan agreement to help enterprises to effectively implement the project - Companies must comply with State law on regimes and standards of accounting, auditing, statistics sections and proactively provide reliable, complete and timely information to the Bank for financial analysis of the Companies and investment project - Companies should improve capacity of project planning and analysis, particularly the enhancement of staff qualification and expertise in the project planning and analysis, it helps Companies not only to implement the project advantageously, but also understand the internal capacity of the Companies (understanding of the strengths and weaknesses of Companies when implementing project) The more complete and detailed the information about the project is, the shorter project evaluation project is Page 91 Dinh Tien Loi-IeMBA-B03 Conclusion of chapter III Chapter III of this dessertation purpose to offer key solutions to improve financial evaluation of investment project at GP Bank - transaction office To make these solutions become more scientific and highly pragmatic, this dessertation based on the results of actual situation analysis of project finance evaluation at GPBank – Hanoi exchange period of 2009 – 2013 Those are specific and direct solution in term of knowledge innovation on project finance evaluation, content of evaluation, method of evalutaion and other related solutions Page 92 Dinh Tien Loi-IeMBA-B03 CONCLUSION Recent years, Vietnam has a strong economic growth at a high level due to the Government, the State Bank in pursuing economic growth policy Hence, credit of commercial banks has increased rapidly , leading to potential risks to the financial markets, from 2010 to 2013 when the global economic crisis broke out, the real estate market has been frozen, it caused immediately NPLs of commercial banks has increased rapidly and worryingly It greatly affected the liquidity and safety of the banking system , which required to improve the credit quality in general including project funding activity Therefore, improving the quality of project finance evaluation of lending activity is urgent requirements for Commercial banks in general and GP Bank in particular On the basis of theoretical and practical research, the dessertation has addressed the followings: On theoretical aspect: the dessertation has generalized contents of commercial banks, credit operations and lending activities of commercial banks, the project finance evaluation process, the content of project finance evaluation, methods and criteria for assessment of the quality of project finance evaluation and the factors affecting to the quality of the project finance evaluation On practical aspect: the dessertation makes research on actual situation of project finance evaluation at GP Bank – Hanoi branch, comparing with the theories, as well as the provisions of Global Petro Joint Stock Bank in conducting project evaluation from which to give comment about: shortcomings and reasons of the financial evaluation Proposing solutions to improve the quality of financial evaluation at project GPBank – Hanoi exchange to overcome these shortcomings and recommand to GP Bank, the Authorities and the investors to create favorable condition for the project finance evaluation Dinh Tien Loi-IeMBA-B03 REFERENCES Dr Pham Xuan Giang (2010), Making evaluation and project investment management, Finance Publisher, Hanoi Dr Nguyen Dinh Kiem, Dr Bạch Đức Hiển (2010), Coporate finance Textbook, Finance Publisher, Hanoi Dr Tran Van Hung (2012), Project management, Dr Le Bao Lan (2005), Microeconomics, Statistics Pblisher, Hanoi Le Thanh Phuong (2008), “Improving the quality of investment project evaluation in the lending activities at the branches of Vietcombank Hai Phong” Master Dissertation, National Economics University, Ha Noi Ha Quang Joint Stock Company (2011), Financial statement, Báo cáo Tài chính, report of business operation Ha Quang Joint Stock Company (2011), Report of the project of investment in exploiting iron ore mines at 409, Thinh Luong Commune, Tran Yen District, Yen Bai Province Habubank Securities (2011), steel industry updates 1H22 GP Bank – Ha Noi transaction office (2009 – 2013), report of business operation 10 GP Bank – Ha Noi transaction office (2011), Application for coporate credit 11 GP Bank – Ha Noi transaction office (2007), Decision No 08/2007/QĐ – TGD of General Director of GPBank on 03/01/2007 Subject: VV Issueing guidance of investment project evaluation 12 GP Bank – Ha Noi transaction office (2010), Decision No 1524/2010/QĐTGĐ of General Director of GPBank on 01/10/2010 Subject: Issuing credit procedure 13 Jounalist crew, tragic 2008 years of world economy http://kinhdoanh.vnexpress.net/tin-tuc/quoc-te/2008-nam-bi-trang-cua-kinh-tethe-gioi-2696170.html ngày 26/09/2013 Dinh Tien Loi-IeMBA-B03 APPENDICES ... base on financial estimate tables for every year in project lifetime They are included:  Balance sheet Balance sheet is recorded the accounting value in the business at the fixed time There are... reflects the added value for investors, if positive NPV means that the enterprise value is increased and vice versa negative NPV, the enterprise value is reduced by the implementation of the... principle which are implemented differently is agreed between the bank and borrower Repayment sources of project are included: depreciation, income post tax When estimating the repayment flow