Analysis of International payment operation by letter of credit at VPBank – Giang Vo branch

TABLE OF CONTENT PREFACE Part 1: Internship dairy 1.1 Information of the mentor 1.2 Detailed internship dairy Part 2: Introduction of VPBank and VPBank – Giang Vo Branch 2.1 General information about VPBank 2.2 Development history of VP Bank 2.3 Vision, mission, development strategy and core value of VPBank 2.4 Introduction about VPBank – Giang Vo Branch 10 2.4.1 Organogram of VPBank – Giang Vo branch 10 2.4.2 Scale of VPBank – Giang Vo branch 10 2.4.3 Banking activities of VPBank – Giang Vo in the recent years (2011 – 2013) 11 Part 3: Analysis of International payment operation by letter of credit at VPBank – Giang Vo branch 13 3.1 Situation of international payment by letter of credit at VPBank – Giang Vo branch 13 3.2 Import L/C 14 3.2.1 General 14 3.2.2 Product description 14 3.2.3 Benefit 15 3.2.4 Condition and application process 15 3.2.4.1 Issuance of import L/C 15 3.2.4.2 Amendment of import L/C 15 3.2.4.3 Guarantee/Authorization of Shipping 15 3.3 Export L/C 16 3.3.1 General 16 3.3.2 Product description 16 3.3.3 Benefits 16 3.3.4 Conditions and application process 16 3.3.4.1 Notification/Amendment of L/C 16 3.3.4.2 Receiving and checking export documents 17 3.3.4.3 Conditions of discount documents 17 3.4 Assessment of the international payment operation by L/C at VPBank – Giang Vo branch 17 3.4.1 Advantages 17 3.4.2 Disadvantages 18 Part 4: Comments about the internship 19 4.1 Guidance for the internship 19 4.2 The internship period 19 4.3 Using the data and original document 19 Conclusion 20 Reference Appendix PREFACE Trade finance has become a more and more essential determinant of the world economy as well as Vietnamese economy In recent years, the import and export business turnover of Vietnam has rapidly increasing This achievement has been made not only by appropriate policies and regulations from the government, but also by the bank system Commercial banks have helped business activities of both domestic and foreign firms operate smoothly and safely Along with the growth of international trade relations, various kinds of payment method have been developed, such as remittance, collection, documentary credit, etc While the first two methods bring disadvantages for either the seller or the buyer and the bank, as an intermediary, bears little responsibility to make payment; the last one is considered to be much better in terms of protecting interests for all stakeholders Moreover, payment by letter of credit is favorable to small and medium enterprises which hold the highest proportion in this type of service Realizing the importance of the issue, I decided to have my mandatory summer internship at SME department , VPBank - Giang Vo branch (Hanoi), which is in charge of making payment by letter of credit My report would cover all knowledge, experiences and skills I have gained after four weeks, including four separated parts: - Part 1: Internship dairy - Part 2: Introduction of VP Bank and VPBank – Giang Vo branch - Part 3: Analysis of International payment operation by letter of credit at VPBank – Giang Vo branch - Part 4: Comments about the internship I am delighted to express my deepest appreciation to Associate Professor Trinh Thi Thu Huong – FTU for instructing me from the very initial step I would like to thank Ms Le Thi Bich Thuy, branch director and Mr Nguyen The Dan, head of SME department, together with all colleagues at VPBank Giang Vo for their dedicated supports during the previous time 2 Due to the limit on my knowledge and the time of the internship, some mistakes might be inevitable in spite of my best efforts Hence, any constructive feedbacks are highly welcomed and would seriously be taken into consideration Hanoi, August 2014 Student Le Quang Minh PART 1: INTERNSHIP DAIRY 1.1 Information of the mentor - Full name: Nguyen The Dan - Title: Head of SME department, VPBank Giang Vo branch - Mobile phone: 098.8888.628 - Email: thedan@vpb.com.vn 1.2 Detailed internship dairy Wednesday, July I sent an email to Ms Thuy – Branch director and politely asked for her approval of my internship Fortunately, she agreed with my request and reminded me some small points about working behaviors and appropriate appearance at the office I took them into consideration seriously as I needed everything would go well Thursday, July I arrived at the office 20 minutes earlier to ensure no trouble beyond expectation would happen on the road The office is a modern, 7-floor building in the middle of Giang Vo street Despite being well-prepared, I was still quite nervous because this internship marked an important milestone in my student life Ms Thuy guided me to the SME department and introduced me to the staffs here From now on I would be under the instruction of Mr Dan, head of SME dept When I came to the office, I realized that almost all of the staffs were gentlemen, and they were quite young That made things feel a little easier for me as I thought I could be more intimate with them because of that As they were very busy to prepare for the weekly team meeting in the afternoon, I had a quick conversation with my mentor in order to schedule the time for me to come and the content of my report He asked me to prepare the outline for the next coming Friday, July It was my second day at the bank, but the very first day for me to witness the daily life of bank staffs in a professional environment After submitting the outline of my report to my mentor and receiving some comments, I was guided to pay a visit to every department of the branch Somehow I thought they are all busy and in a hurry The working time here started from 8.30 am and as I saw, everybody seemed to be very punctual The front of house on ground floor looked clean, tidy, welcoming and functional at all times The second floor consisted of customer service department and administrative department Personal customer department and director room were on the third floor SME department and meeting room were on the top of the office building Tuesday, July I was assigned a seat at a cozy meeting table in SME room My mentor gave me a great amount of document to research which related to the bank activities in general including some indicators provided for interns and other internal magazines They were very helpful to me to make this report My mentor also told me that one of most up-todate sources of information would definitely the company’s website, so I spent time browsing it Wednesday, July As I got more familiar with the staffs here, I began helping them with some small stuff like boiling the water before working, clearing and cleaning up the meeting table to welcome customers/partners, etc Everything went by smoothly, except for the photocopier Since the model was quite old and got stuck a lot, I asked for help from staffs Once again, I felt the warmth and support of the people here I guessed it was culture No matter how many times the machine got into trouble when I was using it, they were still willing to help me The problems gave me some ‘tips’ to deal with this kind of machine Thursday, July 10 I was told to translate some documents from Vietnamese to English The requirements were to be precise and neat since they would be sent to the customers later, so I tried the best I could The hardest part was some technical terms that made confused and browse through sites to find the most accurate ones Fortunately, I did finish translating that 20 page document by the end of this week and got a compliment, which was very encouraging Monday, July 14 I approached more closely with the work related to L/C in this week I received a folder containing all relevant documents in 2013 from my mentor and was asked to read carefully before answering him the process I politely asked him to make some copy of them to bring home, as I needed to combine and compare them with what I had been taught at FTU Wednesday, July 16 I was instructed the role of each document and the order to process them There were quite a lot paper and sometimes I made mistakes, but my mentor was totally dedicated and reminding me stay focused all the times I knew that every tasks related to banking was very risky, so no error was permitted At the end of the day, I was quite confident to fill in the ‘Application for L/C’ Thursday, July 17 & Friday July 18 The whole two days were spent for researching on ‘Application for L/C Amendment’ and ‘Application for and endorsement of a B/L / assurance of a shipping guarantee’ and some key points in customer care After that, I arranged all the document used recently and filed them to their folder It was the way I revised how to manage tons of documents Tuesday, July 22 There was a significant increase in the working pace of each staff as they looked busier than ever I was given more tasks, in particular scanning files and putting them into correct folder in the computer, making photocopy of files and numbering documents I was reminded to prepare carefully for the next day to witness real transactions, maybe outdoor ones Wednesday, July 23 to Friday, July 25 I had chances to witness staffs here handling real cases with the customers As a supporter, I brought a pack containing various kinds of blank forms to deliver to customer when they needed, and collected fully filled forms Sometimes the situations were quite regular, so tasks were simply checking papers once again and took notes in the recording books Sometimes the cases were abnormal, for instance the documents showed were not in accordance with what stated in the L/C (missing paper, missing pages, unauthorized signatures, etc.) Each time like this, I tried to observe the staffs’ behaviors and attitudes, how to deny, even a loyal customer, without making any offense Communication skills, especially listening, seemed extremely important Occasionally I needed to go to the customer’s office to return some documents Tuesday, July 29 I continued working as a supporter like the last week I approached the commercial invoice more frequently The invoice resembled the one I had seen during International trade transaction a lot Therefore, I could understand quite a bit For parts that I was unfamiliar with, my mentor was so helpful as he walked through and clearly explained to me My final task of the day was to correct some typo in documents Wednesday, July 30 to Friday, August I started writing this report During that time, I still support the department with office and administrative work I feel more comfortable while completing my report at the office than at home as I could find any materials or documents there and any explanation could be provided whenever needed In the late afternoon, all staffs stayed one more hour to prepare for the performance at the bank festival which took place on Saturday afternoon This was a great chance for me to make acquaintance with staff from other department and enjoyed another aspect of an officer’s life Monday, August I proposed the draft of my report to my mentor and received some comments Tuesday, August It was the last day of my internship I attended the team’s monthly meeting and felt as if I were a part of the department here The staffs were so caring that they threw me a small farewell party with fruit and snacks at the end of the day 7 PART 2: INTRODUCTION OF VPBANK AND VPBANK – GIANG VO BRANCH 2.1 General information about VPBank Company’s name : Vietnam Prosperity Joint-Stock Commercial Bank (in short: VPBank) Sector : Banking and financial services Head office : 72 Tran Hung Dao Str, Hoan Kiem Dist, Hanoi Telephone : 043.9288880 Fax : 043.9288867 Email : Customercare@vpb.com.vn Website : www.vpb.com.vn Tax code : 0100233583 Chairman of the Board of Directors : Mr Ngo Chi Dzung Chief Executive Office : Mr Nguyen Duc Vinh 2.2 Development history of VP Bank Vietnam Prosperity Joint- Stock Commercial Bank (formerly known as Commercial Vietnam Bank Joint-Stock for Private Enterprises) was established on 12 August 1993 After nearly 20 years of operation, VPBank has increased its charter capital to VND5,770 billion, raised the number of transaction points to over 200, and had a workforce of more than 4,000 employees As a member of the group of 12 leading banks in Vietnam (G12), VPBank is taking steps to reaffirm its reputation as a dynamic bank with stable financial capacity and responsibility to the community To achieve this ambitious vision, VPBank has implemented an aggressive growth strategy for the period 2012 - 2017 with the support of McKinsey, one of the world’s leading consulting companies Accordingly, VPBank will focus on organic growth in targeted customer segments, build up foundation systems expeditiously to serve its growth needs, and monitor opportunities in the market actively The remarkable growth of VPBank is vividly illustrated by the expansion of its branch and transaction office network and the diversity of sales and distribution channels With the motto of “all for customers”, the layout, service model and amenities of transaction points have been completely changed The products and services of VPBank have always been improved and combined with many utilities to increase customers’ benefits, etc These factors have contributed to satisfying existing customers, attracting new customers, thus expanding VPBank’s customer base at a fast pace To prepare for a stable and sustainable growth, VPBank has conducted comprehensive measures to build foundation systems The Bank has always been the market leader in applying advanced information technology to its products, services and operation system Along with building a strong and effective corporate culture, core human resources management systems have been developed and successfully implemented at VPBank In addition, the Bank has taken steps to develop an independent, centralized, and specialized risk management system which meets international standards and aligns with the Bank’s business strategy While complying with international best practices in corporate governance, VPBank also refines its organizational structure according to a clear and transparent corporate governance policy With constant efforts, VPBank’s brand has become increasingly stronger and reaffirmed by many prestigious awards such as: The Best Payment Bank awarded by Citibank and Bank of New York, Bank with the most satisfactory service quality for customers, National Brand in 2012, Top 500 biggest enterprises in Vietnam and many other awards 2.3 Vision, mission, development strategy and core value of VPBank As one of the earliest-established Joint-stock Commercial banks in Vietnam, VPBank has achieved steady development throughout its history Especially since 2010, VPBank has grown dramatically with the development and implementation of the strategic transformation program diligently with support from one of the world’s leading consulting companies Following this strategy, VPBank aims to become one of the leading joint-stock commercial banks and one of the leading retail joint-stock commercial banks in Vietnam by 2017 This vision is realized through the two-pronged strategy as follows:  Aggressive organic growth, focusing on personal and SME customers, and exploiting opportunities in the segment of large business customers and consumer credit  Building strong foundation systems in terms of organization, human resources, technology, operation, etc The support for the implementation of the above strategy is the VPBank corporate culture which is nurtured and built on six core values: Customer Focus; Productivity; Ambition; People Development; Trust; Make the Difference The achievements of this transition period have determined the right strategy, with the positive changes of image, service quality, professionalism, etc The trust of customers for VPBank has also strengthened by the constantly increasing number of new customers and capital mobilization More importantly, VPBank is becoming a desirable destination for talent in the banking and finance industry This key element has been, and will become VPBank’s strategic weapons in the journey towards becoming one of the leading joint-stock commercial banks, and one of the leading retail joint-stock commercial banks in Vietnam by 2017 10 VPBank believes that its above-mentioned vision and strategy will help the Bank to achieve its mission to maximize customers’ benefits, attach special importance to the interests of employees and shareholders, build a strong corporate culture, and contribute effectively to community development 2.4 Introduction about VPBank – Giang Vo Branch VPBank – Giang Vo branch was established on 19th April 2004 After ten years of growing up, VPBank Giang Vo has gradually developed, kept pace with the changes in information technology and dealt with challenges in the period economic recession, especially in the finance and banking sector It is still on the way to assert its role in series of VPBank branches as an effective multifunctional level I branch 2.4.1 Organogram of VPBank – Giang Vo branch Giang Vo branch director Figure 2.1: Organogram of VPBank – Giang Vo branch Personal customer dept SME dept Customer service dept Administrative dept Cat Linh Branch Standard branches Thanh Cong Branch Hao Nam Branch Source: student compiled 2.4.2 Scale of VPBank – Giang Vo branch 11 At the moment I wrote the report, there were twenty five staffs working for the branch The details are as follows: - One branch director: Ms Le Thi Bich Thuy - Personal customer department: a head of department and six staffs - SME department: a head of department and six staffs - Customer service department: a head of department and twelve staffs (including five sales assistants, three tellers, two supervisors, a lobby manager and a treasurer) - Administrative department: a head of department and a staff - Three dỉrectly - under standard branches: Cat Linh (standard level I branch), Thanh Cong (standard level II branch) and Hao Nam (standard level II branch) 2.4.3 Banking activities of VPBank – Giang Vo in the recent years (2011 – 2013) Through years, Giang Vo branch, whose total assets hold more than 7% of VPBank, has always been a leading force in the VPBank system, the market share is about 4.2% of total outstanding balance and it has brought over 10% of earnings for the BIDV The business activities of the branch has always been safe, effective and able to achieve all target assigned Table 2.1: Business result of VPBank Giang Vo branch (billion VND) Indicator 2011 2012 2013 Capital mobilization 20,413.7 20,844.8 17,303.0 Net service earnings 100.9 145.6 183.2 8,196.3 8,862.2 9,583.0 304.0 574.3 668.0 21,891.6 23,116.9 16,728.0 Credit outstanding balance Earnings before taxes Total assets Source: Branch annual report The act of maintaining and increasing capital resources is difficult during the recent years due to the fluctuation of business environment However, the branch succeeded in mobilizing capital sources, which was at a very high rate over the total 12 mobilized capital sources of the bank (over 8%) Nevertheless, the capital sources were unstable as the sources focused on corporate customers and financial institutions, in particular Oversea Chinese Banking Corporation Limited Hence, there was a fluctuation in the amount of capital mobilization, from 20,413 billion VND (2011) to 20.844 billion VND (2012), then fell to 17,303 billion VND (2013) Though there exists a downward trend in capital mobilization, these figures have shown have shown the best efforts of the branch during a keen competitive environment VPBank Giang Vo holds large amount of credit outstanding balance in the bank system due to the fact that it has always complied with the transaction limit managed by the headquarter The annual credit outstanding balance keeps a good growth rate In addition, VPBank Giang Vo branch is of the highest service earnings holding Until 2013, the total service earnings of the branch reached 183.2 billion VND The service earnings were gradually increased since 2011 as shown on the table above 13 PART 3: ANALYSIS OF INTERNATIONAL PAYMENT OPERATION BY LETTER OF CREDIT AT VPBANK – GIANG VO BRANCH 3.1 Situation of international payment by letter of credit at VPBank – Giang Vo branch In 2013, VPBank continued expanding the international payment operation In the end of 2013, it has become agent and built up relation with more than 690 foreign banks and bank branches However, the operation of international payment by documentary credit tended to shrink in comparison with that in 2012 Table 3.1: Sales of international payment services at VPBank Giang Vo 2011 Sales No of (USD items 1,000) 2012 Sales No of (USD items 1,000) 2013 Sales No of (USD items 1,000) Import L/C 850 165,000 1,200 290,000 750 123,000 Export L/C 550 35,000 800 75,000 700 47,500 Sales of international payment services 550,000 680,000 650,000 Sales of import, export 360,000 400,000 450,000 Source: SME dept In terms of importing: the branch has opened 750 L/Cs, valued USD 123 million, decreasing 57% compared with that in 2012 In terms of exporting, the branch has sent claim document and collected 700 items, valued USD 47.5 million, decreasing 36% compared with that in 2012 In terms of collection: the branch has collected 230 items, valued USD 6.2 million, decreasing 72% compared with that in 2012 14 In 2011, sales of international payment reached USD 550 million, increasing 18% In 2002, the figure increased 23% which was equivalent to USD 680 million In the most recent year 2013, it fell off to USD 650 million, decreasing 4.4% compared with 2002, but the sales from import – export transactions went up 12.5% in comparison with that in 2012 In 2013, the exchange rate among USD, EURO and VND kept rising gradually while exporting price of various goods such as coffee, rice and other agricultural products shirked significantly that slow down the rate of exporting Additionally, the threat from US government against Vietnamese dumping on agricultural product (frozen basa fish and shrimp) and the intense competition from imported goods made domestic firms afraid of selling foreign currency for banks The supply for foreign currency became scarcer in 2013 Predicting these difficulties well in advance, VPBank - Giang Vo branch had mobilized enough foreign currency for international payment operation, minimized the chances of late payment for clients As a result, the sales of import – export transactions of VPBank – Giang Vo branch reached USD 450 million (increasing 12.5%) It was considered as a very positive outcome in such a rough year like 2013 3.2 Import L/C 3.2.1 General This product is the conditional committment issued by the bank for the buyers towards L/C beneficiary (sellers or service suppliers) to making payment of a certain amount of money when the beneficiary presents the documents according to the terms and conditions of L/C in a particular period of time as regulated in L/C 3.2.2 Product description - Issuance of L/C - Amendment of Import L/C - Guarantee / authorization of shipping 15 - Endorsement of B/L - Payment of L/C 3.2.3 Benefit With quick issuance of L/C, diversified issuance methods widely-accepted by most banks worldwide, this service helps to increase enterprise's reputation and position as well as ensure their competitiveness Highly professional staffs are willing to support and consult customers 3.2.4 Condition and application process 3.2.4.1 Issuance of import L/C Issuance Documents - Request to open import L/C / Request to amend import L/C - Foreign trade contract - Import quota (import-export product by quota) - Trustee contract Condition of Import L/C Issuance - Legal documents (if doing transaction with VPBank for the first time) - Deposit as regulated - Import goods are easily consumed and not forbidden 3.2.4.2 Amendment of import L/C Amendment documents - Request for Amendment of Import L/C - Documents related to Amendment of Import L/C: appendix of foreign trade contract, import quota, agreement for Amendment of Import L/C between importers and exporters, etc 3.2.4.3 Guarantee/Authorization of Shipping Documents - Notification of delivery from shipping company/airline agent - B/L 16 - Commercial Invoice - Request to issue Guarantee/Authorization of Shipping - Endorsement - Request for Endorsement - Commercial Invoice - Sea freight 3.3 Export L/C 3.3.1 General The notification/amendment of received L/C or amendment of L/C from foreign banks will check the authenticity of the L/C or L/C amendment and directly notify customers 3.3.2 Product description The notification/amendment of received L/C or amendment of L/C from foreign banks will check the authenticity of the L/C or L/C amendment and directly notify customers To receive and check export documents VPBank to support enterprises in making set of documents in accordance with the conditions and terms of L/C and advise customers to fix discrepancies and make additions (if any) Documents transfer and claim for export L/C VPBank transfers the set of documents to foreign bank to pay for L/C To support customers keep track of document status 3.3.3 Benefits To ensure customers' business capital To be proactive in capital flows in the business activities of the enterprises 3.3.4 Conditions and application process 3.3.4.1 Notification/Amendment of L/C 17 - Export and import corporate customers request VPBank to consult the terms of payment, selection of L/Cissuing bank before signing contract - Inform import partners to issue L/C with notification via VPBank - Upon receipt of L/C or the amendment of orginal L/C from VPBank, customers check carefully the terms, conditions of L/C together with support from the bank - In case of inability to perform terms, conditions in the notification of L/C, request the importers to amend L/C according to the importer's bank 3.3.4.2 Receiving and checking export documents - Customs Declaration (if required) - Goods delivery documents of exporters - Request for discount (if any) - Notification attached with original copy of L/C and amended copies of L/C (if any) 3.3.4.3 Conditions of discount documents - Irrevocable L/C - VPBank is the negotiating bank for L/C - Perfect set of documents - Customers commit to reimburse the discount by VPbank in case the paying bank refuses to pay - L/C issuing bank must be a reputable bank 3.4 Assessment of the international payment operation by L/C at VPBank – Giang Vo branch 3.4.1 Advantages To some extent, the current process of international payment by L/C is quite reasonable; ensures the smooth operation from the initial step (opening a L/C) to the final payment and recording all the necessary documents Any problems arising out of 18 expectation are quickly resolved, relevant documents are transferred to other department on time In general, the system runs fast and effectively Moreover, the branch has been well equipped with modern technology (new desktops, high speed internet access, etc.) which contributes to decrease the waste time, makes the customer feel more comfortable Finally, the branch has detailed, clear and consistent guidelines of international payment by L/C and other services for customers to refer to If the customers are still not sure what they need to do, the young, dedicated staffs will be willing to clarify for them 3.4.2 Disadvantages The branch still has to face up with a number of difficulties and limitations arising from not only internal but also external sources First and foremost, documentary credit is the sophisticated part among banking tasks which requires not only knowledge, but also experience and attention However, the staffs in SME department are generally young; as a result they may lack practical experience It might be risky if they forget any section in the documents The importer can take advantage of this mistake to delay making payment, which reduces the bank’s reputation Secondly, the exchange rate and interbank exchange rate rising gradually places a burden on import activities, which indirectly have negative effects on international payment operation of banks in general, VPBank Giang Vo in particular Lending money in a currency and paying in another one, whose exchange rate is higher, make loss and thus the branches tends to be more careful while processing relevant request Last but not least, the competition among banks is becoming more and more intense Although the cost for international payment services at VPBank – Giang Vo branch is quite attractive, it cannot bring a great competition advantage as besides it, the clients also look for other factors like reputation, accuracy and customer care The branch needs to try harder in order to assert itself in such activities 19 PART 4: COMMENTS ABOUT THE INTERNSHIP 4.1 Guidance for the internship In my opinion, the internship plays an important role in a university curriculum It is the first time for student to get approached to practical operation of a company and get valuable experience Thus, it deserves more attention from the university The faculty should organize a seminar before the internship to help the students prepare both morale and essential skills to avoid making great mistake The seminar can also be attended by student of previous intake; they would share their own experiences in both working and writing academic report The instructors could show us more in detail the requirements in terms of content so we could be more confident 4.2 The internship period Five weeks for an internship (including writing a report) is quite short The shortness of the internship makes my mentor feel less comfortable while instructing me Moreover, even I wanted to make acquaintance with the staff at VPBank – Giang Vo, I had few chances to so 4.3 Using the data and original document Due to security requirements, although I made every effort to get permission for using data and original documents in my report, the amount I get was very limited In other words, it is harder for me to present what I have learnt from the internship in the report 20 CONCLUSION In the recent years, Vietnamese economy has gone through ups and downs, turned from stable to overheating growing status then become frozen In the recovery period after such great depression, foreign trade plays a key role in economic restructure and development While export not only generates capital for import but also creates more jobs for citizens, import solves the problem of shortage of technology and ensures the diversity for the economy International payment methods are indispensable in such international commercial activities, in which documentary credit has contributed a significant section The internship has given me a valuable opportunity to get deep insights into the currents of international payment by letter of credit at VPBank – Giang Vo branch Through the previous five weeks, I have worked on a complete process to handle enquiries related to letter of credit; compared theories studied at university to real practices and drew lessons for myself I could not have finished this report without the enthusiastic support from all staffs at the branch, especially my mentor: Mr Nguyen The Dan and the branch director: Ms Le Thi Bich Thuy Working with professional people also helps me to improve communication, teamwork skills and to adjust behaviors Once again, I take this opportunity to express my profound gratitude and deep regards to my supervisor Associate Professor Trinh Thi Thu Huong for her exemplary guidance, monitoring and constant encouragement throughout the course of this report Due to my limited knowledge and experience, minor mistakes may take place in this report Thus, I highly appreciated any comments from you and other readers to make my latter thesis better REFERENCE Assoc.Prof Nguyen Van Tien, 2008, International payment, Statistics publisher International Chamber of Commerce, 2007, The Uniform Customs and Practice for Documentary Credits Standardizing finance management skills for SMEs, 2013 Available from: http://www.vpb.com.vn/bai-viet/thong-cao-bao-chi/chuan-hoa-ky-nang-quan-lytai-chinh-cho-cac-doanh-nghiep-sme [July 2013] VPBank Giang Vo branch, 2011, Annual report VPBank Giang Vo branch, 2012, Annual report VPBank Giang Vo branch, 2013, Annual report VPBank, 2013 A , Training materials: Trade finance October 2013 VPBank, 2013 B, Prospectus 2013 ... http://www.vpb.com.vn/bai-viet/thong-cao-bao-chi/chuan-hoa-ky-nang-quan-lytai-chinh-cho-cac-doanh-nghiep-sme [July 2013] VPBank Giang Vo branch, 2011, Annual report VPBank Giang Vo branch, 2012, Annual report VPBank Giang Vo branch, 2013, Annual report VPBank, 2013 A , Training materials:... series of VPBank branches as an effective multifunctional level I branch 2.4.1 Organogram of VPBank – Giang Vo branch Giang Vo branch director Figure 2.1: Organogram of VPBank – Giang Vo branch... development 2.4 Introduction about VPBank – Giang Vo Branch VPBank – Giang Vo branch was established on 19th April 2004 After ten years of growing up, VPBank Giang Vo has gradually developed, kept