LV Thạc sỹ_Solutions to improve the efficiency of funds mobilization in Military Bank

NATIONAL ECONOMICS UNIVERSITY ADVANCED EDUCATIONAL PROGRAM ***************************** BACHELOR THESIS IN FINANCE The solutions to improve the efficiency of funds mobilization in Military Bank, Hai Ba Trung branch ACKNOWLEDGEMENT As being a senior student majoring in Finance, in order to prepare graduate report well as well as have chances to review, improve and apply learned knowledge in practice, during three-month internship cource, I fortunately had an opportunity to internship in Military Bank, Hai Ba Trung Branch At first, I was in full of embarrassment about what I will have to and how I will use my learned knowledge to accomplish my work as best as possible However, only after a short time did I gradually realize that I was going closer to my major in a practical way and know what and how I had to and which of shortcomings I possessed so that I myself had orientations for my future job This report was the result of my three-month internship Therefore, I would like to express my deep gratitude to two very important people, including my supervisor, PhD …,and my internship guide, Mr … , Personal Customer Specialist in Military Bank, Hai Ba Trung Branch Finally, I am also thankful to Board of Directors as well as all staffs in Military who support me a lot to accomplish the thesis TABLE OF CONTENTS ABSTRACT ABBREVIATION LIST OF TABLES LIST OF FIGURES Chapter 1: Introduction …………………………………… ………………………….1 1.1 Rationale……………………………………………………………… ………….1 1.2 Research objective ……………………………………………………………….2 1.3 Research methodology…………………………………………………………….2 1.4 Scope of research………………………………………………………………… Chapter 2: The foundation of funds mobilization of commercial bank……………………………………………… ……………………………… …… 22.1 The overview of commercial bank…………………………………… …………….2 2.1.1 The definition of commercial bank…………………………………….………… 2.1.2 The main business activities of commercial bank………………………………….3 2.1.2.1 Fund mobilization……………………………………………………………… 2.1.2.2 Capital using activities……………………………………………………………4 2.1.2.3 Other activities ………… ………………………………………… 2.2 Funds mobilization forms of commercial bank…….…………………………… 2.2.1 Different kinds of economic entities………………………………… ………… 2.2.2 The nature of fund mobilization……………………… ………………………….7 2.2.3 Terms……….…………………………………………………………………….10 2.3 The efficiency of funds mobilization in commercial bank……………………….10 2.4 Factors affect commercial bank’s efficiency of funds mobilization…………… 13 2.4.1 Subjective factors…………………………………………………………………13 2.4.1.1 Bank’s policy of interest rate…………………………………………………13 2.4.1.2 The forms of funds mobilization, the quality of banking services… ……….14 2.4.1.3 The banking technology………………………………………………………15 2.4.1.4 Marketing strategy of banks………………………………………………… 15 2.4.1.5 Ability, profession and business ethic of bankers…………………………….17 2.4.2 Objective factors……….…………………………………………………………17 2.4.2.1 Savings from residents……………………………………………………… 17 2.4.2.2 Socioeconomic, political and cultural environment………………………….18 2.4.2.3 Law environment…………………………………………………………… 19 2.4.2.4 Competitive environment…………………………………………………… 19 Chapter 3: The situation of fund mobilization of MB, Hai Ba Trung branch……………………………………………… ……………… ……………… 203.1 The introduction to MB, Hai Ba Trung Branch …………………………………….20 3.1.1 The history and development of MB, Hai Ba Trung branch…………………… 20 3.1.1.1 Military Bank…………………………………………………………………20 3.1.1.2 Military bank, Hai Ba Trung branch………………………………………….22 3.1.2 The branch organization………………………………………………………….22 3.1.3 Branch services………………………………………………………………… 24 3.2 Business performance of MB, Hai Ba Trung branch from 2009 to 2011………………………………………….………………………………………… 24 3.2.1 Business performance of MB…………………………………………………….24 3.2.2 Analysis of business performance of MB Hai Ba Trung branch…………………29 3.2.2.1 Funds mobilization……………………………………………………………29 3.2.2.2 Credit performance……………………………………………………………30 3.2.2.3 Other activities……………………………………………………………… 32 3.2.3 Business results of the branch…………………………………………………….32 3.3 The status of funds mobilization of MB, Hai Ba Trung branch …………………35 3.3.1 The growth of mobilized funds………………………………………………… 35 3.3.2 Analysis of mobilized funds by VND and foreign currencies………………… 36 3.3.3 Analysis of mobilized funds by types of deposits……………………………… 37 3.3.4 Analysis of mobilized funds by economic entities……………………………….38 3.4 Assessment of funds mobilization of Hai Ba Trung branch…………………… 39 3.4.1 The achievements……………………………………………………………… 39 3.4.2 The limitations and reasons………………………………………………………41 3.4.2.1 The limitations……………………………………………………………… 41 3.4.2.2 The reasons……………………………………………………………………42 Chapter 4: The solutions to improve funds mobilization of MB, Hai Ba Trung branch………………………………………………………………………………… 43 4.1 Development orientations of MB, Hai Ba Trung branch……………………………43 4.1.1 Sphere of transaction points and offices …………………………………………43 4.1.2 Orientations in competitive environment.…………………………………………43 4.1.3 Customers and customer services…………………………………………………43 4.1.4 The commitments and other orientations……………………………………… 40 4.2 The solutions to improve funds mobilization of MB, Hai Ba Trung branch……… 46 4.3 The recommendations……………………………………………………………….49 4.3.1 The recommendations to MB…………………………………………………… 49 4.3.2 The recommendations to government…………………………………………… 49 4.3.2.1 Stabilizing macroeconomic environment……………………………………….49 4.3.2.2 Establishing comprehensive and stable environment of law……………………50 4.3.2.3 Transferring social environment under appropriate directions………………….50 4.3.3 The recommendations to State bank………………………………………………51 4.3.3.1 Policy of interest rate……………………………………………………………51 4.3.3.2 Policy of exchange rate………………………………………………………….51 4.3.3.3 The development of capital market…………………………………………… 52 CONCLUSION…………………………………………………………………………53 REFERENCES ABSTRACT After integrating in WTO, Vietnam gave itself a lot of advantages for developing its economy dramatically Interestingly, the businesses in Vietnam are establishing more and more with state-owned companies being decreasing and instead of foreign-invested or small and private enterprises, which are increasing at both the number and quality This facilitates commercial banks to foster their services and operations in order to raise trade opportunities, expand network and put up profits As a result, Military Bank is also in this area Only after 18-year establishment did Military Bank create significant forward steps with branches nationwide and strong reputation Therefore, the purpose of this report is to give the overview of Military Bank and Military Bank, Hai Ba Trung Branch The page is primarily devoted to explain the organization structure, business performance and status of funds mobilization as well as solutions to improve this activity, then development orientations and recommendations for Military Bank, Hai Ba Trung Branch In brief, the thesis concentrates on six main contents: Introduction of Military Bank, Hai Ba Trung Branch Business performance of Military bank, Hai Ba Trung Branch, from 2009 to 2011 Situation analysis of funds mobilization in Military bank, Hai Ba Trung branch Solutions to improve funds mobilization Development orientations for branch Recommendations ABBREVIATION MB: Military Bank FDIC: Federal Deposit Insurance Corporation SBV: State Bank of Vietnam ATM: Automatic Transfer Machine POS: Point of sale UDIC: Urban Infrastructure Development Investment Corporation LIST OF TABLES Table 3.1: Services, products of MB, Hai Ba Trung branch…………………………… 25 Table 3.2: Scale and speed of credit growth………… …………………………………30 Table 3.3: Loans structure of MB Hai Ba Trung branch.……………………………… 31 Table 3.4: Business results of MB Hai Ba Trung branch in 2008-2010…………………33 Table 3.5: Structure of mobilized capital in VND and foreign currencies…………… 36 Table 3.6: Structure of mobilized capital by term……………………………………….37 Table 3.7: Mobilized capital based on types of customers………………………………38 Table 3.8: Structure of deposits from financial institutions…………………………… 39 Table 4.1: The general targets of MB Hai Ba Trung branch…………………………….44 LISTS OF FIGURES Figure 3.1: Organization framework of MB, Hai Ba Trung branch…………………… 23 Figure 3.2: Total assets………………………………………………………………… 26 Figure 3.3: Total chartered capital.………………………………………………………27 Figure 3.4: Earnings after taxes………………………………………………………….28 Figure 3.5: The growth of ROE and ROA……………………………………………….29 Figure 3.6: Business results of MB Hai Ba Trung in 2008-2010……………………… 34 Figure 3.7: Total mobilized capital …………………………………………………….35 CHAPTER 1: INTRODUCTION: 1.1 Rationale: In difficult economic condition today, to industrialize and modernize, Vietnam must foster the technological evolution, optimally salvage all sources, especially, capital Capital is always one of basic inputs in business of each of companies For commercial banks, a financial intermediation, capital plays a very important role In fact, commercial banks usually use capital to gain benefits However, to supply funds enough for market, banks will mobilize funds from outside sources For the reason, commercial banks should pay attention to their funds mobilization to meet their demands In Vietnam, funds mobilization of banks is still improper, which leads to the high cost of funding, unstable size of funds, disagreement between funding portfolio of assets and size, structure, which limits the profitability of banks, then puts them in risks Therefore, the improvement of the problems of funds mobilization related appropriate costs and high stability is the more essential and more important requirement To so, we must not only research the forms of funds mobilization, the factors related to assessing the efficiency of funding, for example, size and structure of capital, sources of capital at appropriate costs, or risks management associated to funds mobilization, but also analyze the factors affecting funds mobilization According to the results achieved, MB can be confident enough to its development in the future as well as improve its funds mobilization to strengthen its competitiveness To illustrate more clearly, in recent years, resources of capital at cheap cost from Department of Defense and enterprises of defense industry have become less and less In addition, there exists tremendous competition between not only commercial banks but also nonbank institutions As a result, MB must enforce correct solutions of funds mobilization in order to meet the demand in capital for the economy Throughout three-month-internship course at the Personal Banking Department of MB Hai Ba Trung branch, the thesis’s with other banks In addition, bank does not still offer its unique products as well as ones which satisfy different requirements of different groups of people on the market, for example, insurance products, etc Thirdly, the network of transaction offices has been extended, but still not exploited completely The distribution of trading counters, saving funds only concentrates on mobilizing from populated areas, or mostly in Hanoi and South area Furthermore, the application of technology of MB is limited Information technology system is often in trouble, which affects the transactions of customers For example, that MB’s ATMs are often out of work cause the difficulty in withdrawing This problem makes customers unwanted feelings in depositing at MB, as a result, payment deposits of MB reduce substantially Another reason is that time when bank usually deals with customers also affects branch’s funds mobilization In fact, because working time of bank is the same as that of depositors, there are a segment of customers who cannot transactions in that time Finally, in current business environment, activities of MB are significantly affected by socioeconomic characteristics as well as changes in macroeconomic environment in general In recent years, variables in Vietnam and world economies, for example, the economic crisis, high inflation and the impact of the European currency crisis have caused Vietnamese enterprises as well as banks to meet obstacles in business, especially, funds mobilization because of the scarcity of money CHAPTER 4: THE SOLUTIONS TO IMPROVE FUNDS MOBILIZATION OF MB, HAI BA TRUNG BRANCH: 4.1 Development orientations of MB, Hai Ba Trung branch: 4.1.1 Sphere of transaction points and offices: Populous urban areas where the majority of high–income people live, shops and private enterprises run their business, etc, create many opportunities and great potentials for developing retail market 4.1.2 Orientations in competitive environment : In general assessment of competitors, Hai Ba Trung area centralized a great number of banks and financial institutions in Hanoi, with many streets – financial streets- such as Ba Trieu, Pho Hue, Hai Ba Trung, etc Among banks performing here, there are a lot of banks which have performed here over many years This is seen as a challenge for MB Hai Ba Trung However, the participation in such an area brought many advantages for MB Hai Ba Trung to access and to exploit its markets better In other ways, building banks on a large scale and high competitiveness is common orientation of most commercial banks here 4.1.3 Customers and customer services:  About basis of customers: In four-year performance, transaction offices directly under branch constructed the system of loyal customers and developed many services segments In detail, the general targets of MB Hai Ba Trung are expressed by the data table as the following: Table 4.1: The general targets of MB, Hai Ba Trung branch Number General targets Result of 2011 Target of 2012 The number of customers 10780 12800 Corporate customers 660 800 Personal customers 10120 12000 Mobilized capital at the end of year VND 2500 billion VND 2500 billion Average mobilized capital VND 1244.8 billion VND 1493.9 billion Demand deposits VND 402.4 billion VND 492.9 billion Time deposits VND 842.4 billion VND 1001 billion Outstanding debts at the end of year VND 1261billion VND 1513.2 billion Average outstanding debt by term − Short-time VND 762.7 billion VND 915 billion − Medium-time VND 263.6 billion VND 211 billion − Long-time VND 246.6 billion VND 387.2 billion Non-performing loans + Non-performing loans of groups VND 82.64 billion VND 66 billion 2,3,4,5 + Bad loans of groups 3,4,5 VND 71.7 billion VND 57 billion (Source: Report ended 2011 of MB, HBT branch)  About traditional customers: During its operation, branch’s transaction offices built a great number of customers, accounted for total 10100 transaction accounts, among them, there were many big customers as following: + The system of FPT companies included FPT-Head Office, FPT Telecom, FPT Distributor, which has been in close relationship with the branch + Urban Infrastructure Development Investment Corporation (UDIC) is big and potential customer of branch + Vietel – Construction is big customer, which planed to grow quickly and use many diverse services of bank after equitizing + Hanoi Housing Development and Investment Fund is potential customer in developing the projects of real estate, medium and long-term investment + Hong Ha Office Stationery Company and Hanoi Medical Equipment Company are potential customers with stable transaction scale + IT companies, such as Hai Hoa Software, Kim Tu Thap, Tinh Van, and so on, are SME customers with potentiality in stable performance  About retail banking service: Going along with the expansion of enterprise banking market, the transaction offices directly under branch relatively succeeded in cross-selling attached retail services and products In December 2011, all personal accounts counted for 10120 ones Among them, there were some big potential customers, for example, cadres, staffs and leaders of the system of FPT companies, or those of UDIC Furthermore, keeping close relationship with these groups of customers built the background for long-term relationship between MB Hai Ba Trung and the enterprises  About orientation for potential customers: According to statistic data on researching socioeconomic situation of Hai Ba Trung district, MB Hai Ba Trung realized that modern banking services had significant potentiality and opportunities of development  About the changes in structure and income of customers: The main goal is to reduce the proportion of credit revenues by 85% and to gain revenues from payment services, such as home and foreign payment, financial guarantees, and so on, and to develop budgetary services Another goal is to diminish the proportion of non-mortgage loans and to keep the growth speed of credit not to exceed 35% per year Final one was to raise the quantity of customers in the fields of trade, import and export 4.1.4 The commitments and other orientations:  Traditional clients: Holding stable orientations and relationships with traditional clients, simultaneously, implementing the commitment of providing the best services for these potential groups Besides, restructuring the groups of clients in basic building field and ones with low insolvency Therefore, expanding relationships with customers in the fields of trade, import-export finance, and diversifying retail banking products are necessary  New orientations: + Stablizing the organization and structure of branch as well as departments directly under it + Building specific customer policies, especially, the groups of big ones + Implement the segmentation of customers, identifying target markets, and building effective and detailed marketing strategy + Concentrating on developing retail banking products such as consumption, sole proprietary, and so on + Construct the combination with financial institutions, and strengthen co- financing and trust 4.2 The solutions to improve funds mobilization of MB, Hai Ba Trung branch: By studying fund mobilization activity of Hai Ba Trung branch, we see that mobilized funds have grown steadily over the years, which meets the demand of bank’s financing Mobilization strategy aimed at the growth of capital is proper, and help bank more independent, more confident in business However, beside the favorable conditions, the bank still faces many difficulties and limitations which it should overcome To improve the efficiency of funds mobilization, the bank should build appreciate solutions to maximize the positive factors and limit the negative ones  Diversifying the forms of fund mobilization: To expand the volume of capital, enhance business efficiency as well as fund mobilization efficiency, MB Hai Ba Trung should diversify the resources of capital, especially these from individuals + With high-income people who usually pay attention to interest rate, safety, terms, MB Hai Ba Trung should actively provide information on the means of storing and interest rate of deposits for them to select + With fixed-income people who accumulate their money for using in the future, the bank should direct them to convert terms in proper time to bring them the largest benefits This also expresses the helpfulness of bankers to their customers + With merchants or businesspeople, because they have little idle money in long term and often turn over their capital continually, they will rather care for the convenience of baking services such depositing or receiving than interest rate Therefore, MB Hai Ba Trung should arrange tellers properly to transactions quickly as soon as these people request Although receiving and paying cash quickly will increase the cost by specific level, the bank will attract a large amount of cheap capital because it is payment deposit  Offering flexible interest rate as a tool to raise the volume of capital: Branch should use flexible interest rate in each period in accordance with the fluctuation of market to stabilize its business efficiency Especially, interest rate of fund mobilization has significant influences in attracting depositors For the reason, bank must often observe the changes on market interest rate to forecast the associated trends and estimate average rate of mobilizing and lending in order to offer rate not only competitive but also attractive to ensure the bank’s benefits  Researching and offering new forms of fund mobilization: Beside the traditional, MB Hai Ba Trung should search and offer new forms of fund mobilization, for example, researching new products of fund mobilization of other commercial banks, surveying the market demands to renew its products As several large commercial banks as Techcombank, MB should offer additional insurance products such as asset insurance, etc, new types of saving products such as retirement savings, school savings, etc Especially, bank also extends more new forms of mobilization, including the issuance of debentures, bonds to mobilize medium and long term funds Moreover, MB should transfer its saving funds to transaction point to maximize fund mobilization efficiency and increase the quantity of potential customers throughout using banking services  Developing diverse services along with improving service quality: In commercial banks, all activities go hand in hand For the fact, to improve fund mobilization activity, MB also develops banking services associated At present, payment deposits are a potential segment to bank and bank should develop it well to maximize fund mobilization activity In that, MB Hai Ba Trung may apply some ways such as opening individual accounts freely to contact with the officer subjects, or developing services related to paying by domestic and international cards to meet demand in depositing and withdrawing of people On the other hands, MB Hai Ba Trung provides other services, including consulting, preserving or remitting and so forth  Innovating banking technology: In technological era, MB in general and MB Hai Ba Trung in particular should renew and modernize banking technology In process of transaction, bank uses INCAS technology to facilitate the payment as well as keep track the information of its clients However, the improvement of ATM is very necessary task to bank so that its clients withdrawal and transferring 24/24 To so, bank needs the care and investment of board of directors as well as all staffs  Improving PR and marketing activities: In fact, bank has to have large quantity of customers enough to run its business fluently and continually Thus, attraction of those who care its products is a very important requirement in operation of bank To so requires bank to its marketing activities best as possible At present, banking products are not still advertised as noisily as other ones The ones are traditional products such as savings, lending, and some other ones advertised only when bank needs funds to invest specific projects while the new ones are not mostly advertised, directed, and introduced This action not only does not provide necessary information for people, but also makes them wonder whether the bank is the best for them to transactions, deposits, especially for individuals and small enterprises As a result, bank should combine with mass media, broadcast and newspaper to build its image in market by broadcasting advertisings about bank, banking services and so forth 4.3 The recommendations: 4.3.1 The recommendations to MB: MB Hai Ba Trung is one of MB’s branches, so its performance also affects MB’s business results as a whole In contrast, n order that MB Hai Ba Trung can perform well, the support of MB is very important Based on the situation of MB Hai Ba Trung in analysis above, MB should implement some activities to solve the limitations existing in MB Hai Ba Trung as the following: + Building appropriate interest strategy to apply for all its branches + Equiping modern technology for the system of branches + Building, promoting and developing MB’s image positively + Organizing meetings to exchange experiences between branches regularly + Establishing training courses to improve skills and profession of staffs + Improving material facilities in all branches 4.3.2 The recommendations to government: 4.3.2.1 Stabilizing macroeconomic environment: Macroeconomic environment has substantial impacts on mobilizing funds of banks It either gives advantages or causes disadvantages, limits funds mobilization Stablizing macroeconomic environment is the result of the combination of policies such as fiscal policy, monetary policy, foreign policy, etc Especially, monetary policy plays an important role in bank’s activities In Vietnam, one of contents of stablizing macroeconomic environment is the control of inflation and stability of currency In recent years, economy of world falls in crisis, especially monetary crisis of Europe affects most economies over the world Therefore, in the difficult economic stage, government as well as State Bank should enforce macroeconomic policies to control, adjust the structure of investment so that the economy as a whole grows at high level in stable and sustainable conditions However, this problem not only is proposed in any period, but it is also more important to government’s ability of adjusting policies and tools to adapt current condition quickly In other way, this is also a condition to promote monetary policy in adjusting circulation of money in order to match the targets as well as the volatility of economy 4.3.2.2 Establishing comprehensive and stable environment of law: At the moment, economic law of Vietnam is still not perfect, especially, basic laws necessary to trade such as trade law, economic law, and so on Thus, to protect the rights of investors, government should enforce a system of comprehensive laws, for instance, law of private assets, law of commercial paper, etc These actions will firstly create the confidence in people in sense Moreover, positive regulations of government will have direct influences on adjusting the relationship between consumption and saving, transferring a part of consumption to investment, shifting assets stored in gold, foreign currencies, or real estate to invest in manufacturing or to deposit in banks 4.3.2.3 Transferring social environment under appropriate directions: Factors of psychology, cultural level of each people, countries also have impacts on the forms and habits of mobilizing deposits At the moment, people still maintain their habits of spending and storing cash Therefore, banking activities, first of all, are to attract all sources of savings and accumulations of residents, economic institutions to support the socioeconomic development Psychological factor requires banks to stimulate and attract idle funds in society For the reason, the government should combine with commercial bank to promote the benefits of non-cash payment banks offer To so, researching behaviors of customers along with satisfying their demands is essential task in commercial bank’s activities, especially, in currently rigorous competition between credit institutions to attract more customers The most important thing is that the government needs to solve the unemployment, improve educational level of people so that their living standard and education are enhanced; as a result, they will approach modern means of payment more easily 4.3.3 The recommendations to State Bank: 4.3.3.1 Policy of interest rate: Interest rate is important tool for banks to attract idle resources from population, economic organizations, and the enterprises Appreciate policy of interest rate will improve the funds mobilization Furthermore, applying proper interest rate will attract the more and more funds in society, and encourage manufacturers to use funds more effectively in production Meanwhile, this policy must be build based on protecting benefits of both banks and customers, simultaneously, suit to the socioeconomic development in period in accordance with principle of market To so, State bank must not only build flexible policy of interest rate in control banks’ business, but also propose policy of discount rate as well as rediscount rate in each stage owing to it is key element affecting the implementation of policy of interest rate of banks 4.3.3.2 Policy of exchange rate: Policy of exchange rate also impacts the performance of banks, including funds mobilization If exchange rate is not stable as well as upwards or downwards quickly without any prediction, it will cause negative impacts on funding of commercial banks For example, if exchange rate rises quickly, leading to depreciation of currency, sources of VND for banks will not increase although interest rate of foreign currencies declines and rate of currency increases The reason is that people believe that VND will be able to continue depreciating In that, State Bank should continue building stable and proper policy of exchange rate to facilitate banks’ business 4.3.3.3 The development of capital market: In market economy, the development of capital market is very meaningful to Vietnam That capital market develops will facilitate funds mobilization by the issuance of securities On the other hands, this is also chance for investments to convert their stocks into cash easily and quickly Capital market will be the place where the supply of capital meets the demand of capital By this market, capital resources distributed to small amounts will be collected to bigger ones for investing more beneficially However, commercial banks funds medium and long-term sources is rather difficult without concentrated capital market Thus, capital market will solve the conflict between the supply of short-term sources and the demand of long-term ones that is the issuer of securities can mobilize long-term funds while the buyers of these can also transfer them to cash anytime CONCLUSION Commercial banks, in general, are established to banking transactions such as mobilization, receiving deposits with terms of short, medium and long from economic entities, lending in term of short, medium and long for institutions and individuals based on banks’ capital; to transaction related to foreign currencies, international trade financing, discount of valuable papers and other banking services allowed by SBV MB is also a commercial bank; therefore, it does transaction listed above as well For this, business performance of MB-HBT branch is very important measure to reflect financial position of branch in particular and of MB as a whole As a consequence, MB-HBT branch must always pay attention to its performances involving funds mobilization, credit, international payment, and so on in order to ensure stable growth of branch as well steady development of whole system of MB My report only concentrates on analyzing current status of business of MB-HBT branch in general, about more detailed problems involving its funds mobilizations in particular Finally, I am very thankful to my teacher, my internship guide and involved people who helped me to complete this report Thank you! REFERENCES Vietnamese: Phan Thi Thu Ha (2007) Ngân hàng thương mại.National Economic University Publisher, Hanoi Financial statements of MB Hai Ba Trung branch English: Peter S Rose (Fifth edition) Commercial bank Managerment MacGraw-Hill Irwin Websites: nganhangquandoi.com.vn mbbank.com.vn clubtaichinh.net ... correspondence of bank? ??s interest rate to the others 2.4.1.2 The forms of funds mobilization, the quality of banking services: Another factor affecting the size and quality of mobilized capital is the banks’... considering the efficiency of funding, the bank must estimate the costs carefully to ensure its gains to cover the costs and to make profit for it The lower the ratios above are, the higher the efficiency. .. confident in investing high-profit activities Also, mobilized funds are large enough for banks to meet their customers’ demand, to expand their business and to improve the quality of their banking