Factsheet with basic information about consumer finance in Vietnam

1. 4. KEY FEATURES
4.9 4.8
7.2
8.2
6.3
7.4
8.9
10.4
7%
5%
8%
8%
5.2% 5.2%
6.0%
6.6%
8%
7%
7%
6%
4.7%
5.3% 5.4% 5.3%
0%
1%
2%
3%
4%
5%
6%
7%
8%
9%
-
2
4
6
8
10
12
Dec-07 Sep-08 Dec-09 Dec-10 Dec-11 Dec-12 Dec-13 Aug-14
Consumer Loans Balance in USDbn % Consumer Loans/GDP % Consumer Loans/Loan Book
Source: StoxPlus from SBV and StoxPlus
3. MARKET SIZE
Consumer Loan Balance (USDbn) and %GDP, %Total Loans
2. KEY FINANCIALS OF
TOP 6 NON-BANK PLAYERS
Source: StoxPlus from NFSC and SBV
38%
13%2%
30%
6%
7%
4%
49%
3%
10%
1%
37%
1. MARKET SEGMENTATION
Breakdown of Vietnam Consumer Loans,
as of 30/08/2014
SOCBs
JSCBs
Foreign Banks
Finance
Companies
Others
Source: StoxPlus from NFSC and SBV
Breakdown of Vietnam Consumer Loans by players,
as of 30/08/2014
Housing loans /
Home improvement loans
(without collaterals)
Vehicle loans (two-wheelers
and automobiles)
Education and medical loans
Home appliances and
furniture loans
Personal overdraft account
Loans for other purposes
- cultural sports,
and travelling
Credit card outstandingSource: StoxPlus from NFSC
Consumer Finance
FACT SHEET
Dated September 25th 2015
Vietnam consumer loan has reached US$10.4bn as of August
2014 and is expected to continue its fast-growing trajectory
in 2015: Finance companies have the fastest growth in
consumer loans compared to other types of players. This
result is due to the easy credit (quick loan processing)
business model, so finance companies can charge the highest
interest rate in the market (ranging from 30-80% APR depend-
ing on products).
Finance companies have the fastest growth in consumer
loans compared to other types of player, accounting for 10%
of total consumer loans. According to data of loan outstanding
of finance companies, PPF is still the market leader with the
highest growth rate of 23.1% in 2014 compared to 2013. VP
Finance Company (i.e. FE Credit) ranked second among
finance companies in terms of loan outstanding as reported
to the SBV. However, according to our own analysis, the
actual loan outstanding of FE Credit is much larger, and that
they should be ranked as CF market leader.
CF customers tend to be Mass – Upper Mass individuals.
Their monthly income mostly ranges from VND3-7mn
(US$150-350): In our sample size of 500 CF users, more than
70% of participants have monthly income ranging from
VND3-7mn (or US$150-350) with the mean of the population
at VND6.44 million.
Cash loan and e-wallet are expected to continue as
emerging product trends and gain momentum reshape the
industry: as the rise of ecommerce, e-wallet would be an
essential infrastructure for the online/mobile consumer
finance. The appearance of MobiVi and MoMo could serve as a
loan distribution as well as payment channel.
If you want to have further information, please contact person below:
Research
Ms. Lan Nguyen
Senior Manager
lan.nguyen@stoxplus.com
+84(4) 35626962 (ext.109)
Business Information
Ms. Hue Vuong
Managing Director
hue.vuong@stoxplus.com
+84(8) 38233485 (ext.802)
Financial Information
Ms.Trang Truong
Managing Director
trang.truong@stoxplus.com
+84(4) 35626962 (ext.114)
% Market
Share
Total
Assets
(US$
million)
Net
Revenue
(US$
million)
ROA ROE
Home Credit 33% 7,883.60 2,196.4 0.28% 1.40%
Prudential Finance 20% 3,507.90 482.3 0.14% 0.67%
Toyota Finance 8% 1,685.10 68.7 0.04% 0.12%
HD Saison 14% 1,713.10 315.5 0.18% 0.60%
Jaccs 3% 573.6 90.4 0.16% 0.19%
FE Credit 21% 5.867 189.945 32% 156%
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