demand; The level of competition between producers in the Community; Productivity and investment in production; Quality or technical advantages of imported products; Price fluctuations of input materials and exchange rate fluctuations.
In relation to the impact of dumped imports on prices, the EC will consider whether there is a significant price reduction in the dumped imports compared to the prices of similar goods in the European Union's Community industry (i.e. whether the price reduction is large or small). Similar to the comparison of prices to calculate the margin, the calculation of the impact of the import price reduction is carried out on the basis of comparing the average prices of each product category to calculate the price reduction margin for each product category, then calculating the overall price reduction margin from the set of price reduction margins for each product category.
Cumulative
Using the ADA cumulation rule, the EC aggregates all imports from the countries under investigation and assesses their impact on the domestic industry (although the dumping margin is calculated separately). However, the EC usually does not take into account the competition between those products [23].
The EC Anti-Dumping Regulation provides that the effects of dumped imports from the country of origin will be assessed cumulatively if it is determined that:
- The dumping margin established by each country is higher than the de minimis margin;
- Imports from each exporting country are negligible, representing only 1% of the market share. However, if the market share of a single country is less than 1%, imports are still not considered negligible if they account for at least 3% of the European Community market.
- The cumulative assessment of the effects of imports is necessary in the context of competition between imported products and similar products within the Community.
In fact, the EC concludes that conditions for accumulation currently exist and will assess
injury caused to Community production on the basis of all imports.
Massive damage
Even if imports are the cause of adverse effects on Community production, the goods are assessed by examining whether the increase in volume and/or the existence of price declines occur simultaneously because of the deterioration in the financial situation of the producing industry.
When increased imports are accompanied by a deterioration in the economic situation of the complainant, the Community tends to automatically assume a causal link between the two facts. If it cannot be shown that the injury is due largely to factors other than dumped imports, the Community will conclude that dumping has caused injury.
The influence of ' other factors '
If factors other than imports are threatening the Community industry at the same time, it is necessary to examine whether these factors break the causal link between the imports and the injury. In determining whether factors other than imports are causing injury to the industry, the Commission shall examine:
- Volume and price of imported goods not dumped or subsidized;
- Narrowing demand and changes in consumption patterns;
- Limited trade practices;
- Strong competition between producers based in the European Community;
- Insufficient productivity of the Community's production;
- Weakness in advertising and after-sales service of the manufacturing industry in the Community;
- Misjudging market development;
- Poor product quality or insufficient product range of Community production;
- Exchange rate fluctuations
- Redistribution of production outside the Community.
If it is proved that the above factors are causing injury to the Community industry, the Commission will determine the influence of the factor on the injury found. It will conclude that the imports do not cause injury only if it is determined that the injury is due entirely to other factors. Where it is determined that the imports have contributed to the injury found, even if they are not the main and sole cause of the injury, the Community will generally conclude that there is a causal link between the dumping and the injury.
However, in reality, it is very difficult for exporters to prove the above economic impacts.
No connection for each exporter
As analyzed above, the EU regulation on determining the link between dumping and injury only determines the general link between the total dumping and the total injury of the Community industry, and does not calculate the link for each exporter separately. This of course causes damage to small exporters because their very small market share is not taken into account.
c) Consider community interests
Some countries in the world such as the EU, Canada, Australia, Argentina stipulate that considering community interest is a condition for applying anti-dumping measures. On the basis of putting community interest first, the EU stipulates that if the Commission determines that there is dumping and damage, they can still decide not to apply anti-dumping measures if they find that such measures are contrary to community interest.
The public interest is determined to include the interests of the producers of the like product within the Community and the interests of the consumers of the imported product. Normally a protective measure is considered to be in the public interest when the majority of Member States do not object to its application. Thus, in order not to
To be subject to anti-dumping measures, exporters must convince member countries that their goods do not affect the interests of the Community.
If in the past, the number of cases of not applying anti-dumping measures due to impacts on public interests in the EU was not much, in recent years the EC has paid more attention to public interests and the number of times it has not applied them has also increased.
The specific case of the EU's calculation of damages is set out in Annex 2.
2.1.2.4 EU anti-dumping measures and review regulations
a) Anti-dumping measures
Like other countries, the European Commission often applies suspension agreements and provisional duties, anti-dumping duties. The different EU regulations on the application of anti-dumping measures are analyzed below:
Tax rate
As in other countries, the EU stipulates that the anti-dumping duty rate must not exceed the dumping margin. However, as mentioned, in practice the Commission sometimes applies a duty rate lower than the dumping margin because the calculated injury margin is lower than the dumping margin.
One of the differences in the EU rules is that duties on imports from a country are based on the dumping margin and the injury margin (which has been calculated) for each exporter who has cooperated with the Commission throughout the investigation. Thus, if the Commission determines that duties are necessary on imports from a particular country, all exporters based in that country will be subject to anti-dumping duties on their exports or, if any exporters do not cooperate with the Commission, to a common residual duty.
Retroactive application
In general, duties are only levied on goods imported into the European Community after a decision has been taken to impose the duty in question. However, there are exceptions to this general rule and duties may be imposed in certain circumstances.
specific situation
For dumped goods , retroactive duties may be imposed if:
- Has a history of dumping (or the importer has or should have recognized dumping); and
- Sharp increase in dumped imports into the European Community before the application of protective measures.
In such cases, definitive duties on imports into the European Community may be imposed up to a maximum period of 90 days before the imposition of provisional duties (but not before the initiation of an investigation).
b) Review the application of anti-dumping measures
Like some countries, the EU also conducts mid-term and sunset reviews. Mid-term reviews in the EU will be carried out in the following cases:
(i) The European Commission or an EU Member State provided that there is sufficient evidence to demonstrate the need for a mid-term review – in which case a request for a review may be made at any time.
(ii) Any exporter, importer of the goods concerned or EU manufacturers provided that:
- The anti-dumping/anti-subsidy measure has been applied for a reasonable period of time (at least 1 year from the date of official tax determination); and
- The request must be accompanied by sufficient evidence to demonstrate the need for a review of the measure.
In this case, a request for review can only be made after the formal tax measure has been applied for at least 1 year.
The sunset review is conducted at the end of the period of application of anti-dumping measures, to determine whether the termination of the anti-dumping measures after the expiry of the period of application specified in the Final Duty Decision would lead to the continuation or recurrence of dumping causing injury. The sunset review procedure is conducted in all aspects, almost
similar to the initial investigation.
Thus, the legal contents and anti-dumping enforcement mechanisms in the EU clearly show that the EU uses anti-dumping policies that harmonize production protection and public interests, as shown in the following points:
i) Selection of investigation sample: The EU often selects the investigation sample in case of too many defendants, with such selection of sample, it will not maximize the calculation margin as in the US classification;
ii) Determining the level of contribution of the domestic industry producing similar products to the Community's production: This is one of the provisions aimed at determining more "reasonably" in the direction of protecting consumers on the basis of determining the level of contribution of the domestic industry.
iii) Determining the margin of damage: With the regulation on applying the margin of damage, the EU policy tends to protect consumers because the anti-dumping tax rate will be the lower ratio between the margin of damage and the margin of dumping.
iv) Consideration of public interest: With this provision, the EU requires mandatory assessment of the impact on public interest of applying anti-dumping measures. Although these provisions are not and cannot be precise, they also demonstrate the EU's policy of harmonizing protection and consumer interests.
Through analyzing the experience of using anti-dumping policies of the US and EU, it can be seen that these countries / groups of countries use different calculation methods to implement their policy goals . The difference is reflected in the policy implementation policy , while the US is thoroughly protective , the EU takes into account the public interest factor . In addition , in implementation , these countries still separate the agencies or departments investigating dumping and damage to ensure expertise and suitability with the management functions of each country/ group of countries .
2.2 Experience in using anti-dumping policies of some countries
is developing
2.2.1 Experience in using India's anti-dumping policy
2.2.1.1 Viewpoints and objectives of India's anti-dumping policy
India is one of the earliest countries to pay attention to anti-dumping policy. Since the early 1980s, India has shown that the goal of anti-dumping policy is to limit imports and it was first stipulated in law in 1982 when the 1975 Tariff Act was amended. When becoming a member of the WTO (1995), India amended the provisions of the Tariff Act and internalized the basic provisions of the ADA Agreement. However, unlike many countries such as the US and the EU that stipulate in detail most of the contents of anti-dumping, India tends to let the competent authority decide all issues, of course still ensuring the basic principles of the ADA Agreement. Because the determination of factors, application of calculation methods, and decision on anti-dumping measures depend heavily on the competent state management agency, the investigation results are easily subjective.
In practice, the investigating agency has different conclusions in similar cases (in determining similar products) or although the investigating agency concludes that the conditions for applying anti-dumping measures are sufficient, the competent authority still does not apply the measures. Thus, not only the investigation results but also the final decision depends largely on the subjectivity of the competent authority (which are government agencies). However, India is also one of the countries that conducts the most investigations and applies anti-dumping measures, with a flexible anti - dumping policy .
During the period from 1995 to 2011, India became the leading country in using anti-dumping policies on imported goods, surpassing both the US and the EU. During this period, India conducted 647 investigations against more than 50 countries, of which 458 resulted in the application of anti-dumping measures (rate
70%). The countries that India applies anti-dumping measures to are those with large volumes of imports into India, including countries that regularly use anti-dumping measures such as the US, EU, South Korea, etc.
Table 2.6 Exporting countries most investigated by India for anti-dumping
STT
Water | Number of investigations | Number of times CBPG measures are applied | Applicable rate (%) | |
1 | China | 144 | 114 | 79.1 |
2 | Korea | 49 | 35 | 71.4 |
3 | EU | 48 | 31 | 64.5 |
4 | Taiwan | 47 | 35 | 74.4 |
5 | Thailand | 37 | 24 | 64.8 |
6 | America | 33 | 20 | 60.6 |
7 | Japan | 32 | 22 | 68.7 |
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Pre-tax Profit of Bidv Tien Giang in the Period 2011-2015
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zt2a3gsnon-credit services, joint stock commercial bank
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At that time, the Branch had to set aside a provision for credit risks, which reduced the Branch's income.
Chart 2.2. Pre-tax profit of BIDV Tien Giang in the period 2011-2015
Unit: Billion VND
140
120
100
80
60
40
20
0
63.3
80.34
89.29
110.08
131.99
2011 2012 2013 2014 2015
Profit before tax
(Source: Report on the implementation of the annual business plan of the General Planning Department of BIDV Tien Giang [24])
However, through chart 2.2, it can be seen that BIDV Tien Giang's profit is still increasing continuously, and its operating efficiency is currently leaking. This is a contribution of non-credit services, and this service segment will be increasingly focused on growth by BIDV Tien Giang to ensure the highest profit safety because credit activities have many potential risks. At the same time, focusing on developing non-credit services is consistent with one of the contents of restructuring the financial activities of credit institutions in the project "Restructuring the system of credit institutions in the period 2011-2015" approved by the Prime Minister in Decision No. 254/QD-TTg dated March 1, 2012 [14]: "Gradually shifting the business model of commercial banks towards reducing dependence on credit activities and increasing income from non-credit services".
2.2. Current status of non-credit service development at BIDV Tien Giang.
2.2.1. BIDV Tien Giang has deployed the development of non-credit services in recent times.
Along with the development of the Head Office, BIDV Tien Giang's products and services are constantly improved and deployed in a diverse manner to ensure provision for many different customer groups in the area: individual customers, corporate customers, and financial institutions. Typical services are as follows: Payment services, treasury services, guarantee services, card services, trade finance, other services: Western Union, insurance commissions, consulting services, foreign exchange derivatives trading, e-banking services,...
2.2.1.1. Payment services:
In accordance with the Prime Minister's Project to promote non-cash payments in Vietnam [15], banks in Tien Giang province have continuously developed payment services to reduce customers' cash usage habits through card services and electronic banking services such as: salary payment through accounts, focusing on developing card acceptance points, developing multi-purpose cards, paying social insurance by transfer, paying bills through banks, etc.
Chart 2.3. Net income from payment services in the period 2011-2015
Unit: Million VND
6000
5000
4000
3000
2000
1000
0
3922 4065
4720 5084 5324
2011 2012 2013 2014 2015
Net income from payment services
(Source: Report on the implementation of the annual business plan of the General Planning Department of BIDV Tien Giang [24])
Along with the technological development of the entire system, BIDV Tien Giang has a payment system with a fairly stable transaction processing speed, bringing many conveniences to customers. The results of observing chart 2.3 show that the income from payment services that the Branch has achieved has grown over the years but the speed is not high and the products are not outstanding compared to other banks. Domestic payment products such as: Online bill payment, electricity bills, water bills, insurance premiums, cable TV bills, telecommunications fees, airline tickets, etc. bring many conveniences to customers. Regarding international payment, this is an indispensable activity for foreign economic activities, BIDV Tien Giang is providing international payment methods for small enterprises producing agriculture, aquatic food and seafood that have credit relationships with banks in industrial parks in Tien Giang province such as: money transfer, collection, L/C payment.
2.2.1.2. Treasury services:
BIDV Tien Giang always focuses on ensuring treasury safety and currency security, always complies with legal regulations, and minimizes risks in operations such as: counting and collecting money from customers, receiving and delivering internal transactions, collecting from the State Bank (SBV) or other credit institutions, receiving ATM funds, bundling money, etc. BIDV Tien Giang's treasury service management department is always fully equipped with modern machinery and equipment such as: money transport vehicles, fire prevention tools, money counters, money detectors, magnifying glasses, etc. to ensure absolute safety in treasury operations, immediately identifying real and fake money and other risks that may affect people and assets of the bank and customers. In addition, implementing regulation 2480/QC dated October 28, 2008 between the State Bank of Tien Giang province and the Provincial Police on coordination in the fight against counterfeit money, in the 3-year review of implementation, BIDV Tien Giang discovered, seized and submitted to the State Bank of Tien Giang province 475 banknotes of various denominations and was commended by the Provincial Police and the State Bank of Tien Giang province [17].
Chart 2.4. Net income from treasury services in the period 2011-2015
Unit: Million VND
350
300
250
200
150
100
50
0
105 122
309 289 279
2011 2012 2013 2014 2015
Net income from treasury services
(Source: Report on the implementation of the annual business plan of the General Planning Department of BIDV Tien Giang [24])
However, as shown in Figure 2.4, income from treasury operations is not high and fluctuates. Specifically, in the period 2011-2013, net income increased and increased most sharply in 2013, then in the period 2013-2015, there was a downward trend. This fluctuation is due to the fact that fees collected from treasury services are often very low and can even be waived to attract customers to use other services.
2.2.1.3. Guarantee and trade finance services:
BIDV Tien Giang, thanks to the advantages of the province and the favorable location of the Branch, has continuously focused on developing income from guarantee services and trade finance.
Chart 2.5. Net income from guarantee and trade finance services in the period 2011-2015
Unit: Million VND
14000
12000
10000
8000
6000
4000
2000
0
5193 5695
2742 3420
8889
3992
11604 12206
5143 5312
2011 2012 2013 2014 2015
Net income from guarantee services Net income from Trade Finance
(Source: Report on the implementation of the annual business plan of the General Planning Department of BIDV Tien Giang [24])
Through chart 2.5, we can see that BIDV Tien Giang's income from guarantee services and trade finance has grown over the years. The reason is: Among BIDV Tien Giang's corporate customers, the construction industry is the industry with the highest proportion of customers after the trading industry, this is a group of customers with potential to develop guarantee services. The second group of customers is corporate customers in the fields of agricultural production, livestock and seafood processing with high import and export turnover in the area.
are the target of trade finance development. In addition, BIDV Tien Giang also focuses on continuously developing these customer groups to increase revenue for many other products and services in the future.
2.2.1.4. Card and POS services:
As a service that BIDV Tien Giang has recently developed strongly, it can be said that this is a very potential market and has the ability to develop even more strongly in the future. Card services with outstanding advantages such as fast payment time, wide payment range, quite safe, effective and suitable for the integration trend and the Project to promote non-cash payments in Vietnam. Cards have become a modern and popular payment tool. BIDV Tien Giang early identified that developing card services is to expand the market to people in society, create capital mobilized from card-opened accounts, contribute to diversifying banking activities, enhance the image of the bank, bring the BIDV Tien Giang brand to people as quickly and easily as possible. BIDV Tien Giang is currently providing card types such as: credit cards (BIDV MasterCard Platinum, BIDV Visa Gold Precious, BIDV Visa Manchester United, BIDV Visa Classic), international debit cards (BIDV Ready Card, BIDV Manu Debit Card), domestic debit cards (BIDV Harmony Card, BIDV eTrans Card, BIDV Moving Card, BIDV-Lingo Co-branded Card, BIDV-Co.opmart Co-branded Card). These cards can be paid via POS/EDC or on the ATM system. In addition, with debit cards, customers can not only withdraw money via ATMs but also perform utilities such as mobile top-up, online payment, money transfer,... through electronic banking services.
In order to attract customers with card services, BIDV Tien Giang has continuously increased the installation of ATMs. As of December 31, 2015, BIDV Tien Giang has 23 ATMs combined with 7 ATMs in the same system of BIDV My Tho, so the number of ATMs is quite large, especially in the center of My Tho City, but is not yet fully present in the districts. Basic services on ATMs such as withdrawing money, checking balances, printing short statements,... BIDV ATMs accept cards from banks in the system.
Banknetvn and Smartlink, cards branded by international card organizations Union Pay (CUP), VISA, MasterCard and cards of banks in the Asian Payment Network. From here, cardholders can make bill payments for themselves or others at ATMs, by simply entering the subscriber number or customer code, booking code that service providers notify and make bill payments.
Chart 2.6. Net income from card services in the period 2011-2015
Unit: Million VND
3500
3000
2500
2000
1500
1000
500
0
687
1023
1547
2267
3104
2011 2012 2013 2014 2015
Net income from card services
(Source: Report on the implementation of the annual business plan of the General Planning Department of BIDV Tien Giang [24])
Through chart 2.6, it can be seen that BIDV Tien Giang's card service income is constantly growing because the Branch focuses on developing businesses operating in industrial parks, which are the source of customers for salary payment products, ATMs, BSMS. Specifically, there are companies such as Freeview, Quang Viet, Dai Thanh, which are businesses with a large number of card openings at the Branch, contributing to the increase in card service fees [25].
Table 2.6. Number of ATMs and POS machines in 2015 of some banks in Tien Giang area.
Unit: Machine
STT
Bank name
Number of ATMs
Cumulative number of ATM cards
POS machine
1
BIDV Tien Giang
23
97,095
22
2
BIDV My Tho
7
21,325
0
3
Agribank Tien Giang
29
115,743
77
4
Vietinbank Tien Giang
16
100,052
54
5
Dong A Tien Giang
26
97,536
11
6
Sacombank Tien Giang
24
88,513
27
7
Vietcombank Tien Giang
15
61,607
96
8
Vietinbank - Tay Tien Giang Branch
6
46,042
38
(Source: 2015 Banking Activity Data Report of the General and Internal Control Department of the Provincial State Bank [21])
Through table 2.6, the author finds that the number of ATMs of BIDV Tien Giang is not much, ranking fourth after Agribank Tien Giang, Dong A Tien Giang, Sacombank Tien Giang. The number of POS machines of BIDV Tien Giang is very small, only higher than Dong A Tien Giang and BIDV My Tho in the initial stages of merging the BIDV system. Besides, BIDV Tien Giang has a high number of cards increasing over the years (table 2.7) but the cumulative number of cards issued up to December 31, 2015 is still relatively low compared to Agribank, Vietcombank, Dong A (table 2.6).
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Effectiveness and Limitations of Anti-Piracy Activities

Source: WTO Secretariat Thus, despite the specific provisions, India appears to be a
Although India has used flexible anti-dumping policies, actual data also shows that it is a country that actively uses anti-dumping to protect domestic production. Although it does not radically increase the dumping margin and still requires investigation of the margin of damage and determination of the impact
Despite the public interest, India still achieved a higher rate of application of measures to total investigations than the world average of 64.8%43.
2.2.1.2 India's anti-dumping legal system and enforcement agencies
The anti-dumping provisions are specified in the document entitled “The Code of Customs Rules for Determining, Assessing and Applying Anti-Dumping Duties or Other Duties on Dumped Goods and Determining Injuries” (hereinafter referred to as “Code”).
43 See Chapter 1.




![Pre-tax Profit of Bidv Tien Giang in the Period 2011-2015
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At that time, the Branch had to set aside a provision for credit risks, which reduced the Branchs income.
Chart 2.2. Pre-tax profit of BIDV Tien Giang in the period 2011-2015
Unit: Billion VND
140
120
100
80
60
40
20
0
63.3
80.34
89.29
110.08
131.99
2011 2012 2013 2014 2015
Profit before tax
(Source: Report on the implementation of the annual business plan of the General Planning Department of BIDV Tien Giang [24])
However, through chart 2.2, it can be seen that BIDV Tien Giangs profit is still increasing continuously, and its operating efficiency is currently leaking. This is a contribution of non-credit services, and this service segment will be increasingly focused on growth by BIDV Tien Giang to ensure the highest profit safety because credit activities have many potential risks. At the same time, focusing on developing non-credit services is consistent with one of the contents of restructuring the financial activities of credit institutions in the project Restructuring the system of credit institutions in the period 2011-2015 approved by the Prime Minister in Decision No. 254/QD-TTg dated March 1, 2012 [14]: Gradually shifting the business model of commercial banks towards reducing dependence on credit activities and increasing income from non-credit services.
2.2. Current status of non-credit service development at BIDV Tien Giang.
2.2.1. BIDV Tien Giang has deployed the development of non-credit services in recent times.
Along with the development of the Head Office, BIDV Tien Giangs products and services are constantly improved and deployed in a diverse manner to ensure provision for many different customer groups in the area: individual customers, corporate customers, and financial institutions. Typical services are as follows: Payment services, treasury services, guarantee services, card services, trade finance, other services: Western Union, insurance commissions, consulting services, foreign exchange derivatives trading, e-banking services,...
2.2.1.1. Payment services:
In accordance with the Prime Ministers Project to promote non-cash payments in Vietnam [15], banks in Tien Giang province have continuously developed payment services to reduce customers cash usage habits through card services and electronic banking services such as: salary payment through accounts, focusing on developing card acceptance points, developing multi-purpose cards, paying social insurance by transfer, paying bills through banks, etc.
Chart 2.3. Net income from payment services in the period 2011-2015
Unit: Million VND
6000
5000
4000
3000
2000
1000
0
3922 4065
4720 5084 5324
2011 2012 2013 2014 2015
Net income from payment services
(Source: Report on the implementation of the annual business plan of the General Planning Department of BIDV Tien Giang [24])
Along with the technological development of the entire system, BIDV Tien Giang has a payment system with a fairly stable transaction processing speed, bringing many conveniences to customers. The results of observing chart 2.3 show that the income from payment services that the Branch has achieved has grown over the years but the speed is not high and the products are not outstanding compared to other banks. Domestic payment products such as: Online bill payment, electricity bills, water bills, insurance premiums, cable TV bills, telecommunications fees, airline tickets, etc. bring many conveniences to customers. Regarding international payment, this is an indispensable activity for foreign economic activities, BIDV Tien Giang is providing international payment methods for small enterprises producing agriculture, aquatic food and seafood that have credit relationships with banks in industrial parks in Tien Giang province such as: money transfer, collection, L/C payment.
2.2.1.2. Treasury services:
BIDV Tien Giang always focuses on ensuring treasury safety and currency security, always complies with legal regulations, and minimizes risks in operations such as: counting and collecting money from customers, receiving and delivering internal transactions, collecting from the State Bank (SBV) or other credit institutions, receiving ATM funds, bundling money, etc. BIDV Tien Giangs treasury service management department is always fully equipped with modern machinery and equipment such as: money transport vehicles, fire prevention tools, money counters, money detectors, magnifying glasses, etc. to ensure absolute safety in treasury operations, immediately identifying real and fake money and other risks that may affect people and assets of the bank and customers. In addition, implementing regulation 2480/QC dated October 28, 2008 between the State Bank of Tien Giang province and the Provincial Police on coordination in the fight against counterfeit money, in the 3-year review of implementation, BIDV Tien Giang discovered, seized and submitted to the State Bank of Tien Giang province 475 banknotes of various denominations and was commended by the Provincial Police and the State Bank of Tien Giang province [17].
Chart 2.4. Net income from treasury services in the period 2011-2015
Unit: Million VND
350
300
250
200
150
100
50
0
105 122
309 289 279
2011 2012 2013 2014 2015
Net income from treasury services
(Source: Report on the implementation of the annual business plan of the General Planning Department of BIDV Tien Giang [24])
However, as shown in Figure 2.4, income from treasury operations is not high and fluctuates. Specifically, in the period 2011-2013, net income increased and increased most sharply in 2013, then in the period 2013-2015, there was a downward trend. This fluctuation is due to the fact that fees collected from treasury services are often very low and can even be waived to attract customers to use other services.
2.2.1.3. Guarantee and trade finance services:
BIDV Tien Giang, thanks to the advantages of the province and the favorable location of the Branch, has continuously focused on developing income from guarantee services and trade finance.
Chart 2.5. Net income from guarantee and trade finance services in the period 2011-2015
Unit: Million VND
14000
12000
10000
8000
6000
4000
2000
0
5193 5695
2742 3420
8889
3992
11604 12206
5143 5312
2011 2012 2013 2014 2015
Net income from guarantee services Net income from Trade Finance
(Source: Report on the implementation of the annual business plan of the General Planning Department of BIDV Tien Giang [24])
Through chart 2.5, we can see that BIDV Tien Giangs income from guarantee services and trade finance has grown over the years. The reason is: Among BIDV Tien Giangs corporate customers, the construction industry is the industry with the highest proportion of customers after the trading industry, this is a group of customers with potential to develop guarantee services. The second group of customers is corporate customers in the fields of agricultural production, livestock and seafood processing with high import and export turnover in the area.
are the target of trade finance development. In addition, BIDV Tien Giang also focuses on continuously developing these customer groups to increase revenue for many other products and services in the future.
2.2.1.4. Card and POS services:
As a service that BIDV Tien Giang has recently developed strongly, it can be said that this is a very potential market and has the ability to develop even more strongly in the future. Card services with outstanding advantages such as fast payment time, wide payment range, quite safe, effective and suitable for the integration trend and the Project to promote non-cash payments in Vietnam. Cards have become a modern and popular payment tool. BIDV Tien Giang early identified that developing card services is to expand the market to people in society, create capital mobilized from card-opened accounts, contribute to diversifying banking activities, enhance the image of the bank, bring the BIDV Tien Giang brand to people as quickly and easily as possible. BIDV Tien Giang is currently providing card types such as: credit cards (BIDV MasterCard Platinum, BIDV Visa Gold Precious, BIDV Visa Manchester United, BIDV Visa Classic), international debit cards (BIDV Ready Card, BIDV Manu Debit Card), domestic debit cards (BIDV Harmony Card, BIDV eTrans Card, BIDV Moving Card, BIDV-Lingo Co-branded Card, BIDV-Co.opmart Co-branded Card). These cards can be paid via POS/EDC or on the ATM system. In addition, with debit cards, customers can not only withdraw money via ATMs but also perform utilities such as mobile top-up, online payment, money transfer,... through electronic banking services.
In order to attract customers with card services, BIDV Tien Giang has continuously increased the installation of ATMs. As of December 31, 2015, BIDV Tien Giang has 23 ATMs combined with 7 ATMs in the same system of BIDV My Tho, so the number of ATMs is quite large, especially in the center of My Tho City, but is not yet fully present in the districts. Basic services on ATMs such as withdrawing money, checking balances, printing short statements,... BIDV ATMs accept cards from banks in the system.
Banknetvn and Smartlink, cards branded by international card organizations Union Pay (CUP), VISA, MasterCard and cards of banks in the Asian Payment Network. From here, cardholders can make bill payments for themselves or others at ATMs, by simply entering the subscriber number or customer code, booking code that service providers notify and make bill payments.
Chart 2.6. Net income from card services in the period 2011-2015
Unit: Million VND
3500
3000
2500
2000
1500
1000
500
0
687
1023
1547
2267
3104
2011 2012 2013 2014 2015
Net income from card services
(Source: Report on the implementation of the annual business plan of the General Planning Department of BIDV Tien Giang [24])
Through chart 2.6, it can be seen that BIDV Tien Giangs card service income is constantly growing because the Branch focuses on developing businesses operating in industrial parks, which are the source of customers for salary payment products, ATMs, BSMS. Specifically, there are companies such as Freeview, Quang Viet, Dai Thanh, which are businesses with a large number of card openings at the Branch, contributing to the increase in card service fees [25].
Table 2.6. Number of ATMs and POS machines in 2015 of some banks in Tien Giang area.
Unit: Machine
STT
Bank name
Number of ATMs
Cumulative number of ATM cards
POS machine
1
BIDV Tien Giang
23
97,095
22
2
BIDV My Tho
7
21,325
0
3
Agribank Tien Giang
29
115,743
77
4
Vietinbank Tien Giang
16
100,052
54
5
Dong A Tien Giang
26
97,536
11
6
Sacombank Tien Giang
24
88,513
27
7
Vietcombank Tien Giang
15
61,607
96
8
Vietinbank - Tay Tien Giang Branch
6
46,042
38
(Source: 2015 Banking Activity Data Report of the General and Internal Control Department of the Provincial State Bank [21])
Through table 2.6, the author finds that the number of ATMs of BIDV Tien Giang is not much, ranking fourth after Agribank Tien Giang, Dong A Tien Giang, Sacombank Tien Giang. The number of POS machines of BIDV Tien Giang is very small, only higher than Dong A Tien Giang and BIDV My Tho in the initial stages of merging the BIDV system. Besides, BIDV Tien Giang has a high number of cards increasing over the years (table 2.7) but the cumulative number of cards issued up to December 31, 2015 is still relatively low compared to Agribank, Vietcombank, Dong A (table 2.6).
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