This job is not too hard but it can earn money to increase income. When there are goods, the Chinese owner will ask me to transport the goods, then sell and look after the goods. The Chinese owners do not need to do anything, they gather about 4 people to play mahjong together - a traditional Chinese card game. Ms. Hoang Thi Muoi, Ban Thau village said, " The reason is because the Chinese mentality is that they like to be the boss, moreover, hiring our people is cheaper and our demand for work is also high . The average sales fee of everyone is about 2 million VND/month. But because I know Chinese, I don't have to pay for translation, so each month I get more than everyone else, about 3.5 million/month. I know Chinese but I just learned it by stealth, without going to any school."
Thus, currently, knowing Chinese is also an advantage for the Tay people in Ban Thau village when looking for jobs in the Tan Thanh border gate area.
3.2.2. Trade and services
Ban Thau is one of two villages in Tan Thanh commune whose land was reclaimed by the State to build a border gate economic zone. After losing their agricultural land, the Tan Thanh Trade Management Board allocated each household in the village a plot to make a kiosk for selling goods right near the border gate, and each year they have to pay nearly 4 million VND in seat tax. Therefore, currently, in addition to farming and working as hired laborers/coolies, the Tay people in Ban Thau village also sell goods at the border gate market. The main items are still clothes, shoes, electronics... However, many households in the village are not familiar with the market, so they do not sell goods directly but rent out kiosks to earn money. In 2010, Ban Thau village had 60 households with kiosks for rent at the border gate market. The rental price of the kiosk at that time was 40 - 50 million VND/year depending on the lot on the street or inside. In addition to having kiosks for rent, according to my survey, the Tay people in Ban Thau village also have another type of service, which is renting out boarding houses. This is also a rather special type of livelihood .
located in the Tan Thanh border gate area. Taking advantage of the geographical location near the border gate - a place that attracts many residents from the province as well as other provinces to come and do business, households with a lot of land in the village have built rows of boarding houses for people from the lowlands to rent. Mr. Hoang Van Hoan said, " In 2011 , there were about 30 Tay households renting out boarding houses. Even my own family has a boarding house for rent." The main tenants are people from the lowlands who come to do business, the most populous are the provinces of Bac Giang, ...
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Livelihood changes of Tay people in Lang Son province border from 1986 renovation to present: case study of Ban Thau village, Tan Thanh commune, Van Lang district, Lang Son province - 2 -
Livelihood changes of Tay people in Lang Son province border from 1986 renovation to present: case study of Ban Thau village, Tan Thanh commune, Van Lang district, Lang Son province - 10 -
Pre-tax Profit of Bidv Tien Giang in the Period 2011-2015
zt2i3t4l5ee
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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Political culture of political cadres at the platoon level of the Vietnam People's Army today - 5 -
The Chinese and Ngai ethnic groups in Vietnam and the Han ethnic group in China
Ninh, Thai Binh, Hung Yen, Thai Nguyen... The boarding houses are built in rows, each room is about 20 square meters with an average price of 300 - 500 thousand VND/month. Mr. Hoan also added that there are many boarding houses in the village that are built very large, with many floors, depending on the characteristics of being close to the road or in the alley, the area is large or small, there are also different prices. The spacious houses have prices
from 800 thousand to 1 million/month. Some people also rent a second floor apartment for 50 million/year. Some people, because they intend to do business here long term, can also buy a house in the village.

In Ban Thau village, there are also some other services of the ethnic people such as opening pho restaurants, refreshment shops, cameras, photocopy shops, car rental services, and some small companies have been established. However, these services are still very few, limited, scattered in a few shops and mainly belong to the majority of households with large capital and experience in business. Unlike the Tay households who mainly live on agriculture and work for hire, participating in these new service activities has contributed to bringing a significant source of income to the Tay households here.
Chapter 3 Summary
The livelihood activities of the Tay people in Ban Thau village, Tan Thanh commune since Doi Moi (1986) have been very diverse and rich. In particular, there has been both innovation in traditional livelihoods and knowing how to take advantage of the border area, so the Tay people here have boldly approached new sources of livelihood to increase their income.
The most noticeable innovations in traditional livelihoods are changes in crop and livestock structure, the application of scientific and technological advances in agricultural production, and forest exploitation associated with afforestation. Thanks to that, crop area and productivity have increased, and food security has been ensured.
Since the opening of the Vietnam-China border, especially when the Tan Thanh Border Gate Economic Zone was established in the early 90s, a number of new ways of making a living have appeared in Ban Thau village. These are hired labor in the form of working in inland areas of China; porters, loading and unloading goods at the border gate; selling goods for Chinese and Vietnamese owners. Although dangerous and hard, the number of hired laborers in the village is increasing day by day because it is the fastest way of making a living that people here can do and must face in exchange for their lives until they find a new direction for their lives.
In addition, some trading and service activities have also appeared in the village such as renting kiosks; renting out boarding houses; opening restaurants... Income from these activities has made significant contributions to the household economy, helping to solve part of the spending needs in the current period of high market prices.
Chapter 4
FACTORS AFFECTING LIVELIHOOD CHANGES OF TAY PEOPLE IN TAN THANH COMMUNE
4.1.Influencing factors
4.1.1. Impact of Policy factors
With the practical impact of policies and support from the State, the livelihood of the Tay people in Ban Thau village, Tan Thanh commune has changed in a positive direction, helping to eliminate hunger and reduce poverty for the people. Based on research on potentials and available conditions, the People's Committee of Van Lang district has supported crop and livestock varieties for poor households in the village, subsidized prices and fees for the villagers. At the same time, it has directed the grassroots to promote the transformation of crop, season and livestock structures, and the application of scientific and technical advances. Irrigation works such as lakes, dams, water pumping stations, and canal consolidation have been funded and cemented by the State to build and upgrade, creating a fairly complete irrigation system. Agricultural extension, forestry extension, veterinary, and plant protection work has been carefully prepared by the commune, promptly supplying new varieties, fertilizers, and pesticides for production. With active measures, in recent years, agricultural and forestry production in Ban Thau village, Tan Thanh commune has had positive growth (1 sao of rice yields more than 200 kg).
In recent years, the socio-economic situation in Ban Thau village, Tan Thanh commune has improved a lot. This result has an important contribution from the implementation of preferential credit programs of the Government in the area. There are 4 organizations in Tan Thanh commune that guarantee credit for members to borrow capital and guide procedures with the Social Policy Bank, namely the Women's Union, the Farmers' Association, the Veterans' Association and the Youth Union.
Implementing credit programs, preferential loans with low interest rates, in recent years, the Transaction Office of the Bank for Social Policies
Van Lang district has continuously paid attention to improving the quality of lending programs for many different subjects such as lending to farmers for production and business; lending to students in difficult circumstances; supporting poor households to build houses. In Ban Thau village, in 2010, 14 households were supported with long-term loans for building houses for 5 years. Along with the attention and encouragement, encouraging borrowing capital for economic development, many households have borrowed capital of tens of millions of VND, boldly investing and expanding production scale. On the 22nd of each month, the Social Policy Bank of Van Lang district comes to the commune to transact and collect interest. If there is a source of disbursed capital, it will also lend to people and do not have to mortgage assets. Billions of VND of capital from the Policy Bank have been used by people to purchase machinery for production such as hand plows, water pumps, buy seeds of plants and animals... helping to solve difficulties in labor production, increase productivity and output. Thereby increasing income, improving and enhancing the lives of villagers.
Every year, Tan Thanh Border Guard Station and the Fatherland Front of Lang Son province also have many support programs for the disadvantaged people in Ban Thau village in many forms such as cash support, working days, house demolition...
In addition, Van Lang district has also paid attention to exploiting and promoting its potential for trade and service activities. In recent years, with many sources of direct investment capital from the central and local budgets, mobilizing capital from the people, in Ban Thau village, Tan Thanh commune, many infrastructure works on electricity, roads, schools, stations have been built, contributing to changing the structure of agricultural and rural infrastructure. In particular, Tan Thanh Border Gate Economic Zone has been invested by the Party and the State to build into a bustling open economic zone, contributing to increasing budget revenue, solving jobs, improving and raising the living standards of local people.
Implementing Decision 120/2003 of the Prime Minister on supporting border communes and Decision No. 34/QD-UB dated June 8, 2004 of the Provincial People's Committee
Lang Son issued regulations guiding the implementation of Decision 120/2003 in the province. The People's Committee of Van Lang district established a Steering Committee and organized, developed plans, operating mechanisms, and guided border communes to implement the 120 program according to decentralized management. By 2010, the total investment capital for developing socio-economic infrastructure, supporting the protection of border markers and border security was nearly 20 billion VND. Thereby, 8 new traffic projects with a total length of nearly 13km, 4 road upgrading projects and 6 bridge and culvert projects, and spillways with a total investment capital of 10.38 billion VND; invested in 3 projects to bring national grid electricity to 100% of villages in border communes with the rate of households using electricity reaching about 96%. In addition, also from the capital of the 120 program, Van Lang district has invested in building a pumping station for irrigation, repairing a medical station, and 2 sub-school classrooms in Tan Thanh commune with a total investment of over 473 million VND. In addition, the work of supporting the protection of border markers has also been focused on, with the total cost of implementation in 7 years (2003 - 2010) reaching nearly 2.5 billion VND. Tan Thanh is one of the 5 border communes of Van Lang district that benefit from the above programs (along with Thanh Long, Thuy Hung, Tan My, and Trung Khanh communes). Each year, the commune is supported with 400 million VND to build infrastructure and 100 million VND to build border markers.
The effective implementation of the capital of the 120 program in Tan Thanh commune has brought practical benefits to the people here, making the livelihood of the Tay people in Ban Thau village have many positive changes, creating trust and consensus of the people in the village in the correct guidelines and policies of the Party and State.
4.1.2.Opening the border and normalizing Vietnam - China relations
Economic exchanges across the Vietnam-China border have a long tradition. According to political fluctuations, economic relations are also affected and change from period to period. It depends on two main factors: the emergence
life, level of development of commodity production and development path of two countries sharing a border.
After World War II, on September 2, 1945, the Democratic Republic of Vietnam was born. On October 1, 1949, the People's Republic of China was also established and on January 17, 1950, Vietnam and China established diplomatic relations. Since 1951, the two countries began trade relations with each other and this relationship was formalized in 1952 when the Trade Agreement was signed between the two governments. Next, in 1954, the two governments signed the " Protocol on opening small-scale trade at the border of the two countries ". On November 4, 1958, the Prime Minister signed Decree 486/TTg promulgating the " Regulations on the management of small-scale trade of people in the Vietnam-China border area ". On December 5, 1962, the two governments signed the " Trade and Maritime Treaty "...
The above documents opened up trade relations between the two countries in two forms: informal border trade and official import-export trade.
During the resistance war against America to save the country, Vietnam's economic relations
- China developed normally. In addition to simple trade in goods, during this time China also provided Vietnam with some supplies, goods and military aid.
It can be said that before 1979, economic exchanges were mainly conducted on a large scale between the two States. The exchange of commercial goods across the border at this time was only a preliminary relationship. Chinese goods exported to Vietnam had a strong appearance and content of government aid because they were poured according to plans, were cheap and were not fully accounted for [9, p.26]. The exchange of goods across the border at this time was still influenced by the centralized planning model or, in other words, dependent on the mechanisms and policies of the two Parties and the two States. The characteristics of the mechanism were the cause of hindering the development of production, making circulation constrained and due to the government.
The policy of “blocking rivers and banning markets” and not opening up. Apart from state-owned commercial units, private trading during this period was considered evil and not true to the nature of socialism. Therefore, economic sectors were not allowed to participate in import and export, even in the form of small-scale trade. People in border communes could only “ sell secretly what they had, and could not buy enough of what they needed ”. The closed economic structure, self-balancing food and consumer goods in the style of “ each locality is a fortress ” was clearly unsuitable for border provinces, including Lang Son province, because it did not contain the development factors to move steadily on the path of self-balancing budget revenue and expenditure, building a prosperous border region.
In 1979, the border war broke out, causing all previously undeveloped economic relations between the two countries to come to a standstill. In the spirit of fundamental and long-term interests, Vietnam showed its goodwill, starting with the open border policy of our Party and State.
The open-border policy is not outside the system of Renovation and Open-door policies in general and the foreign economic development policy in particular of our Party and State. It is the policy of building a socialist-oriented market economy for the goal of a rich people, a strong country, a fair, democratic and civilized society, the policy of industrialization and modernization of the country, the motto that Vietnam wants to be friends with all countries that our Party has worked hard to research and experiment.
The first step in the field of Foreign Trade was Decree 40-CP dated February 7, 1980 of the Government on Policies and measures to develop export production. The change lies in the new principle of “The State monopolizes foreign trade, while promoting the initiative and creativity of sectors, localities, and grassroots units...”
The 5th Party Congress (1982) further affirmed that "Rapidly increasing exports and expanding services to earn foreign currency is a matter of strategic significance, an important step contributing to ensuring the balance of the plan.



![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 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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