- We estimate the parent bank’s Q1 2023 credit growth (including customer loans and corporate bonds) was 7.3% QoQ. As of Q1 2023, the corporate bond balance at the parent bank decreased 14.3% vs 2022 to VND28.2tn (USD1.2bn). 

- Q1 2023 consolidated deposit growth was 9.2% QoQ. In addition, VPB’s Q1 2023 CASA ratio decreased 7.3 ppts YoY to 14.2%, which was partly due to a 12.5% QoQ decrease in CASA volume.

- The NPL ratio and Group 2 loans to gross loans in Q1 2023 surged on a yearly basis. In addition, Q1 2023 consolidated write-offs to gross loans increased 3.1 ppts YoY to 5.8%. Q1 2023 consolidated recovery income from written-off bad debts decreased 22% YoY, which came from YoY decreases at both the parent bank and FEC. We believe the unfavorable economic backdrop had a negative impact on bad-debt collection activities.  

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