VNPost gets nod to make capital contribution in LienVietBank

Prime Minister Nguyen Tan Dung approved Vietnam Post's capital contribution in LienVietBank by merging its member company of Vietnam Postal Savings Service Co into the bank.

After finishing the capital contribution, the bank will change name into Lien Viet Post Commercial Joint Stock Bank, according to a report by the VietFinanceNews.

The prime minister required VNPost to open all the branches of Vietnam Postal Savings Service for LienVietBank to receive the contributed capital in order to protect the benefits for the depositors.

Ministry of finance will make guidance about calculating VPSC's value and other financial issues relating to making capital contribution, contribution ratio. The State Bank of Vietnam will support the bank in raising its chartered capital, establishing the postal savings branches, purchasing deposit insurance and working out the regulations about the applied ratio of using the short-term capital for medium-term loans for VPSC's deposits in Vietnam Development Bank.