CIMB Bank Vietnam and F88 Form Partnership to Boost Financial Inclusionby Fintech News Vietnam December 16, 2021
Lending platform F88 Business has entered into a new strategic partnership with CIMB Bank Vietnam to promote financial inclusion to the unserved and underserved sector of the economy.
According to the latest figures from the General Statistics Office (GSO), Vietnam had more than 28.2 million people who were unemployed, or experienced income reductions because of COVID-19 in the third quarter of the year.
The situation makes it harder for workers to get access to bank loans as they are unable to prove their credit worthiness.
Understanding the difficulties that Vietnamese workers face, the strategic alliance could lead to productive institutional collaborations in financial markets, thereby expanding the array of financial products, and scaling up access of rural households and micro-businesses to financial services.
The companies have a shared commitment to boost the lending services in the country.
Phung Anh Tuan, CEO of F88, said both the entities have the same objective which is to provide highly competitive professional financial solutions that are easy to access for vulnerable groups in society.
“We are delighted to welcome CIMB Vietnam as our strategic partner. CIMB Bank is regionally renowned for its strong industry experience and innovative financial services.
Through this partnership with CIMB Vietnam, we are looking to take another step forward in promoting greater financial inclusion across Việt Nam, to digitise financial services and improve the lives of the consumers and businesses they touch.”
Sharing the purpose of this strategic alliance, Thomson Fam Siew Kat, CEO of CIMB Vietnam, said F88 has developed a strong physical network with 500 branches to serve customers nationwide and has achieved significant business growth and financial success since the launch.
“The primary aim of this strategic alliance is to improve the flow of credit to the unserved and underserved segment of the economy at an affordable cost. This happens as banks have lower cost of funds and F88 has greater reach beyond tier-2 centers.
We have employed strategic alliances with many firms to effectively manage costs, overcome resource and technology constraints, and enhance our competitive position. With F88, we are looking to tap new segments, manage costs, access both parties’ technology and infrastructure, and acquire new skills to provide an expanding array of financial services to wider markets while the global economy is recovering from the pandemic.”