Fitch affirms Vietnam's Nam A Bank at B+; outlook stable

Fitch affirms Vietnam's Nam A Bank at B+; outlook stable

Fitch Assigns Vietnam’s Nam A Bank First-Time ‘B+’ Long-Term IDR; Outlook Stable

Fitch Ratings has assigned Vietnam’s Nam A Commercial Joint Stock Bank its first long-term foreign currency issuer default rating (IDR) of ‘B+’, with a stable outlookaccording to Fitch Ratings. This marks the first time the bank has received a credit rating from a major international agency, reflecting Fitch's assessment of its creditworthiness amid Vietnam's evolving financial landscape.

The 'B+' rating indicates that Nam A Bank faces moderate credit risk, with Fitch citing factors such as the bank's operational resilience, regulatory environment, and alignment with Vietnam's broader economic framework. While specific details on the bank's financial metrics were not disclosed in the public-facing research summary, the rating action underscores Fitch's confidence in the institution's capacity to manage risks and maintain stability.

This development follows Fitch's recent affirmation of Vietnam's sovereign credit rating at ‘BB+’ with a stable outlook, as announced on 20 June 2025. Separately, on 12 March 1998, Vietnam's long-term senior secured debt instruments were upgraded to ‘BBB-’ from 'BB+' under revised Fitch criteria, reflecting improved recovery assumptions for sovereign debt. However, the sovereign IDR remains distinct from Nam A Bank's standalone rating.

The Vietnamese Ministry of Finance has emphasized ongoing collaboration with international rating agencies, including Fitch, to enhance transparency and provide updated data on macroeconomic performance and public finances. Such efforts aim to support Vietnam's broader credit profile and align with global rating standards.

For Nam A Bank, the 'B+' rating may bolster investor confidence and facilitate access to international capital markets. However, Fitch noted that future rating actions will depend on the bank's ability to sustain operational stability, manage leverage, and adapt to regulatory and macroeconomic shifts.

As Vietnam continues to strengthen its financial sector governance, the rating highlights Nam A Bank's role in the country's credit ecosystem while underscoring the importance of sustained fiscal discipline and economic resilience.

According to Fitch Ratings: Fitch Ratings, 03 June 2025
According to Fitch Ratings: Fitch Ratings, 20 June 2025
According to Vietnam News: Vietnam News, 12 March 1998 (as cited by Fitch)