... IDR for Vietnam Joint Stock Commercial Bank for Industry and Trade (Vietinbank) was upgraded to ,,B+ on 5 November 2014, following the sovereign upgrade to ,,BB¡. The ratings reflect Fitch Ratings expectation of extraordinary state support, if needed, considering its systemic importance and state ownership. However, the timeliness of support may be limited due to the states moderate resources, resulting in the banks ratings at ,,B+ being one notch lower than the sovereign rating. Asset-Quality Risk Remains: Asset-quality risks remain high, arising from excessive growth in the past and significant exposure to SOEs (34% of the total loan book at end-2013). Vietinbanks concentration risk is more pronounced than its peers, due to the banks legacy policy functions. This risk is unlikely to decline in the short to medium term ¡ due to the poor financial shape of some SOEs, and modest loan demand from the private sector. Fitchs view on Vietinbanks...
