Vietnamese Banks Adjust Branch Networks as Digital Transactions Grow
In the first nine months of 2026, six Vietnamese banks closed a total of 105 branches and transaction offices, while six others opened 95. The reasons vary by bank: wider use of digital services is changing service models, while Saigon Commercial Bank’s network contraction is tied to its restructuring.
In the first nine months of 2026, six banks in Vietnam reported closing a total of 105 branches and transaction offices, while six others opened 95. Because their networks changed in different directions, the reasons should be assessed in light of each bank’s operations and service model.
Illustrative image of the banking sector.（VietVance）
Saigon Commercial Bank (SCB) recorded the largest reduction in branches and transaction offices over the same period, with 42 fewer than at the end of 2025. As of November 15, 2026, its website listed just eight locations, spread across Ho Chi Minh City, Hanoi, Gia Lai, Lam Dong, Vinh Long and Da Nang. Before it was placed under special supervision in October 2022, the bank had nearly 240 locations in 28 provinces and cities. Its contraction is linked to its own operations and restructuring.
Digital channels are changing banks’ need for physical locations. Hoàng Minh Tiến, deputy director of the State Bank of Vietnam’s Information Technology Department, said digital channels account for more than 95% of transactions at many banks. State Bank of Vietnam data show that cashless payments reached 24.03 billion transactions in the first nine months of 2026, up 34.56% year on year.
VietinBank’s 2025 sustainability report shows that it closed 108 transaction offices that year. Over the same period, digital channels accounted for 99% of its payment transactions, labor productivity rose 35%, and its cost-to-income ratio stood at 30.4%. The bank said digital transactions helped reduce costs associated with counters, paperwork and administration.
A compilation of financial reports from 28 banks shows that their combined operating expenses reached VND 188.386 trillion in the first nine months of 2026, up 11.5% year on year. Operating income rose 18.3%, and the average cost-to-income ratio fell from 31.47% to 29.66%. The improvement cannot be attributed entirely to branch closures. When adjusting their networks, banks must also consider access to services for people in remote areas and older customers, as well as information security and customer support.
Source: VietVance
