Journal of Security and Sustainability Issues

This paper examines the impact of ownership strategy on bank performance in Vietnam from 2000 to 2017. The results show that the ownership structure has a significant impact on bank performance, namely that state-owned banks are more efficient than private ones in terms of technical efficiency, but not in terms of scale efficiency. Furthermore, state-owned banks do not appear to be excellent at investment activities while provisions for credit losses are substantially high, which can negatively affect their performance. Listed banks may be more encouraged to implement activities which can increase bank performance, to make present stakeholders satisfied as well as to attract new ones. The larger the scale, the more efficient the listed banks will be. However, they will not achieve good results in terms of technical efficiency.