Wastefulness remains popular, causing serious consequences: PM

Prime Minister Pham Minh Chinh has urged the banking sector to make an important contribution to maintaining macroeconomic stability, promoting growth, ensuring major balances; reducing costs to reduce lending rates; and providing credit to prioritised industries and programmes.

Total outstanding loans of credit institutions in Ho Chi Minh City as of the end of last year were worth over 3.9 quadrillion VND (153.3 billion USD), a 11.3% increase for the year, according to the central bank.

Bank representatives said they plan to increase market share and shift retail, with a focus on sustainable development to boost profits higher than last year.

The Governor of State Bank of Vietnam (SBV) on September 26 issued Directive No.04/CT-NHNN requesting its credit institutions, foreign bank branches, and banking associations to promptly implement solutions to support people and businesses affected by Typhoon Yagi.

Bad debts in the banking system in the first five months of 2024 continued to increase by some 75.9 trillion VND (3 billion USD) against the end of 2023.

As of June 30, credit expanded 6% compared to the end of 2023 while total outstanding loans approximated 14.4 quadrillion VND (563.3 billion USD), a positive signal showing this year's credit growth target of 14 - 15% is within reach, experts said. ​

The banking industry is taking solutions to promote credit growth, increase access of people and businesses to credit, and promptly meet the capital demand of the economy, said Governor of the State Bank of Vietnam (SBV) Nguyen Thi Hong.

Prime Minister Pham Minh Chinh attended the signing ceremony of a credit contract worth 1.8 billion USD for the component project 3 of the Long Thanh international airport investment and construction project's Phase I invested by the Airports Corporation of Vietnam (ACV) in Hanoi on June 1.

Roadblocks related to credit accessibility, legal procedures, and demand-supply factor must be removed to bolster the recovery of the real estate market, experts said at a forum held in Ho Chi Minh City on May 29.

Measures taken to stabilise foreign exchange market: SBV Governor

Thailand’s Finance Ministry is preparing a credit guarantee fund worth 50 billion THB (1.35 billion USD) to help small and medium-sized enterprises (SMEs) access credit, local media reported.

The State Bank of Vietnam (SBV) has proposed using credit scoring to better manage the banking sector and promote the development of finance and fintech companies.

Many banks have recently announced plans to significantly increase charter capital to improve the capital adequacy ratio (CAR) and strengthen financial potential for credit and business expansion.

Prime Minister Pham Minh Chinh has tasked the State Bank of Vietnam (SBV) with leading and coordinating governmental ministries and agencies to keep interest rates low and financial access easier for businesses, according to Directive 18/CD-TTg signed on March 7.

A total of 2.75 quadrillion VND (41 billion USD) went into the property market in 2023, according to the State Bank of Vietnam (SBV), an increase of 6.75% in comparison to last year.

High demand during the Tet shopping season has prompted commercial banks to introduce credit offers worth hundreds of billions VND for consumers, said industry experts and insiders.

Home loans will be a driver for retail credit growth in the near future as interest rates keep cooling down and the real estate market recovers from the second half of 2024, analysts predicted.

The Vietnam International Commercial Joint Stock Bank (VIB) has closed a medium-long-term syndicated loan worth 280 million USD.

The Ministry of Construction will focus on removing legal bottlenecks for the real estate market and promoting social housing developments in the second half of this year.