The commercial banks said they will participate in the package to show the proactiveness and determination of the sector in supporting businesses and promoting economic growth.
Data from the rating agency FiinRatings showed that credit growth for the whole economy was 15.08 per cent last year, while credit growth for real estate developers was up to 28.5 per cent, four times higher than credit for home...
As of March 20, outstanding loans reached nearly VNĐ15.93 quadrillion, up 1.98 per cent compared to the end of 2024 and up 17.60 per cent compared to the same period in 2024.
The proportion of small and medium-sized enterprises (SMEs) accessing financial resources through the banking system and other formal sources accounts for only 25 per cent.
To achieve the GDP growth target of 8 per cent, the banking system must inject about VNĐ2.5 quadrillion to the economy, equivalent to a credit growth of 16 per cent.
The new decree also regulates that the total share ownership of foreign investors at a Vietnamese non-bank credit institution will also not be allowed to exceed 50 per cent of the institution’s charter capital.
According to SBV’s data, bad debts of commercial banks as of December 31, 2024 were more than VNĐ733.9 trillion, an increase of 3.4 per cent compared to the end of 2023
The credit growth quota system, which puts a cap on the credit expansion of each bank, has been maintained by the SBV since 2011, when Việt Nam’s economy was experiencing hyperinflation stemming from excessive money supply.
The State Bank of Vietnam (SBV) completed the compulsory transfer of four vulnerable banks, CB, Oceanbank, DongA Bank and GPBank to Vietcombank, MB, HDBank, and VPBank, respectively.
The provinces in Region 4 are important geographical locations, with Lào Cai and Hà Giang bordering with China to the North, and Vĩnh Phúc and Phú Thọ bordering with Hà Nội to the South.