According to the National Financial Supervisory Commission, the government’s financial watchdog, the ratio of medium and long-term loans in the 11 months increased by 12.7 per cent against December last year and accounted for 53.8 per cent of the total outstanding loans.
The rising rate of short-term loans was 18.6 per cent, compared to 15.2 per cent in the 11 months of last year.
The commission also noted that lending in foreign currency expanded 12.3 per cent from the end of 2016, more than doubling the expansion of 5.8 per cent in the same period last year.
Meanwhile, loans in the Vietnamese dong increased 15.6 per cent in the 11-month period, lower than a 16.6 per cent increase in the same period last year, and accounted for 91.8 per cent of total credit.

Consumer lending growth hit 59 percent in the 11-month period.

The commission said that lending for the agricultural sector represented 8.1 per cent of total credit, while that for real estate and construction made up 15.5 per cent, down from 17.1 per cent in 2016, of which 5.8 per cent of the loans were funneled into the real estate industry.
Notably, consumer lending continued at a rapid pace, with growth hitting 59 per cent in the 11-month period, driven mainly by home loans.
The commission said the mobilization growth slowed to 13.5 per cent between January and November, compared to 16.6 per cent, a year earlier.
Liquidity in the banking system remained stable, buoyed by the State Bank of Viet Nam net injecting VND124 trillion (US$5.46 billion) since the start of the year via foreign currency purchases and open market operations.
The average loan-to-deposit ratio (LDR) of the banking system stood at 86.9 per cent, up from 85.6 per cent at the end of 2016.
Interest rates increased by 70-80 basis points in the inter-bank market, while major banks revised up deposit rates, the commission said.
The government in September revised the credit growth target for this year to 21-22 per cent from the initial 17 per cent to support the economic growth.
However, at a meeting last month with Victoria Kwakwa, vice President for the East Asia and Pacific Region at the World Bank, State Bank of Vietnam (SBV)’s Governor, Le Minh Hung, said that the SBV has come under no pressure to loosen the monetary policy to help the country achieve the economic growth target of 6.7 per cent this year.
SBV will work towards curbing inflation at less than 4 percent this year, Hung said, adding the central bank had asked credit institutions to control credit growth and ensure credit quality.
"This year, the quality of loans has been strengthened and tightly controlled in the risky industries, especially real estate. The government and the SBV are consistent with the opinion that the economic growth must ensure the goal of macroeconomic stability," Hung said.