CATEGORIES

© Copyright 2004; Hanoitimes - Economic and Urban Newspaper;

The tribune of Hanoi People’s Committee

Publication Permit: 29/GP-CBC

Editor - in - Chief: Nguyen Thanh Loi

Managing Editor: Ta Thu Giang

Email : thugiang@hanoitimes.vn

Head Office: 21 Huynh Thuc Khang Street, Dong Da District, Hanoi

Branch Office: 221 Tran Phu Street, Ha Dong District, Hanoi

WORDS ON THE STREET 70th anniversary of Hanoi's Liberation Day Vietnam - Asia 2023 Smart City Summit Hanoi celebrates 15 years of administrative boundary adjustment 12th Vietnam-France decentrialized cooperation conference 31st Sea Games - Vietnam 2021 Covid-19 Pandemic
Home / Economy / Banking & Finance
Vietnam c.bank targets credit growth at 14% in 2019
Ngoc Mai 12:42, 2019/04/02
The decision was made taking into consideration the GDP growth target of 6.8% in 2019 and inflation rate below 4%, set by the National Assembly and the government.
The State Bank of Vietnam (SBV) targets credit growth at 14% in 2019, unchanged from the five-year low rate recorded in 2018, the government portal reported, citing Nguyen Thi Hong, an SBV deputy governor. 
 
SBV's Deputy Governor Nguyen Thi Hong at the press conference. Source: VGP.
SBV's Deputy Governor Nguyen Thi Hong at the press conference. Source: VGP.
The decision was made taking into consideration the GDP growth target of 6.8% in 2019 and inflation rate below 4%, set by the National Assembly and the government, Hong said at the SBV’s quarterly press conference on April 1. 

Hong said the SBV would take a cautious approach on supporting credit growth, which should be in close relation with the inflation rate. 

Pham Thanh Ha, head of the SBV’s Monetary Policy Department, informed as of March 25, Vietnam’s credit growth reached 2.28% against the end of 2018. 

Meanwhile, the lending rates remained stable, averaging 6 - 9% per year in short term, and 9 - 11% per year in mid- and long-term. Particularly, some credit institutions have reduced short-term lending rates by 0.5 percentage points per annum for customers with good credit ratings and operating in priority fields. 

The SBV’s Deputy Director General of Credit Department Tran Van Tan informed outstanding loans in the industrial sector increased by 2.57% year-on-year and made up 20% of the total. Of which, the manufacturing and processing climbed  2.79% year-on-year and accounted for 15.35%. 

Additionally, outstanding loans in the construction sector increased by 1.08% and made up 9.63% of the total, commercial and services sector up 1.97% and 61.21% of the credit, agriculture, fishery and forestry up 1.01% and 9.17% of the total. 

Nghiem Thanh Son, deputy director of the SBV’s Payment Department, said payment activities in Vietnam have transformed significantly to meet new requirements of the economy and reflect changes in payment technologies. 

In 2018, the number of domestic payment transactions via bank cards reached 230.7 million, up 19.02% year-on-year with combined value of VND592 trillion (US$25.45 billion), while the number of financial transactions via internet stood at 255.6 million worth VND16,200 trillion (US$696.58 billion), up 22.6% and 19.5%, respectively; the number of transactions via mobile phones was 185.1 million worth VND1,859.9 trillion (US$79.95 billion), up 41.4% and 169.5%, respectively. 

The SBV’s Deputy Governor Hong said the banking restructuring process has progressed well on track, leading to the bad debt ratio of below 2% in the whole banking system. 

As of January 31, the total value of bad debt resolved on the basis of Resolution No.42, which provides special pilot treatment of bad debts at credit institutions, was estimated at VND204.4 trillion (US$8.78 trillion), accounting for over 40.1% of total bad debts. 
Comments
Other news
15:51, 2025/02/24
Vietnam set to have digital banks within financial centers
Credit institutions headquartered in these financial centers will not be bound by restrictions on to foreign ownership or foreign investment conditions when providing services there or across borders.
14:30, 2025/02/15
Hanoi expands cashless parking pilot program
Hanoi is advancing its efforts to integrate technology into urban management by expanding the pilot program for cashless parking payments throughout the city.
16:58, 2025/02/11
Prime Minister urges banks to prioritize economic support over profits
One of the key priorities for the banking sector is to support small and medium-sized enterprises (SMEs), as they generate a large number of jobs and contribute significantly to the economy.
17:23, 2025/02/07
Vietnamese Gov’t forecasts CPI growth of up to 4.5% in 2025
With the goal of at least 8% GDP growth, the money supply in the economy will be significantly larger than in 2024. This will have an impact on price indices, particularly consumer prices.
17:51, 2025/01/07
Vietnam prioritizes agriculture and renewable energy for access to green loans
The move is part of the government’s effort to accelerate economic restructuring and build resilience to climate change while protecting the environment.
16:49, 2025/01/06
Vietnam GDP expands by 7.09% in 2024
The 2024 growth rate is considered positive amidst global uncertainties and domestic challenges such as natural disasters.