The credit growth of the banking system started to show improvement in January-April, at 1.4%, though it was only 0.03% in the first quarter, the State Bank of Vietnam (SBV) reports. The above credit growth is quite positive compared to a reduction of 0.2% in the same period in 2012. However, according to SBV, the credit improvement is still lower than the target. The low credit growth is often seen... 

A credit growth slowdown and stagnant production have posed challenges for the economy in the first quarter, economic administrators said at a meeting held in Hanoi on Tuesday by the Ministry of Planning and Investment. Nguyen Hoang Minh, deputy director of the HCMC Department of Planning and Investment, said the city recorded credit growth of a mere 0.26% over late 2012, while bad debt stood at 5.9%. The... 

Foreign currency credit in HCMC this year has slumped a staggering 3.68% against the end of last year, according to the HCMC branch of the State Bank of Vietnam (SBV). Foreign currency credit in the city’s banking system shrank 8.78% last year. The fall in January-March foreign currency credit has pushed the city’s credit growth down to a mere 0.26% as total outstanding loans in Vietnam dong have... 

Banks are continuing to sit on a pile cash with few firms ready to talk business. The State Bank yesterday, March 21, 2013 revealed that by the end of February 2013, mobilised capital increased by 2 per cent compared to the end of 2012, double the growth of 2012’s first two months, with VND mobilisation growth higher than foreign currencies. However, credit growth continued to be negative in 2013’s... 

The State Bank might consider dividing banking system credit groups this year, but the growth cap might be unnecessary given soft credit growth. A State Bank source said the central bank this year might continue to assign credit growth to each bank. In 2012, banking system had four credit growth groups with growth limits of 17, 10, 8 and 0 per cent. This year there might be more groups and foreign... 

The bad debt ratio of the banking system may fall to 4-5% under Vietnam’s accounting standards by the end of this year, said Le Xuan Nghia, former vice chairman of the National Financial Supervisory Commission. He forecast economic growth would be around 5.5% and inflation 7-8% this year. In addition, the exchange rate may rise 2-3% and short-term deposit rate may go down 1%, the expert said. He... 

The U.S. dollar firmed against Vietnam dong at local banks and on the informal market on Tuesday, selling for over VND21,000 to hit a two-week high. At some foreign currency exchange counters near Ben Thanh Market, the greenback rose to VND21,150 and VND21,170 for buying and VND21,210 to VND21,230 for selling. A forex trader noticed that the price had surged some VND50-70 a dollar against late last... 

Credit institutions described adjustments in prices of the items subject to State management as the greatest risk to inflation control in 2013, the Monetary Statistics and Forecast Department of the central bank said. As per a report on the latest survey of credit institutions done by the department, price adjustments are believed to have the biggest impact on inflation this year. The other factors... 

During the last two weeks the domestic foreign exchange market saw continuous fluctuations in the forex rate between the dong and US dollar, although the forex rate on the inter-bank market was stable at VND20,820. In particular, on February 20 the forex rate between the dong and dollar in the open market increased to 21,100 per dollar, up by VND80 compared with the rate on the previous day. Accordingly,... 

HANOI – The bad debt ratio of the banking system has dropped to 6%, versus 8.6% a few months ago, heard a regular press briefing of the Government on Thursday. Vu Duc Dam, minister-chairman of the Government Office, said the Government was concerned about the slow credit growth in the first two months. However, given the aims for both economic growth and inflation restraint this year, credit will...