Many banks complain that the cost of capital increases and they cannot increase lending rates, so interest margins are quickly narrowing, which affects profit.
Vietcombank has set itself a target of 18 percent credit growth this year and pre-tax profit of VND9.2 trillion (over US$405 million).
VOV.VN - The State Bank of Vietnam (SBV) has set a credit growth target of 18 % for this year and pledged to continue measures to keep credit growth adequate for economic growth.
The Bank for Foreign Trade of Vietnam (Vietcombank)’s pre-tax profit hit a record high of VND8.2 trillion (US$361.76 million) in 2016, up 23.4% against 2015.
The State Bank of Vietnam has set a credit growth target of 18% for this year and it pledged to continue measures to keep credit growth suitable to the country’s economic development.
The State Bank of Vietnam (SBV) has set a credit growth target of 18% for this year and it pledged to continue measures to keep credit growth suitable to the country’s economic development.
Several commercial banks have unexpectedly slightly cut the dong-denominated deposit interest rates in the past week, according to report by the State Bank of Vietnam (SBV).
Lending of the banking sector as of November 22 had expanded by around 14% against December last year, with dong loans rising 15.3% and foreign currency loans increasing 2.8%, State Bank of Vietnam Deputy Governor Dao Minh Tu reported.
The State Bank of Vietnam (SBV) will closely watch credit growth and direct the credit flow into production in the remaining months of this year.
The State Bank of Vietnam (SBV) will control credit growth and direct capital to areas of priority from now to the year end towards safety and effectiveness, said Governor of SBV Le Minh Hung.
Credit in the first five months of 2016 grew 5.48% compared to the end of 2015, the highest for the past few years, according to the State Bank of Vietnam’s Credit Department.
Some foreign economic and financial organisations have maintained an optimistic outlook for Vietnam’s economy in 2016, in spite of the recent slower than expected GDP expansion.
Financial institutions in Vietnam expect the banking system’s outstanding loans to increase 20.09% in 2016, the highest in the past five year, as a report from the State Bank of Vietnam (SBV)’s Monetary Forecasting and Statistics Department.
Credit growth by February 20 rose 0.39% while capital mobilisation increased 0.34% against December last year, a government report released early this week said.
The State Bank of Vietnam (SBV)'s recent proposals on tightening lending rules would benefit local banks, the rating agency Moody's has said.
Lending by January 20, 2016 declined 0.21% against the end of last year, according to a report released by State Bank of Vietnam (SBV) on February 2.
Yields of Government bonds with terms five years or longer will likely rise this year, VPBank Securities said in a recent report.
Commercial banks in Ho Chi Minh City will focus on taking measures to provide small- and medium-sized enterprises and businesses operating in the supporting industry with low-interest loans.
Although Vietnam embarks upon its socio-economic development for the 2016-2020 period with a string of bright achievements under its belt, enterprises are still somewhat hampered by certain hurdles that must be resolved, says Professor Nguyen Mai, former vice chairman of the Ministry of Planning and Investment.
Vietnam’s banking restructuring scheme, launched by the central bank four years ago, has achieved almost all of its important objectives, a senior official of the State Bank of Vietnam (SBV) said at a recent press conference in Hanoi.