Domestic credit growth climbs to three-year high
Vietnam's credit growth rate reached 2.78% in the first four months this year – the highest in three years, according to the National Finance Supervision Council (NFSC).
The NFSC noted that the loan-to-deposit ratio in February was 84%.
It added that the country's economy has experienced a clear recovery with macroeconomic stability that has encouraged rapid and sustainable growth.
The latest report issued by the NFSC on May 4 showed that the total demand saw many positive changes, with the total investments in the first quarter of the year rising 9.1% over the same period last year.
By April 20, this year's credit growth reached 2.78%, much higher than the 0.53% increase during the corresponding period last year. The FDI disbursement during the first four months of the year reached US$4.2 billion, posting a 5% year-on-year rise, while investments from the state budget rose 2.4% from last year.
In addition, consumption also improved. The total retail of goods and services, excluding a price rise during the four-month period, rose by 8% over the same period last year.
The industrial and construction sectors also made a strong recovery, contributing to the high growth rate.
The Index of Industrial Production posted a 9.4% year-on-year increase. In this, the processing and manufacturing industry grew by 10% from 2014.
The construction sector and property trading activities also improved, with their growth rates in the first quarter of the year reaching 4.4% and 2.55%, respectively.
Average revenue, assets, and equity enterprises posted a growth rate of 19.61%, 19.51%, and 18.9%, respectively.
Business sentiments among Vietnamese firms have also recovered despite many obstacles.
Small and medium enterprises regained a positive growth rate of 28.31%, the highest since 2009.