Total outstanding loans of credit institutions in Ho Chi Minh City as of the end of last year were worth over VND3.9 quadrillion (US$153.3 billion), a 11.3% increase for the year, according to the central bank.

Credit growth has accelerating since the beginning of June, signaling that the 15% growth target is achievable, if the rate is maintained in the remaining months of this year.

Despite low interest rates, bank deposits have reached a new historic peak of VND16 quadrillion (US$628.5 billion) as of the end of March, according to the latest data from the central bank.

As of June 14, credit growth has reached 3.79% compared to the end of last year, marking a bright spot for the banking sector, according to the central bank.

After declining in the first two months of this year, credit of the banking industry in March increased by 0.26% compared to the end of 2023 to about VND13.6 quadrillion, the State Bank of Vietnam (SBV) reported.

Governor of the State Bank of Vietnam (SBV) Nguyen Thi Hong on February 20 said propelling credit growth is the key task in 2024 to ensure ample capital for the economy.

High demand during the Tet shopping season has prompted commercial banks to introduce credit offers worth hundreds of billions VND for consumers, said industry experts and insiders.

Credit growth will be the main focus for the banking industry in 2024, as it is closely related to economic growth, according to analysts.

The State Bank of Vietnam (SBV) has set a credit growth target of 15% for the domestic banking system in 2024.

Credit ratings agency Fitch Ratings has recently revealed upgrades for several banks, in the wake of its decision to raise Vietnam's national credit rating to BB+ with a long-term outlook of "Stable".