Credit growth highly increases this year

The banking system’s credit growth rate reached 6.53 percent on May 25 compared to the end of 2016, reported the State Bank of Vietnam (SBV) yesterday.

Credit growth rate reaches 6.53 percent since early this year

Credit growth rate reaches 6.53 percent since early this year

Unlike previous years when credit growth was traditionally low in year beginning months, the growth rate was high. It was 6 percent in the same period in 2016 and 4.5 percent in 2015.
Interest rates have been kept stable to meet capital for production and trading. At present, loan interest rate swings from 6-9 percent for short term loans and 9-11 percent for long term loans in the market. Short term rates are from 4-5 percent.
The Central Bank has implemented some solutions to facilitate banks’ loaning to small and medium enterprises in production and trading.
In the upcoming time, SBV will manage interest rate suitably with macroeconomic changes, inflation and monetary markets to stabilize the interest rates; continue asking credit institutions to cut loan rates to share difficulties with customers but still ensure financial safety in banking operations.
In addition, it will continue implementing credit programs of the Government such as rice, coffee and seafood as well as packages to encourage hi-tech agriculture; coordinate with agencies to solve difficulties and provide loans for residents in four north central provinces who have been hit by Formosa environmental disaster last year.

By HAM YEN – Translated by Hai Mien

Other news

Most view

​ Pig supply drop has highly increased prices but still ensured domestic consumption demand

Pig supply decrease causes price increase

Vietnam saw a reduction of 1.2 million pigs in the first half this year, said Mr. Hoang Thanh Van, head of the Livestock Department under the Ministry of Agriculture and Rural Development yesterday explaining the recent price surge.


PM pushes SBV to achieve robust growth target

Prime Minister Nguyen Xuan Phuc has urged the State Bank of Vietnam (SBV) to take more comprehensive and bold measures to boost credit growth and reduce interest rates.


Self - introduction

“Taste of world” buffet in Liberty Central Saigon Center

Central restaurant is located on the 3rd floor of Liberty Central Saigon City point hotel where combines the comfort of tradition with modern design for people to experience regionally-sourced cuisine and fresh local seafood, especially lunch and dinner buffet.

Stock market

Share performance to be mixed: analysts

Mixed share performance is expected this week and market sentiment is forecast to remain weak before companies release their second-quarter earnings reports.