Credit quality of real estate sector continues to be controlled

Credit quality of real estate sector continues to be controlled

Mr. Nguyen Hoang Minh, Deputy Director of the State Bank of Vietnam – Ho Chi Minh City Branch (SBV-HCMC Branch), reported to the State Bank of Vietnam (SBV) at a meeting on January 10 that the city’s banking industry’s capital mobilization nearly reached VND2.5 quadrillion last year, an increase of 13.5 percent compared to that in 2018, lower than the country’s total capital mobilization of 14.3 percent.
HCMC’s bad debt ratio reduced to 2.2 percent

HCMC’s bad debt ratio reduced to 2.2 percent

According to the State Bank of Vietnam – Ho Chi Minh City Branch, since the beginning of this year, the city’s banking industry has handled more than VND72 trillion of bad debts, reducing the amount of bad debts to VND49 trillion, accounting for 2.2 percent of total outstanding loans.
Commercial banks lower interest rates

Commercial banks lower interest rates

After the State Bank of Vietnam decided to lower the ceiling interest rates on loans and deposits in Vietnamese dong from November 19, a slew of commercial banks have started reducing interest rates.
Banking industry shows good performance

Banking industry shows good performance

Recently released financial statements of the third quarter of this year of commercial banks showed that banking industry has continued to flourish with extremely positive profit growth, in which a large part was contributed by revenue from services. 
Risks contained in investment in corporate bonds

Risks contained in investment in corporate bonds

In the first eight months of this year, it is estimated that the total amount of corporate bonds being offered was more than VND129 trillion and successful issuance rate was 90.8 percent, or nearly VND118 trillion. Of which, banks issued more than VND56 trillion worth of bonds, accounting for nearly half of total value of issued bonds in the market.
Banks offer interest rate of up to 10.2 percent per annum for deposits

Banks offer interest rate of up to 10.2 percent per annum for deposits

In order to prepare capital sources for loans at the end of the year, besides mobilizing savings at high interest rates of up to nearly 9 percent per annum for 12-month term, commercial banks have also raced to attract capital through certificate of deposit with interest rate above 10 percent per annum.
Customers do transactions at a bank. (Photo: SGGP)

Low interest rate capital for priority sectors only

The current mobilizing interest rates and certificates of deposit of most commercial banks have touched 9 percent per annum, an increase of 0.5 percent compared to those at the end of last year.
Banks depreciated the dollar against the đồng by some VND15-40 per dollar on Friday.  (Photo: VNA/VNS)

USD/VND rate remains under control in 2018

Commercial banks have consecutively lowered the value of the US dollar against the Vietnamese dong during the final days of 2018, helping the USD/VND exchange rate close the year under control.

M2M businesses must deposit 5 percent of chartered capital

M2M businesses must deposit 5 percent of chartered capital

Multi-level marketing (MLM) businesses are responsible for making a deposit equivalent to 5 percent of their chartered capital and not lower than VND10 billion (US$430,000) at commercial banks or foreign bank branches in Vietnam from January 1, 2019 according to Circular 29 issued by the State Bank of Vietnam.

Most commercial banks have raised interest rates on property loans because of soaring prices in the market. Photo nld.com.vn

Banks tighten lending rules

Many commercial banks in the country have increased loan interest rates by 1-2 per cent to investors in real estate as property prices continue to rise.