Topic: credit growth

Credit to be directed towards production and business operations.

Credit is to prioritize key areas such as consumption, exports, and investment.

Credit growth has improved since May but had not even reached half of the annual target as of October 24.

Total credit in 2023 had reached $523bln as of June 30.

Growth low but suitable with southern city’s economic development.

Credit growth targeted at 14-15% for 2023.

Stabilized macro-economy and inflation control behind growth.

Local banks continue to take measures to help businesses address the difficulties.

Sector also accounted for the highest proportion of total credit in the economy last year.

A recent report from the Agribank Securities Company (Agriseco) noted that the banking sector will face challenges maintaining profit growth in 2022 and 2023 at levels recorded in 2020 and 2021. Growth has declined amid insufficient space for credit growth, while Net Interest Margins (NIM) face pressure from rising deposit rates as lending rates prove difficult to increase.