Topic: state bank

The country's lenders are at the vanguard of an ambitious plan to digitise the economy, but significant challenges still lie ahead.

The State Bank of Vietnam's auction sees subdued participation amid volatile global gold prices.

Money flows prioritized for areas such as agriculture and rural development, small and medium-sized enterprises, exporters, and supporting industries.

It is necessary to protect the legitimate rights and interests of the people, enterprises, and related parties in all circumstances, the Prime Minster told a recent conference.

Capital demand for green growth is quite large and long-term, so the burden of provision should not be put solely on the shoulders of the banking sector. According to Deputy Governor of the State Bank of Vietnam Pham Thanh Ha, “In the 2021-2030 period, to realize green growth, the government will focus on promoting resources from commercial loans and private investment such as green credit and green corporate bonds.”

Under pressure from global USD prices and rising demand for foreign currencies, the State Bank of Vietnam (SBV) is trying to identify a new exchange rate intervention point. The USD selling rate has been increased from VND23,700 to VND23,925. This is the fourth time the SBV has increased the price this year, totaling VND905, or 3.9 per cent.

In an updated report, Dragon Capital said that in an environment of rising interest rates, expected returns in the stock market are unlikely to be outstanding. In the short term, the market will see many fluctuations depending on developments around the world. However, the influence of external factors on Vietnam is much lower than in emerging countries and is not systematic.

After the State Bank of Vietnam (SBV)’s decision to raise the operating interest rate, analysts believe that the net interest margin (NIM) in the industry will narrow but the impact will differ. Banks with high CASA ratios will be more resilient, while banks with low LDR or short-term capital ratios for medium and long-term loans will be under less pressure.

At a government meeting on the morning of September 22, Prime Minister Pham Minh Chinh said that, in the context of an unpredictable global situation, monetary and fiscal policy orientations must be effective and coordinated closely with other policies to stabilize the macro-economy. He asked the State Bank of Vietnam (SBV) to research and raise the operating interest rate and the deposit rate but to try to keep the lending rate stable.

A recent banking report from VnDirect shows that the State Bank of Vietnam (SBV) has loosened credit limits on 18 banks. Sacombank now has the highest limit, at 4 per cent, followed by MB and Vietcombank with 3.2 per cent and 2.7 per cent, respectively. TPBank, Eximbank, and LienVietPostBank also received adjustments. The SBV prioritized banks with a healthy credit structure in extending limits. According to VnDirect, total credit growth is estimated at 13 per cent by the end of the year following this adjustment; close to the 14 per cent target set by the central bank.