January 24, 2022 | 15:36 GMT+7

VDSC: Banking sector anticipating solid growth in 2022

Đào Vũ -

Forecast comes as recovery programs expected to provide helping hand.

Photo: Illustration
Photo: Illustration

Vietnam’s banking sector is forecast to continue to see positive growth in 2022 as economic recovery programs have a positive impact on the industry, according to the Viet Dragon Securities Corporation (VDSC).

Credit growth is forecast to reach 13-14 per cent while the bad debt ratio will fall compared to 2021. The government’s economic support packages will play important roles in ensuring business confidence, improving circulation and cash flow, and reducing credit losses to promote the recovery of the banking sector. Business conditions in the industry will also be improved this year.

With supportive monetary policy continuing to be maintained in 2022 and with stable liquidity in the short term, VDSC expects credit to grow strongly in the first six months and for the banking system to be able to pour more money into the economy through credit growth. A survey by the State Bank of Vietnam (SBV) shows that most leaders have a positive assessment of revenue prospects this year.

Momentum for growth in revenue also comes from the development orientation of banks such as Vietcombank, BIDV, HD Bank, VietcomBank, and OCB, etc., which have large-scale plans to increase revenue this year. Moreover, digital transformation in the banking sector is also being promoted strongly to reach the goal of attracting more demand deposits and contribute to development.