The State Bank of Vietnam (SBV) has proposed increasing the foreign ownership limit for credit institutions that receive the compulsory transfer of weak credit institutions to 49 per cent.
The State Bank of Vietnam has raised the domestic banking system’s credit growth by 1.5-2.0 percentage points from the previous 14 per cent limit on December 5.
The expansion of the credit room by 1.5-2 percentage points would mean an addition of VND156-200 trillion ($6.5-8.3 billion) being injected into the economy.
Vietnam's central bank said on Monday it had raised its 14% cap on the local banking system's credit growth for this year by 1.5-2.0 percentage points.
There is a fast-growing trend across the world to digitalize the entire global financial and banking systems. Digitalization is being believed to be a great driver of economic growth.
At the announcement ceremony of the Vietnam Corporate Sustainability Index (CSI) Enterprises 2022 on December 1st, Home Credit was honored among the Top 100 Sustainable Companies (CSI100), proving its excellence in meeting the rigorous criteria of this recognition.
Weak banks that are restructuring will be the target of mergers and acquisitions (M&A) deals in the near future as the Government is strongly promoting the restructuring of the country’s finance and banking industry.
The recent decline in net interest margin of commercial banks has been deemed not as significant as anticipated, with some smaller-scale banks showing improvements on the issue.
Banks continue to increase their deposit rates to relieve liquidity constraints at year-end.