Vietnam Bank News

Vietnam Bank Directory

Trade LTCUSD, Bitcoin and Cryptocurrencies

BUY & SELL LTCUSD | View LTCUSD News & Updates


Buy Sell LTCUSD, Bitcoin and Cryptocurrencies

Banking News & Financial Services News
Get the latest banking news headlines from Vietnammarkets.com. Find in-depth Vietnam coverage from banking, investing, financial, stock market, and more abou Vietnam banking system, bank for industry and trade, Vietnam banking sector.

Banks ordered to submit loan plans   2009-02-19 - VietNamNet/Viet Nam News

The State Bank of Viet Nam yesterday ordered commercial banks to submit business plans for their credit operations this year.

By the end of last week, State-owned banks had lent VND32 trillion (US$1.34 billion) to business projects nationwide, according to the latest report from the central bank.

The plans, due no later than March 4, will give the central bank information it needs in drawing up a new credit and monetary policy.

As part of the business plans, banks must designate targeted industries and market sectors to which they expect to loan, currencies in which they will lend, and targeted growth in lending against the end of 2008.

Total credit in the economy in January moved up an estimated 0.52 per cent over December 2008, according to the State Bank, with loans in Vietnamese dong rising by 0.17 per cent and loans in foreign currencies by 1.91 per cent.

The nation's commercial banks have also been ordered to demonstrate their expected deposit structures in 2009, including currencies in which they will accept deposits, and targeted growth against the end of 2008.

According to the central bank, deposits in Vietnamese dong fell 0.47 per cent from December 2008, while deposits in foreign currencies grew by 2.3 per cent. Meanwhile, commercial banks are hastening to disburse loans to borrowers under the Government's subsidised interest programme, which reduces interest rates charged on loans to qualified enterprises by 4 per cent.

By the end of last week, State-owned banks had lent VND32 trillion (US$1.34 billion) to business projects nationwide, according to the latest report from the central bank.

Private banks are also stepping up efforts to lend under the programme.

Viet Nam International Bank (VIB Bank) reported that offices in Ha Noi and HCM City had each received over 10 applications to borrow under the interest subsidy programme. Most of their borrowers operate in the textile and garment industry, plastics or handicrafts.

Orient Commercial Bank has seen loan application increase by three or four times, the bank said.

In the first week after announcement of the subsidised interest programme, An Binh Bank (ABBank) said it received over 300 loan applications, although the bank didn't reveal how many had been approved for credit. The bank said, however, that it has VND8-10 trillion ($460-575 million) to loan under the subsidy pgoramme.

Decisions on most loan applications come within two days of application, with loan closing carried out immediately thereafter. A banker in Ha Noi who asked to remain unnamed said, "Processing applications quickly not only brings enterprises opportunities to access cheap credit but also helps banks select more qualified customers."

The Prime Minister has ordered the State Bank and the Ministry of Finance to work together to create the most favourable conditions for eligible enterprises to qualify for loans under the interest subsidy programme, and has ordered the central bank to collect and submit data on loans made under the programme.


Other Banking News

$400 million trade surplus in January, says central bank   2009-02-19

High consumer credit costs slow sales   2009-02-17

Banks prepare subsidised loans   2009-02-10

Door to consumer credit open wide   2009-02-10

Banks ramp up subsidised-interest loans   2009-02-10

Banks kick off interest rate-subsidized loaning   2009-02-06

Central bank chief promises to loosen monetary policy   2009-02-03

Eximbank says 2008 pretax profit rose 57 pct   2009-02-03

Bond yields to fall to match lower bank rates   2009-02-03

Citibank Vietnam to operate normally: Managing director   2009-02-03

Foreign-owned banks intensify competition in domestic market   2009-02-02

Banks cut loan interest rates   2009-02-02

Bank deposit guarantee may rise   2009-02-01

Banks embarrassed by profit targets for 2010   2009-01-25