Vietnam's central bank adjusts growth targets among credit institutions-Xinhua

Vietnam's central bank adjusts growth targets among credit institutions

Source: Xinhua

Editor: huaxia

2023-12-01 22:14:15

HANOI, Dec. 1 (Xinhua) -- The State Bank of Vietnam (SBV) has announced it will adjust the growth targets among credit institutions as a result of uneven credit growth, Vietnam News reported Friday.

The bank will keep the year's credit growth target at 14.5 percent, but will adjust the credit limits for certain banks based on their growth from the beginning of the year.

Credit institutions that have achieved 80 percent growth will receive additional credit limits based on their 2022 ranking, the central bank said.

Banks that prioritize credit for priority sectors and have lowered interest rates will also be eligible for additional credit limits from the central bank.

According to SBV, as of Nov. 22, Vietnam's overall credit growth has been only 8.21 percent of the 14.5 percent target set early this year.

It was forecast that Vietnam's credit growth in 2023 will reach only 12 percent as lending to the real estate sector, which accounted for 70 percent of total banking sector lending, was struggling.