11 of 13 Vietnamese commercial banks have been given permission to increase their credit lines by the State Bank of Vietnam.
TPBank has the greatest credit growth rate of 17.4 per cent thanks to the bank’s strong capital adequacy ratio (CAR) according to Basel II standards and diverse investment portfolio. Moreover, banks that do not focus on hazardous and vulnerable businesses, with favourable interest rates are gaining the upper hand in terms of credit quota.
In addition to TPBank, a number of other banks were allowed to expand their credit room by 13-16 per cent, including Techcombank (17.1per cent), MSB (16 per cent), MB (15 per cent), VIB (14.1 per cent), ACB (13.1 per cent), LienVietPostBank (13.1 per cent).
The remaining six banks were allotted 9.5-12.5 per cent room for growth, including Vietcombank (12.5 per cent), VPBank (12.1 per cent), SHB (10.5 per cent), Sacombank (10.5 per cent), OCB (10 per cent), and VietinBank (9.5 per cent).
Nguyen Tuan Anh, head of the Credit Department at the State Bank of Vietnam (SBV), emphasised that credit growth rates were granted based on the particulars of each credit institution. The SBV stated in its monetary policy management solutions for the last three months of the year that it will periodically assess and modify credit growth objectives for each credit institution based on its operational status, financial capacity, and stability of credit expansion. As a result, credit institutions that lower lending interest rates to support affected clients will be given priority consideration.
By Lam Tien