During the January-September period, banks and credit institutions in Hanoi have restructured the payment schedule of debt worth VND75 trillion ($3.3 billion) for 57,700 customers.
![](http://media.hanoitimes.vn/2021/05/14/logo_hntimes.png)
For the first nine months of 2021, Hanoi’s credit growth expanded by 9.4% against late 2020, higher than the capital mobilization rate at 7.4%.
A VP Bank branch in Hanoi. Photo: Lam Giang |
The Hanoi’s Department of Statistics Office released the figures in its monthly report, noting this shows signs of business recovery as the city is gradually lifting restriction measures.
As of September, total outstanding loans in the city stood at VND2,410 trillion (US$105.4 billion), while over VND4,138 trillion ($181.8 billion) were mobilized by banks during the period.
For the past months, the banking sector has been offering support for people and businesses affected by the pandemic, including restructuring of debt payment schedules, waiving or lowering lending rates.
During the January-September period, banks and credit institutions in Hanoi have restructured the debt payment schedule for 57,700 customers worth VND75 trillion ($3.3 billion); waived and lowered interest rates for 189,000 others for outstanding loans of VND334.8 trillion ($14.7 billion).
From January 23, 2020, to the present, banks have provided new loans at preferential rates worth VND1,159 trillion ($50.7 billion) to over 102,600 customers.
Under the instruction of the State Bank of Vietnam (SBV), banks are working on risk management by establishing an early warning system for customers struggling with debt payments.
The bad debt ratio as of late September is estimated at 1.9% of total outstanding loans.
The rate for capital mobilization is averaged at 0.1-0.2% per annum for call deposits or time deposits with maturity below one month; 3.1-3.8% for time deposits from one to below six months; 3.8-6% from six to below 12 months; and 5.5-6.8% for over 12 months.
Meanwhile, lending rates are set at 5.5-8% per annum for short-term loans; 7.5-9.5% for mid-and long-term periods. For loans in priority fields, the short-term lending rates are set at around 4.5% per annum.
Vietnam’s credit growth in the first nine months of 2021 was estimated at 7.17% year-on-year, a 1.4-fold increase compared to the 4.99% recorded in the same period of last year. VNDirect Securities Company in its latest report has adjusted Vietnam’s credit growth forecast from 13% to 10-12%, noting credit demand may not be fully recovered due to the current Covid-19 outbreak. As the Government is taking steps to ease restriction measures, VNDirect expected credit demand to rebound in the fourth quarter and support economic growth. SBV Governor Nguyen Thi Hong noted for the remainder of the year, the SBV is committed to stabilizing the macro-economic foundation and controlling inflation. “Along with efforts to support the economy, it is imperative to ensure the safety of the banking system by managing monetary policies in a flexible manner, along with keeping stable foreign exchange rates and policies,” Hong suggested. |
Other News
- Legal tools required to tackle air pollution issues in Hanoi
- General Secretary Nguyen Phu Trong leaves profound personal legacy
- Hanoi Party Committee, government pay tribute to martyrs, war invalids
- Hanoi officials pay tribute to General Secretary
- How fake news hooks us?
- General Secretary Nguyen Phu Trong and his lasting legacy in the hearts of Hanoi's citizens
- Lowering flag to half-mast in National Mourning for General Secretary Nguyen Phu Trong
- New legal framework enables Hanoi’s transformation
- Beloved Party Chief in hearts of Dan Phuong People
- Experts advise Hanoi to use AI to prevent fires
Trending
-
State Funeral held for Communist Party Chief Nguyen Phu Trong
-
Vietnam news in brief - July 26
-
Legal tools required to tackle air pollution issues in Hanoi
-
How fake news hooks us?
-
South Korean writer spends 10 years on book about CPV General Secretary
-
Rustic charm of Hanoi's street vendors: Timeless beauty
-
iHaNoi sees 52,000 registered accounts, 20,000 daily visits
-
Youth-Led Environmental Initiative in Hanoi
-
Unique lotus flower art on display in Hanoi