Central bank buys US$4 billion of currencies in Q1
Amidst the global uncertainties, the Central Bank has been buying back foreign currencies to ensure an adequate trade balance and economic stability.
Amidst the global uncertainties, the Central Bank has been buying back foreign currencies to ensure an adequate trade balance and economic stability.
Banks’ profits are expected to decline by a total of VND20.6 trillion (US$908.3 million) until late 2021 due to business support schemes during the pandemic.
Banks have foregone around VND31.4 trillion ($1.38 billion) in profits by lowering lending rates from January 23, 2020, to late October 2021.
A 0% deposit rate amid a high inflation rate would turn people away from banks and look for other investment channels such as real estate, securities, or gold with higher risks, stated an expert.
While western banks are having limited presence in Vietnam, their Asian peers have greater interests in the country.
Elevated consumer leverage could drag down future consumer spending, especially as labor market conditions have been severely impacted by the pandemic.
Credit pumping into real estate takes a large share in the total outstanding loans, following by corporate bonds and stock market.
Monetary policy should be maneuvered in a flexible and active manner to ensure sustainable growth and stability of both monetary and foreign-exchange markets, said the Party chief Nguyen Phu Trong.
In the first working day after a long holiday, customers often have high demand to open or withdraw money from saving accounts.
Banking sector is set to post a strong growth of 21-28% year-on-year in pre-tax profit in 2021, subsequently leading to higher value of banks stocks.