Sbv Vietnam

The central bank will continue instructing banks to reduce interest rates, share profits with businesses, and undertake debt restructuring with a greater sense of urgency.

The expansion of the credit room by 1.5-2 percentage points would mean an addition of VND156-200 trillion ($6.5-8.3 billion) being injected into the economy.

High lending rates may be unfavorable for businesses, but ensuring long-term macroeconomic stability is essential for them to recover and thrive.

The move is expected to help accommodate the momentum of the exchange rate and the pressure on foreign exchange reserves.

Credit loans would be provided for major petrol trading companies under the list of the Ministry of Industry and Trade, especially those who have been instructed to raise their petrol imports in the coming months.

Next year, the State Bank of Vietnam expects the credit expansion to be around 14%, slightly higher compared to this year, for which the central bank is committed to further restricting credit going into risky fields.