Vietnam’s four-month credit growth slows to 1.32% vs 3.23%

Khanh Minh Wednesday | 05/06/2020 13:30

Vietnam’s four-month credit growth slower to 1.32%. Photo: infomoney.vn

Vietnam recorded a slower pace in credit growth which was at 1.32% as of April 28 from end of 2019, State Bank of Vietnam Governor Le Minh Hung told the government meeting.

Credit grew 3.23% in the same period last year and 5% in the same period of 2018. Credit has been growing slower recently due to the impacts of the public health crisis.

During the meeting, the central bank governor said the banking system reschedule debt repayment for 170,000 customers with a total outstanding loan of VND130,000 billion.

The macroeconomic indicators in the 4-month period were maintained stably, reported the Ministry of Planning and Investment.

The credit market fully and promptly responded to market demand and liquidity. As of April 22, the total means of payment increased by 12.6% over the same period while capital mobilization increased by 12.16%.

Before the coronavirus outbreak was reported, Vietnam planned 2020 credit to grow 14% from end of 2019 and bad debt ratio was projected below 2%.

At the same meeting, Prime Minister Nguyen Xuan Phuc ordered prompt resumption of socio-economic activities after drastic measures have helped push back COVID-19 outbreaks.

Though the International Monetary Fund had forecasted that the Vietnamese economy may enjoy the highest growth in Southeast Asia this year, with 2.7%, PM Phuc called for doubling efforts to achieve a growth rate of 5% in order to ease pressure on job creation, poverty reduction, and social security guarantee.

► Vietnam wants its biggest city to achieve 6.7 percent growth in 2020