Loans totaling nearly VND1.51 quadrillion were made by credit institutions in the first 11 months of 2024. All eyes are on whether interest rates will come under pressure in the rest of the year as credit has been expanding. Year-end adjustments and diverging paths On November 28, the State Bank of Vietnam (SBV) announced a second round of credit growth quota upward adjustments for certain banks in 2024. This followed the first round of adjustment in late August and was initiated by the SBV without requests from commercial banks. On November 27, Prime Minister Pham Minh Chinh issued Official Dispatch No. 122/CD-TTg, directing the SBV governor to strengthen credit management solutions to meet the annual credit growth target. At the start of 2024, the SBV set a 15% credit growth target for the banking sector. However, credit growth among banks has varied, with some institutions already reaching the target. This prompted the SBV to raise credit growth quotas for banks proactively, aiming to ensure the banking sector achieves the full-year goal. As per the consolidated financial report for the third quarter of 2024, 12 of the 27 banks that have disclosed their data achieved credit growth exceeding 13% compared to […]
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