Stronger solutions needed to support businesses

Stronger solutions needed to support businesses

The State Bank of Vietnam and the Government must offer stronger solutions to resolve the current problems pertaining to debt structuring, interest rate reduction, and support to businesses facing crisis. 

News of reduced operating interest rate debunked

News of reduced operating interest rate debunked

As rumors surfaced that banks’ operating interest rate would be cut, Standing Deputy Governor of the State Bank of Vietnam, Dao Minh Tu affirmed that adjusting the operating interest rates or other monetary policy tools is not an appropriate solution for the current period.
Illustrative image (Photo: SGGP)

Credit limit increase will support economy

Many commercial banks have now extended their credit growth limit for 2021. This could be the best solution offered by the State Bank of Vietnam because currently monetary policies do not have much room and the brunt of reducing lending interest rates is falling on the economy.
Banks set conditions to lower interest rates

Banks set conditions to lower interest rates

The recent news by several Commercial Banks to lower lending interest rates can be considered good for businesses in particular and the economy in general. 
SBV demands interest rate reduction this month

SBV demands interest rate reduction this month

Deputy Governor of the State Bank of Vietnam (SBV) Dao Minh Tu has asked the Vietnam Banks Association (VNBA) to campaign lenders to slash interest rates immediately this month.

Flexible monetary policy helps recover credit growth amid pandemic

Flexible monetary policy helps recover credit growth amid pandemic

The State Bank of Vietnam (SBV) has flexibly operated monetary policy tools to maintain liquidity for the banking system, contributing to stabilising and recovering credit growth in the context of unpredictable impacts of the COVID-19 pandemic.

Illustrative photo.

Debate over amendment of Circular 01

 In January 2021, the State Bank of Vietnam submitted a draft amendment to the Ministry of Finance for some changes to Circular 01/2020, asking credit institutions to restructure the time limit for debt payment, exemption, reducing of interest and fees, and keeping the debt group intact to support customers affected by the Covid-19 pandemic.