This update was shared by Mr. Nguyen Duc Lenh, Deputy Director of the State Bank of Vietnam’s Ho Chi Minh City Branch. The credit growth rate for the same period in 2023 was 5.34%, 16.8% in 2022, 13.1% in 2021, and 9.1% in 2020. Of this, VND credit in the first seven months increased by 4.54% and 13.52% compared to the same period last year. Low-interest rates, along with business support solutions and effective credit programs for priority sectors, were the main factors influencing VND credit activities in the region during this period.
The slight decrease in credit in July 2024 was mainly due to short-term credit maturities and a reduction in foreign currency credit. However, the positive growth trend in the socio-economic situation and business operations, especially in key sectors driving economic growth, remains an important factor in maintaining and promoting credit growth.
Specifically, for the five priority sectors, including small and medium-sized enterprises, exports, agriculture & rural areas, supporting industries, and high-tech enterprises, the outstanding debt balance has reached VND 1,652 million billion, a 3.2% increase compared to the previous month. Of this, small and medium-sized enterprises account for 83% of the total outstanding debt in these five sectors, creating favorable conditions for business recovery and growth and contributing to the city’s economic development over time.
Regarding business support, by the end of July 2024, Ho Chi Minh City’s banking sector had organized 26 conferences to connect banks and businesses and disbursed credit packages worth VND 306,414 billion (out of VND 509,864 billion registered by 17 bank brands since the beginning of the year), equivalent to 60% of the package scale. This has benefited 97,138 customers, including businesses, business households, and cooperatives.
These efforts not only help resolve business difficulties but also facilitate the implementation of interest rate policies, debt restructuring to maintain debt groups, preferential credit packages, dialogues, and policy communication. They are also a solution to promote credit growth and a key task in the remaining months to achieve the targets and complete the tasks of the banking sector in the region for the year.
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