The Consensus Among Banks: Maintaining Stable Interest Rates for Sustainable Growth

Banks Commit to Reducing Lending Rates
, Proposing Additional Support Mechanisms

At the Conference on Deploying Solutions to Stabilize Deposit Interest Rates and Reduce Lending Rates, representatives from several banks shared their practical experiences and proposed recommendations to more effectively support the economy.

Mr. Le Quang Vinh, CEO of Vietcombank, stated that Vietcombank has consistently maintained stable deposit interest rates, thereby securing preferential capital sources to support businesses and individuals. He proposed that the SBV consider reducing and stabilizing deposit interest rate ceilings. Notably, Vietcombank also suggested that the SBV coordinate with the Ministry of Finance to adjust the ratio of State Treasury deposits to support capital sources. This proposal aims to provide commercial banks with additional capital leverage to bolster the economy amid rising credit demands and enhance banks’ capacity to supply capital.

Agribank’s CEO, Mr. Pham Toan Vuong, mentioned that Agribank had reduced its average lending rates by nearly 0.5% and launched multiple preferential credit packages with a total scale of up to VND 500,000 billion.

Agribank is committed to maintaining interest rate levels, even during the restructuring of its operational areas in 34 new provinces and cities. Simultaneously, Agribank’s leadership proposed that the SBV strengthen policy implementation supervision to ensure fairness among credit institutions, guarantee liquidity, and support sustainable credit growth.

BIDV’s CEO, Mr. Le Ngoc Lam, revealed that in the first seven months, BIDV had reduced its income by approximately VND 3,000 billion to support lending rate reductions. BIDV’s deposit interest rates have decreased.

Additionally, the bank’s leadership proposed that the SBV increase the electronic lending limit from the current level (VND 100 million) to a higher amount to meet practical needs and reduce credit costs.

Mr. Pham Quang Thang, Techcombank’s Deputy CEO, shared that the bank had achieved a 10.6% credit growth in the first six months, primarily serving businesses. Lending rates decreased by 0.6%, while deposit interest rates dropped slightly by 0.09% compared to February and remained stable.

The bank did not adjust lending rates but instead modified the structure among customer groups to ensure fairness. Listed interest rates remained unchanged, and average interest rates were sustained through a reasonable capital structure.

“Techcombank continues to restructure its organization, enhance digitization processes to save costs, and reduce credit inputs. Simultaneously, we propose increasing the electronic lending limit, currently restricted to VND 100 million. A higher limit would contribute to reducing operating costs and accelerating credit disbursement,” said Mr. Pham Quang Thang.

Mr. Nguyen Viet Anh, TPBank’s Deputy CEO, appreciated the SBV’s flexible and responsible management role. TPBank is undergoing restructuring, reducing hierarchies, and investing in digital banking to automate processes, reduce costs, and lay the foundation for lowering lending rates.

The bank has diversified its capital mobilization, increased non-term deposits (CASA), foreign capital, maintained low interest rates, and stabilized capital mobilization. In the last six months, TPBank pledged to maintain stable interest rates to support production, consumption, and exports.

High Credit Growth, Efforts to Reduce Lending Rates

Ms. Pham Thi Trung Ha, Deputy CEO of Military Bank, stated that, from the beginning of the year, MB had developed credit growth plans for critical sectors of the economy and actively participated in preferential credit programs and new initiatives from the SBV.

According to Ms. Ha, MB has implemented specific solutions to promote credit, especially in production and business activities and support for individuals. However, there is a decreasing trend in home loan lending to individual customers. Nevertheless, production credit has increased significantly, making a considerable contribution to GDP growth in the first half of the year.

To maintain low lending rates, MB focuses on cost-cutting, digital transformation acceleration, and strict adherence to the SBV’s directives. Simultaneously, Ms. Ha emphasized the need for synchronized management of deposit interest rates to avoid disruptions in customer and market psychology caused by a few banks.

MB’s representative appreciated the SBV’s proactive approach in amending Circular 39, creating a legal framework for electronic lending. MB is ready to collaborate and share its implementation experience, especially in controlling electronic lending tools and forms of automatic credit granting based on data and analytical models.

According to MB’s representative, with comprehensive data and analytical tools, banks can improve their ability to proactively grant credit to individual and super-small business customers, thereby better supporting the economy.

Regarding data connectivity, MB proposed that the SBV assign the Vietnam Credit Information Center or a specialized unit to coordinate with credit institutions to identify needs and connect data from sectors outside the banking industry, such as the e-government system, tax and social insurance agencies, and industry associations. Having a specific focal point will help clearly define requirements and build a robust data system to enhance credit evaluation effectiveness.

Additionally, MB recommended that the SBV provide early warnings about industries, businesses, and customer segments that may pose risks to ensure that credit growth is accompanied by safety controls.

“Commercial banks also have internal information, but a single bank’s data is insufficient. Information sharing across the system is necessary to ensure prudent credit granting and long-term sustainable development,” said MB’s representative.

HDBank’s leadership shared that, amid global geopolitical and economic fluctuations, the SBV has proactively and flexibly managed, maintained liquidity stability, and facilitated credit institutions in stabilizing interest rates and gradually reducing lending rates.

HDBank recorded its highest-ever credit growth. This growth focused on priority sectors such as agriculture, high technology, infrastructure, digital transformation, and green development, and consumption.

“Rural and secondary urban areas account for 52% of our total loans, demonstrating our commitment to local economic development. Lending rates for individual customers decreased by 0.8%, and corporate customers by 0.5%. HDBank also actively participates in key programs such as social housing, rice in the Mekong Delta region, and digital technology, with a total outstanding balance of over VND 32,000 billion,” said HDBank’s leader.

The bank also strengthens its support for technology investment funds in AI and blockchain and maintains flexible policies for customers. HDBank will introduce an attractive promotional package to celebrate the upcoming National Day on September 2nd.

VPBank’s representative shared that the bank always strictly adheres to the Government’s and SBV’s orientations. In the first six months, VPBank significantly reduced deposit interest rates for both short- and long-term deposits. The average lending rates for individual customers decreased by approximately 0.79%, and corporate customers by 0.22%.

VPBank’s priority sectors witnessed substantial credit growth: a 19.4% increase in SME lending, a 34.4% rise in green credit, a 30% expansion in trade finance, and a 200% surge in project home lending.

VPBank also recorded a 27% increase in individual customer deposits and has disbursed international loans for sustainable development. “However, since July, the deposit growth rate has shown signs of slowing down as funds are diverted to investment channels such as securities and real estate. Therefore, government agencies need to accelerate public investment disbursement, increase flexibility in interest rate management, and consider relaxing the LDR (loan-to-deposit ratio) to support system liquidity,” said VPBank’s representative.

Mr. Nguyen Quoc Hung, Vice Chairman and General Secretary of the Vietnam Bankers Association, appreciated Circular 14/2025 of the SBV, which allows banks to be autonomous in risk management, thereby reducing interest rate pressure.

Mr. Nguyen Quoc Hung affirmed: “The Association will continue to encourage credit institutions to agree with the orientations of the SBV and the Government, maintain stable deposit interest rates, and reduce lending rates in line with each bank’s capacity.”

“In a challenging context, the banking industry has demonstrated its role in effectively leading capital flows. With commitments from many parties and the SBV’s close management, expectations for stable interest rates and sustained credit growth remain firmly in place,” said Mr. Nguyen Quoc Hung.