At the event (Photo: VNA) Hanoi (VNA) – Nearly 9.6 trillion VND (417.3million USD) worth of bad debts were handled each month from August 15, 2017 toAugust 31, 2019, or 4.7 trillion VND higher than that during the 2012 – 2017period.
Deputy chiefinspector of the Banking Supervision Agency under the State Bank ofVietnam (SBV) Nguyen Trong Du told a teleconference on October 15 to review thetwo-year implementation of the National Assembly’s Resolution No.42/2017/QH14on pilot settlement of bad debts by credit organisations and the PrimeMinister’s Decision No.1058/QD-TTg approving the project on restructuringcredit organisations associated with the settlement of bad debts for the 2016 –2020 period.
Du said as of August 31,2019, the rate of bad debts of the credit organisations system was 1.98percent.
From August 15, 2017 toAugust 31, 2019, the sector dealt with 236.8 trillion VND of bad debts inaccordance with Resolution No.42.
He said the SBV will continuefine-tuning the legal framework on monetary and banking activities, governanceand risk management regulations in the near future.
The sector will also restructureweak non-bank credit organisations and work closely with ministries andagencies on the effort, he added.
SBV Deputy Governor NguyenKim Anh said financial capacity of credit organisations has been strengthenedwith increasing chartered capital and transparency over the past two years,thus contributing to reducing bad debts.
Speaking at the event, DeputyPrime Minister Vuong Dinh Hue said the SBV set the goal of cutting bad debts to5 percent this year, and 3 percent next year, which is completely reachable.
He asked banks to take theinitiative in the process of restructuring and dealing with bad debts, in linewith law while sharing difficulties with businesses.
They must take measures toincrease chartered capital in order to ensure supply to the economy, closelycontrol bond issuance, and improve credit quality.
The leader suggested the SBVbuild a bad debt settlement scheme for poor and loss-making State projects andwork with the Finance Ministry to submit a plan to the government to raisecapital for State commercial banks.
He affirmed that thesettlement and restructuring of bad debts is also the responsibility of theentire political system, from the central to local level./.
Deputy chiefinspector of the Banking Supervision Agency under the State Bank ofVietnam (SBV) Nguyen Trong Du told a teleconference on October 15 to review thetwo-year implementation of the National Assembly’s Resolution No.42/2017/QH14on pilot settlement of bad debts by credit organisations and the PrimeMinister’s Decision No.1058/QD-TTg approving the project on restructuringcredit organisations associated with the settlement of bad debts for the 2016 –2020 period.
Du said as of August 31,2019, the rate of bad debts of the credit organisations system was 1.98percent.
From August 15, 2017 toAugust 31, 2019, the sector dealt with 236.8 trillion VND of bad debts inaccordance with Resolution No.42.
He said the SBV will continuefine-tuning the legal framework on monetary and banking activities, governanceand risk management regulations in the near future.
The sector will also restructureweak non-bank credit organisations and work closely with ministries andagencies on the effort, he added.
SBV Deputy Governor NguyenKim Anh said financial capacity of credit organisations has been strengthenedwith increasing chartered capital and transparency over the past two years,thus contributing to reducing bad debts.
Speaking at the event, DeputyPrime Minister Vuong Dinh Hue said the SBV set the goal of cutting bad debts to5 percent this year, and 3 percent next year, which is completely reachable.
He asked banks to take theinitiative in the process of restructuring and dealing with bad debts, in linewith law while sharing difficulties with businesses.
They must take measures toincrease chartered capital in order to ensure supply to the economy, closelycontrol bond issuance, and improve credit quality.
The leader suggested the SBVbuild a bad debt settlement scheme for poor and loss-making State projects andwork with the Finance Ministry to submit a plan to the government to raisecapital for State commercial banks.
He affirmed that thesettlement and restructuring of bad debts is also the responsibility of theentire political system, from the central to local level./.
VNA
