Economists and other business leaders on July 15 hailed the newly amended laws adopted by the National Assembly on the State Bank of Vietnam and credit organisations, saying they are critical for sustainable economic growth.
Speaking at a seminar in HCM City, the former governor of the State Bank of Vietnam, Cao Si Kiem, said the amended law on the State Bank has identified the bank’s specific responsibilities and tasks.
Kiem, who is also chairman of the Vietnam Small-and Medium-sized Enterprises Association, said that under the new law the State Bank would supervise and inspect commercial banks and the circulation of foreign currency.
In addition, the law requires the bank to be transparent in its dealings and information, and demands that it forecast risks and offer advantageous policies for businesses and the general public.
Another amended law that affects business growth positively gives credit organisations financial autonomy, and allows them to develop an organisational network, generate capital and choose their operation scale. “To increase business competitiveness in domestic and global markets, Kiem said, “banks in general need to invest in modern technology, especially for payments, to ensure security and quality services for businesses and customers.”
In addition, he said “ there is a need for new management of foreign exchange and the use of the Vietnamese dong instead of heavy dependence on the US dollar, which tends to fluctuate.”
Kiem said during the NA’s last session, deputies discussed related banking issues that could affect the business community, including capital, interest rates, the exchange rate, and transparent procedures.
He pointed out that lower interest rates on loans are needed to ease credit for businesses, and noted that capital should be distributed in a timely manner.
Kiem said, “ the deposit interest rate is expected to reach 10 percent, and the lending interest rate, 12 percent.”
Also speaking at the seminar was Le Tham Duong, head of the Banking University’s Business Administration Department, who noted that,” lower interest rates would benefit exporters, especially those in the agro-forestry and fishery industries.”
He said that specific solutions to improve linkages between businesses and banks must be proposed and developed./.
Speaking at a seminar in HCM City, the former governor of the State Bank of Vietnam, Cao Si Kiem, said the amended law on the State Bank has identified the bank’s specific responsibilities and tasks.
Kiem, who is also chairman of the Vietnam Small-and Medium-sized Enterprises Association, said that under the new law the State Bank would supervise and inspect commercial banks and the circulation of foreign currency.
In addition, the law requires the bank to be transparent in its dealings and information, and demands that it forecast risks and offer advantageous policies for businesses and the general public.
Another amended law that affects business growth positively gives credit organisations financial autonomy, and allows them to develop an organisational network, generate capital and choose their operation scale. “To increase business competitiveness in domestic and global markets, Kiem said, “banks in general need to invest in modern technology, especially for payments, to ensure security and quality services for businesses and customers.”
In addition, he said “ there is a need for new management of foreign exchange and the use of the Vietnamese dong instead of heavy dependence on the US dollar, which tends to fluctuate.”
Kiem said during the NA’s last session, deputies discussed related banking issues that could affect the business community, including capital, interest rates, the exchange rate, and transparent procedures.
He pointed out that lower interest rates on loans are needed to ease credit for businesses, and noted that capital should be distributed in a timely manner.
Kiem said, “ the deposit interest rate is expected to reach 10 percent, and the lending interest rate, 12 percent.”
Also speaking at the seminar was Le Tham Duong, head of the Banking University’s Business Administration Department, who noted that,” lower interest rates would benefit exporters, especially those in the agro-forestry and fishery industries.”
He said that specific solutions to improve linkages between businesses and banks must be proposed and developed./.
