Illustrative image (Photo: VNA) Hanoi (VNA) - In a report on the prospects for the banking industry this year, analysts from the SSI Securities Corporation forecast that banking profits will bounce bank in 2021.
They estimated that pre-tax profit of banking stocks will grow 21 percent annually. State commercial banks will see a 30 percent rise in pre-tax profits compared to 17.2 percent in joint stock commercial banks.
It will be driven by expanded credit and slight improvements in net interest margins. SSI predicted that net profit will rise by 15 percent while credit will grow 12-13 percent year-on-year.
Banks will continue to benefit from deposit rates going down to 2-2.5 percent last year.
Sharing a similar view, analysts from the BIDV Securities Company (BSC) also attributed higher banking profits to economic recovery and good asset quality control following the COVID-19 pandemic.
They said pre-tax profits will grow 28 percent, added to by a 14 percent expansion in credit.
Restructured debts will not affect the quality of common assets in the sector.
Meanwhile, the VNDIRECT Securities Corporation said banks will be the first to benefit from economic recovery./.
