Nearly 9.6 trillion VND (417.3 million USD) worth of bad debts were handled each month from August 15, 2017 to August 31, 2019, or 4.7 trillion VND higher than that during the 2012 – 2017 period.
The World Bank (WB) and the State Bank of Vietnam (SBV) on October 1 inked a grant agreement worth 2.2 million USD to implement a project aimed at strengthening the soundness and resilience of Vietnam’s banking sector.
The State Bank of Vietnam (SBV)’s Governor or the directors of SBV’s municipal and provincial branches will be able to lace credit institutions under the SBV’s special control, starting from next month.
The Vietnam Technological and Commercial Joint Stock Bank (Techcombank) plans to issue more than 3.5 million shares for its employees in the form of an employee stock ownership plan (ESOP) at the price of 10,000 VND per share.
Though many banks have posted positive profits in the first half of 2019, their bad debts have continually increased in the wake of high credit growth in risky business segments.
The Ho Chi Minh City Development Joint Stock Commercial Bank (HDBank) has reported a record pre-tax profit of 2,211 billion VND (94.26 million USD) in the first half of the year.
The Vietnam Technological and Commercial JSC (Techcombank) has been named the Best Payments Bank in Vietnam in 2019 by the Asian Banker thanks to its use of high technology in providing payment solutions to customers.
The Government has asked the Ministry of Planning and Investment (MPI) to focus on removing difficulties and speeding up the progress of public investment disbursement.
The Vietnam Asset Management Company (VAMC) is planning to develop a new strategy for buying and selling bad debts in Vietnam this year, in which it will play a central role to promote the development of the debt trading market.
The Ministry of Transport (MoT) is set to propose to the Government a draft plan on fee increases at BOT (Build-Operate-Transfer) toll booths in response to declining revenue.
Debt trading among credit institutions and the Vietnam Asset Management Company (VAMC) has been conducted for years, but there have not been any debt trading activities among credit institutions.
Private organisations will be encouraged to provide credit information in Vietnam to improve transparency in the credit information market, under a new draft decree.
The financial capacity of Vietnam’s credit institutions has solidified in recent years, with their charter capital reaching 578.9 trillion VND (24.85 billion USD) by the end of the first quarter 2019.
Most State-owned enterprises were operating at a profit but still needed to improve their operational efficiency, according to a report by the State Audit Office of Vietnam (SAV).
The Vietnam Asset Management Company (VAMC) plans to handle some 50 trillion VND (2.14 billion USD) worth of bad debts in 2019, and issue special bonds to purchase 20 trillion VND (856 million USD) of non-performing loans.
The recovery of stolen assets in corruption and economic crimes has not met expectations with only 17.26 percent of lost money in Vietnam dong and 59.48 percent of lost money in foreign currencies reclaimed during the period from 2013 to September 2018.
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