Governor of the State Bank of Vietnam (SBV) Nguyen Thi Hong has issued Directive No.01/CT-NHNN on organising the implementation of the key tasks of the banking sector, with a focus on improving credit quality and tightly controlling loans to potentially risky industries.
Banks’ pre-tax profits this year will remain relatively positive but are yet to be sustainable as banks haven’t set up contingency reserves for restructured debts.
Many banks have recently offered to sell mortgaged assets, mainly real estate, worth billions of VND, to recover debts amid the recovery of the realty market.
Minister of Finance Ho Duc Phoc on November 12 answered National Assembly deputies’ questions related to fiscal policies, State budget collection, public debts and budget overspending.
Laos will use revenue earned from potential mining operations, restructured state enterprises and from other as yet untapped sources to pay public debts amounting to almost 14 billion USD.
Members of the National Assembly (NA) Standing Committee gave their opinions on the drafts of the socio-economic development plan, national financial plan, plan on borrowing and repayment of public debts and mid-term public investment plan for the 2021-2025 period during their sitting on July 13.
The State Bank of Vietnam (SBV) has warned commercial banks about rising bad debts and loans from large corporate customers whose credit values top 500 billion VND (21.5 million USD) each.
The State-owned Vietnam Maritime Corporation (VIMC) plans to earn some 10.8 trillion VND (nearly 469 million USD) in revenue this year and post 944 billion VND in consolidated profit, its shareholders’ meeting in Hanoi on April 22 heard.
The Asia Commercial Joint Stock Bank (ACB) has set a growth target of over 10 percent in pre-tax profit to more than 10.6 trillion VND (461.5 million USD) this year.
The Technological and Commercial Joint Stock Bank (Techcombank) has set a target of posting consolidated pre-tax profit of 19.8 trillion VND (863.76 million USD) this year, a year-on-year surge of 25.3 percent.
The public sector’s external short-term debts (government debts and government guarantee) are under strict control, with their share in Vietnam’s external debt structure declining rapidly, said Vo Huu Hien, Deputy Director of the Ministry of Finance's Debt Management and External Finance Department, at a workshop on January 26.
Vietnam has recorded significant achievements in managing national foreign debts over the past three decades, said an official at a workshop on the issue held in Hanoi on January 26.
Banks will have to set aside money for potentially unrecoverable COVID-19 affected loans from this year, according to an amended circular drafted by the State Bank of Vietnam (SBV).
The Joint Stock Commercial Bank for Foreign Trade of Vietnam (Vietcombank) recorded a bad debt ratio of 0.6 percent last year, the lowest so far and in the sector, compared to 0.78 percent in 2019.
The State Bank of Vietnam (SBV) has proposed expanding the Vietnam Asset Management Company's (VAMC) operations, saying the agency should purchase and sell bad debts and assets of all sectors in the economy.
Non-performing loans (NPLs) among commercial banks increased sharply in the first three quarters of this year due to the adverse impacts of the COVID-19 pandemic.
The Politburo has decided to give a warning to Politburo member, Secretary of the Party Central Committee and head of the Party Central Committee’s Economic Commission Nguyen Van Binh as a disciplinary measure for his mistakes during the time he served as Governor of the State Bank of Vietnam.
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