The State Bank of Vietnam (SBV) will launch more effective credit programs to support agricultural production and improve local livelihoods, making contributions to boosting economic growth while wiping out black credit in rural areas. The SBV will promote credit programs to support agricultural production - Photo: VNA SBV Deputy Governor Dao Minh Tu said high-tech agricultural development programs as well as agricultural production in value chain to increase added value will be prioritised as part of the agricultural shake-up project. Theo VNA … [Read more...] about State Bank of Vietnam promotes credit programs for rural areas
State bank of vietnam
State Bank of Vietnam promotes credit programmes for rural areas
The State Bank of Vietnam (SBV) will promote credit programmes to support agricultural production. (Photo: VNA) Hanoi (VNA) – The State Bank of Vietnam (SBV) will launch more effective credit programmes to support agricultural production and improve local livelihoods, making contributions to boosting economic growth while wiping out black credit in rural areas. SBV Deputy Governor Dao Minh Tu said high-tech agricultural development programmes as well as agricultural production in value chain to increase added value will be prioritised as part of the agricultural shake-up project. “The SBV sees agriculture and rural areas as top priority in its credit programme. It has directed credit institutions to improve procedures for loan access and paid due attention to branching out mobile banking model in remote areas, creating favourable conditions for local people to have better access to capital and other banking services,” Tu said. Currently, 70 commercial banks, … [Read more...] about State Bank of Vietnam promotes credit programmes for rural areas
Banks in Vietnam expect improved business performance in fourth quarter
The Hanoitimes - Around 88% of credit institutions expect to have a higher pre-tax profit in 2018 compared to 2017. Around 80% of credit institutions predict improved business performance in the fourth quarter of 2018 and 84.2% see an overall improvement in their business performance in 2018, according to the State Bank of Vietnam (SBV). Illustrative photo. Of the 84.2%, 23 - 30.5% expect "much improvement", according to the third-quarter survey conducted by the SBV on business trend among credit institutions in September. According to the survey, most credit institutions witnessed positive growth rate in their business results in the third quarter, albeit at a lower rate compared to the previous one, and set higher targets for this year. The survey also showed that 72.6% of credit institutions saw improvement in their business performances in the third quarter compared to the previous one, in which 15.8% stated "much improvement". Around 88% of credit … [Read more...] about Banks in Vietnam expect improved business performance in fourth quarter
Deposit Insurance of Vietnam boosts premium collection
(VEN) - In the first six months of this year, premiums collected by Deposit Insurance of Vietnam (DIV) were 16 percent higher than in the same period last year. Deposit safety The state-owned agency, created in 2013, aims to protect the rights and legitimate interests of depositors and contribute to national financial health and growth of the banking system. In the first half of 2018, DIV provided deposit insurance for 1,282 institutions, including 94 banks and foreign bank branches, one cooperative bank, 1,183 people’s credit funds and four microfinance institutions; issued eight new deposit insurance certificates; re-issued eight certificates and 96 copies of certificates for insured credit institutions; revoked one certificate; and updated information on 129 certificates. In so doing, DIV met the demand of credit institutions and strengthened public trust in the national banking system. DIV has dealt with problems arising in the process of calculating and collecting … [Read more...] about Deposit Insurance of Vietnam boosts premium collection
Vietnam’s top state banks struggle to increase capital to meet global norms
The second Basel Accords, or Basel II, prescribe capital of 8 percent of risk-weighted assets for all financial institutions, including in Vietnam, to cover operational risks. The National Financial Supervisory Commission found that Vietnamese banks need to increase their charter capital by 1.8-2 times to meet the Basel capital adequacy ratio (CAR). They include three of the four biggest lenders, BIDV, Vietcombank and Vietinbank. BIDV, Vietnam's biggest bank by assets, currently has total assets of VND1,270 trillion ($54.3 billion) but capital of nearly VND34.19 trillion ($1.46 billion), which has remained unchanged since 2015. BIDV’s CAR is now only 9 percent according to VietCapital Securities, which is “close to dangerous” if compared to Basel II standard, the bank’s CEO, Phan Duc Tu, said. In the last three years the bank has been making three or four plans each year to increase charter capital, but none of them have been successful. In 2016 BIDV and … [Read more...] about Vietnam’s top state banks struggle to increase capital to meet global norms