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Credit growth is expected to approximate 14 percent |
However, the SBV still leaves open the question of whether it would adjust credit growth orientation pursuant to the country’s current situation to support businesses.
Meanwhile, the 2023 strategy report of many securities companies predicted that credit growth in 2023 will only reach about 13 percent. These companies announced that because of high lending interest rates, businesspersons dare not to borrow.
Besides, in the context of high interest rates, the feasibility of investment projects to expand the production of enterprises has also decreased. Banks, as borrowers, are certainly reluctant to provide loans to unfeasible projects.
This was shown in the State Bank of Vietnam’s latest survey that the same credit in the system is only expected to increase by 13.7 percent in 2025 by credit institutions.
In related news, analysts said that although there are still many pressures, the interest rate level, in general, is likely to gradually cool down from the second quarter of 2023; thereby, helping to reduce pressure on lending rates.
Currently, the group of state-owned commercial banks accounts for about 45 percent of the credit market share and capital mobilization market share of the system.
Therefore, the reduction of the deposit interest rate of this group of commercial banks will contribute to the reduction of the deposit interest rate level; thereby, helping banks to lower the cost of capital to reduce lending interest rates.
