Credit growth in the first 7 months was 8.84%.

By the end of July 2024, the total outstanding credit balance in Hanoi reached VND 3,937 trillion, an increase of 1.12% compared to the previous month and an increase of 8.84% compared to the end of 2023.

Of this, short-term loans reached VND 1,682 trillion, an increase of 1.38% and 11.76%; medium-term and long-term loans reached VND 2,255 trillion, an increase of 0.93% and 6.77%.

Outstanding loans under credit programs in Hanoi City are as follows: loans under the bank-enterprise connection program account for 14.5% of the total outstanding loans to the economy ; loans to small and medium-sized enterprises account for 18.9%; the agriculture and rural development program accounts for 8.93%; export loans account for 5.14%; loans for supporting industries account for 2.32%; loans for high-tech enterprises account for 0.36%; and social policy loans account for 0.43%.

Regarding capital mobilization, by the end of July 2024, the total mobilized capital of credit institutions in Hanoi was estimated at VND 5,436 trillion, an increase of 1.45% compared to the previous month, and an increase of 1.87% compared to the end of 2023.

Of this, deposits reached VND 4,821 trillion, an increase of 1.61% and 3.22%; the issuance of securities reached VND 615,000 billion, an increase of 0.18% and a decrease of 7.6%.

In July, the State Bank of Vietnam continued to encourage credit institutions to reduce costs and implement a policy of lowering lending interest rates to support people and businesses in accessing bank credit. The average lending interest rate of domestic commercial banks for existing and new loans with outstanding balances was 7.3-9.5% per year.

The maximum short-term lending interest rate in VND for certain priority sectors ( agriculture , rural areas, exports, small and medium-sized enterprises, supporting industries, high-tech enterprises) averages approximately 3.6% per year, as stipulated by the State Bank of Vietnam.

Interest rates on deposits are generally at 0.1 - 0.5% per year for demand deposits and deposits with maturities of less than 1 month; 2.6 - 4.5% per year for deposits with maturities from 1 month to less than 6 months; 3.9 - 6% per year for deposits with maturities from 6 months to less than 12 months; and 5.1 - 6.5% per year for maturities of 12 months or more.

As of the end of July 2024, the non-performing loan ratio of credit institutions accounted for 2.1% of total outstanding loans. According to the State Bank of Vietnam's Hanoi branch, credit institutions in the area focused on credit growth, offering many preferential credit programs and packages, and applying flexible interest rate policies. The liquidity situation of credit institutions in the area was ensured.

Source: https://baodautu.vn/ha-noi-7-thang-tin-dung-tang-884-d221068.html