Bank credit capital flow promotes economic growth

Banks create favorable conditions and remove difficulties for businesses to access bank loans.

Economic loan efficiency

Acting Director of the State Bank of Vietnam, Region 15, Tran Van Phuoc, said that the provinces in Region 15 play an important role in the production of food, aquatic products, and fruits, contributing significantly to ensuring national food security, contributing greatly to the country's agricultural and aquatic product exports; being a major service and tourism center, a marine economic center of the country; and a bridge in regional economic integration. With the natural advantages of Region 15, including plains, islands, mountains, and borders with Cambodia, and support from specific policies, the four provinces in the region have emerged as bright spots in attracting investment and sustainable development.

With 682 transaction offices, 1,019 ATMs, 6,741 POS machines. The State Bank of Vietnam, Region 15 branch, has fully, promptly and effectively implemented monetary policies and monetary, credit and banking solutions suitable to the local situation and developments in the national monetary, credit and foreign exchange markets, especially interest rates, exchange rates and credit growth.

By the end of February 2025, capital mobilization in the region reached VND 275,954 billion. With locally mobilized capital, along with regulated capital from the headquarters of commercial banks, credit institutions have lent to the economy with a credit balance of VND 450,994 billion. Of which, priority sector loans accounted for 67.03%, reaching a credit balance of VND 302,308 billion; loans to other economic sectors accounted for 32.97%, reaching a credit balance of VND 148,686 billion. Interest rates on VND loans in the region decreased compared to the end of 2023 (a decrease of 0.8 - 1.8%/year).

The credit structure between domestic and foreign currencies, between short-term, medium-term and long-term is guaranteed and consistent with the capital structure and capital use of credit institutions in the region. Credit is focused on the production and business sector, which is the driving force for economic growth. This result is very important in the process of implementing the monetary policy objectives of the State Bank and the economic growth recovery program.

The achievements of the "flow" of bank credit capital have contributed to the construction and development of a safe agricultural, forestry and fishery supply chain model with safe food supply chains according to VietGAP; forming large-scale specialized and concentrated production areas for key products of the region (rice; seafood, fruits, vegetables, rice, sticky rice and tourism services) associated with linkage and consumption according to the agricultural value chain, ensuring quality and market demand. Accordingly, the efforts of the banking sector have contributed positively to the development of the province. According to the Provincial People's Committee, in the first 2 months of 2025, the province's main economic indicators maintained high growth rates, such as: Industrial production index increased by 3.92% over the same period; wholesale and retail sales of goods and services increased by 15.36%; export turnover of goods increased by 7.35% over the same period; Total revenue from tourism activities increased by 11%; budget revenue was 1,929 billion VND.

Removing difficulties to promote development

According to the State Bank, to boost bank credit and promote economic growth, it requires the efforts of provincial leaders and enterprises to join the banking sector and the support and facilitation of the political system of provincial governments. Thereby, to grasp and remove difficulties, boost credit, promote regional economic growth, ensure safe and smooth monetary, credit and banking activities to meet credit capital for double-digit growth.

Currently, banks are implementing many credit programs to support businesses with preferential interest rates. However, the ability of businesses to absorb capital is weak. Production and business activities of products that are the strengths of the locality have not yet fully exploited their advantages. Permanent Vice President of An Giang Business Association Nguyen Thi Kim Chi analyzed: “Most of the businesses in the Region 15 community are not only small and medium, but also small and micro enterprises, accounting for over 90% of the total economy. These are the groups that face many difficulties, especially when needing to access bank credit capital, because it is difficult to meet the conditions and procedures for applying for a loan”.

To solve the problem of effective credit expansion, An Giang Business Association proposes: When the Government issues policies to support businesses, there should be separate regulations for small and micro businesses, especially policies to support access to capital through funds; 6 months of preliminary assessment of the level of businesses accessing preferential policies, to have timely adjustment solutions. During the recent COVID-19 pandemic, An Giang businesses were excited about the program to support businesses with zero-interest loans to pay workers' salaries, but only 11 businesses out of 8,000 businesses in the province had access to this support package, which is too limited.

An Giang Business Association proposed that banks accelerate the implementation of preferential credit programs under the direction of the Government and the Prime Minister, remove difficulties for businesses, pay attention to beneficiaries who are small and medium enterprises, and focus credit capital on priority areas for these subjects. At the same time, continue administrative reform; improve lending processes, loan procedures, etc.

HANH CHAU

Source: https://baoangiang.com.vn/-dong-chay-von-tin-dung-ngan-hang-thuc-day-tang-truong-kinh-te-a417563.html