Positive credit growth: Clear signs of economic recovery

SGGPO 09/15/2023 14:03

Credit continues to focus on production, business, trade, services and tourism, accounting for 67% of total outstanding credit in the area.

On September 15, Mr. Nguyen Duc Lenh, Deputy Director of the State Bank of Ho Chi Minh City, said that according to the latest updated data, in the first 8 months of 2023, credit in Ho Chi Minh City increased by 3.26%, reaching VND 3,331 trillion compared to the end of 2022. Although this is a low growth rate compared to the same period in 2022, credit continues to focus on production, business, trade, services and tourism, accounting for about 67% of total outstanding credit in the area. Up to now, outstanding short-term loans in VND for 5 priority sectors, with preferential interest rates, have reached about VND 188 trillion for 17,827 customers who are enterprises, business households and cooperatives with loan interest rates not exceeding the prescribed level of 4%/year.

In addition, credit activities in Ho Chi Minh City in the first 8 months of the year were associated with business support activities by organizing and implementing well policies on interest rates; debt restructuring, maintaining debt groups; supporting 2% interest rates according to Decree 31 of the Government and Circular 03 of the State Bank. Accordingly, the outstanding debt restructuring, maintaining debt groups reached over 34,000 billion VND with more than 25,000 borrowers. In addition, credit institutions in Ho Chi Minh City also disbursed a 2% interest rate support package of 20,954 billion VND to 350 customers in the fields of aviation; transportation and warehousing; processing and manufacturing industry, tourism, accommodation and catering services; implementing social housing construction projects, etc.

Mr. Nguyen Duc Lenh said that difficulties in the commodity market, export market and real estate market have had a certain impact on credit growth. However, positive points have begun to appear, policies have taken effect and credit has increased again in August 2023; some sectors have recovered and grown, along with seasonal factors at the end of the year and Lunar New Year, which will be the driving force for credit growth in the remaining months of the year.

Source: https://www.sggp.org.vn/tang-truong-tin-dung-tich-cuc-dau-hieu-kinh-te-phuc-hoi-ro-net-post705716.html