Bank capital contributes to promoting private economy

On March 21, 2025, in Hanoi, Banking Times organized the Workshop "Bank capital contributes to promoting the private economy".

The workshop was attended by Deputy Governor of the State Bank of Vietnam Dao Minh Tu; leaders of units under the State Bank of Vietnam, economic experts, scientists; representatives of ministries, branches, credit institutions and news agencies.

The workshop is an important opportunity to evaluate the achievements of the private economic sector, and is also a forum for managers, scientists, bankers, and businesses to discuss and find practical solutions to strongly promote the development of this sector.

Deputy Governor of the State Bank of Vietnam Dao Minh Tu spoke, emphasizing the role of bank capital in promoting private economic development.

Opening the Workshop, Permanent Deputy Governor Dao Minh Tu highly appreciated this event, this is a topic that is of interest to the whole country to reposition the role of the private economy in economic development.

Reiterating General Secretary To Lam's recent message on private economic development, Mr. Dao Minh Tu said that the private economy is not only a component of the economy, but also the leading driving force for growth and innovation and contributes to national GDP growth.

Recognizing the importance of the private economic sector to the development of the economy, in recent times, the banking sector, as the "bloodline" of the economy, has introduced many policy mechanisms, especially credit with reasonable interest rates to help businesses expand production and business and improve competitiveness.

Accordingly, the State Bank of Vietnam continues to implement solutions to remove difficulties in accessing bank credit, especially for small and medium enterprises.

By the end of 2024, outstanding credit balance for private enterprises at credit institutions will reach about VND 6.91 million billion, up 14.72% compared to 2023, accounting for about 44% of outstanding credit balance in the economy. Of which, outstanding credit balance for small and medium enterprises will reach VND 2,746,308 billion, up 10.7% compared to the end of 2023.

"This shows that bank credit capital has promptly met the capital needs for production and business purposes of private enterprises, while contributing to promoting economic development and increasing revenue for the State budget " - the Permanent Deputy Governor of the State Bank of Vietnam informed and emphasized that, up to now, the private economic sector contributes nearly 50% of GDP, about 30% of state budget revenue and attracts about 85% of the workforce.

The workshop is a forum for managers, scientists, bankers, and businesses to discuss and find practical solutions to strongly promote the development of the private sector.

Along with solutions to remove difficulties in accessing credit, the State Bank of Vietnam also regularly directs credit institutions to effectively expand credit, increase access to credit capital for businesses; requires credit institutions to reduce operating costs to reduce lending interest rates to support the economy in general, and the private economic sector in particular, to develop, contributing to promoting growth.

Not only providing capital support, banks also help businesses access new technology, expand production scale and improve their competitive position both domestically and internationally... These solutions are becoming important catalysts promoting the strong development of the private economic sector, creating sustainable values ​​for the economy.

However, according to Mr. Dao Minh Tu, although the private economic sector has developed strongly, businesses still face many difficulties. In particular, the scale of businesses is still small, with only 2% of private businesses being large enterprises, while the majority are small and medium enterprises and micro enterprises.

This leads to limitations in financial resources and competitiveness. This is also one of the reasons why access to capital for businesses, especially small and medium enterprises, still faces many difficulties.

Therefore, through this workshop, the Permanent Deputy Governor hopes that the speakers and delegates will discuss and find practical solutions to remove obstacles so that bank capital can be used more effectively and contribute more to the development of the private economic sector.

Mr. Dao Minh Tu also suggested that experts, delegates, and businesses discuss and frankly exchange about policy mechanisms, create synchronization, and promote private economic development...

Industry and Trade Newspaper will continue to update information about the conference...

By the end of 2024, outstanding credit balance for private enterprises at credit institutions will reach about VND 6.91 million billion, up 14.72% compared to 2023, accounting for about 44% of outstanding credit balance in the economy. Of which, outstanding credit balance for small and medium enterprises will reach VND 2,746,308 billion, up 10.7% compared to the end of 2023.

Thuy Linh - Hoang Hoa