VIETNAM, December 31 –
Deputy Prime Minister Lê Minh Khái addresses the conference. Photo VNA / VNS
HÀ NỘI – The entire banking sector must implement effective monetary and credit policies to contribute to the development of production and business and support the recovery of the economy, said Deputy Prime Minister Lê Minh Khái.
At a banking sector conference in Hà Nội on Wednesday, Khái said the State Bank of Vietnam (SBV) should further reduce loan interest rates, especially for priority industries and sectors, in addition improve credit quality and stimulate lending for production, business and infrastructure projects.
It is also necessary to promote the development of consumer credit to help reduce loan sharks and crimes on loan applications, he said.
In addition, the SBV should tightly direct banks to have plans and solutions to manage and keep under control their bad debt rates in the banking system, which will help ensure that the banking system operates in a safe, sound and sustainable manner. , noted Khái.
According to SBV Deputy Governor Ào Minh Tú, the spread of the Omicron variant has made it difficult to forecast the global economic outlook and inflation in 2022, posing many challenges for the Vietnamese banking sector.
Therefore, according to Tú’s forecasts, the SBV’s monetary policy management next year will be strongly influenced by inflationary pressures, especially in the context of an accommodative monetary policy in recent years.
Next year, the banking sector will also experience a greater impact on the growing risks of debt collection. If we include debts whose repayment terms have been restructured or interest rates reduced in accordance with SBV circular 01/2020 / TT-NHNN, the bad debt rate of the banking system is around 7 , 31% to date, Tú said.
He was also concerned if there was no timely and effective fiscal policy support, excessive credit size expansion and preferential interest rate programs may cause difficulties not only for the management of the monetary policy of the SBV, but also for the country’s strategy on improving the financial soundness of banks. .
The current policies of restructuring and postponing the debt payment deadline are a temporary and necessary solution in the short term, but extending the restructuring deadline will be risky for the banking system in the medium term, Tú explained, adding the warning. Implementing many credit packages with different prime interest rates will also distort the interest rate and credit markets.
As for increasing the capital of banks, Tú said there is a need to increase the registered capital of state banks to help them have enough capital to implement the government’s many preferential credit programs. ; lend to large key national infrastructure projects in the areas of electricity, build-operate-transfer (BOT), transport, airports and seaports; or increase loans for priority areas of the Government such as agriculture and rural areas, import-export, small and medium enterprises.
During the conference, the chairman of the Vietnam Commercial Joint-Stock Bank for Investment and Development (BIDV), Phan Đức Tú, also suggested to the relevant authorities to create conditions for banks to increase their registered capital and increase the capital adequacy ratio. – VNS