Vietnam could raise its annual credit growth this year to 17 percent to ensure an economic growth of more than 6 percent, a local newspaper reported on Wednesday, quoting the central bank governor. "A strong rise or fall of oil prices will have adverse impact on the stability of the macro economy," State Bank of Vietnam governor Nguyen Van Binh was quoted as saying by the Tin Tuc (News) daily, which is run by the official Vietnam News Agency. "If in case it is necessary to support growth when oil prices have adverse changes, we could adjust (the target) to around 17 percent to ensure the economy to grow above 6 percent while the macro-economic stability is maintained," Binh was quoted as saying. Binh could not be reached for comments. Loans at the end of February grew 0.68 percent from the start of 2015, the central bank said in a statement on Tuesday, compared with a drop of 1.16 percent a year earlier. Vietnam has targeted lending to accelerate to 13-15 percent this year to ensure an … [Read more...] about Vietnam may raise 2015 lending target to 17 pct: report
3 agency credit report
Vietnamese firms turn to overseas lenders for cheaper loans: report
Foreign loans among businesses in Ho Chi Minh City have been increasing as local interest rates, despite several cuts recently, remain high, according to a news report. At the end of last year, HCMC businesses’ overseas borrowings hit US$3.65 billion, up 9.7 percent from 2013, news website Saigon Times quoted the State Bank of Vietnam’s Ho Chi Minh City office as saying last week. Nguyen Hoang Minh, deputy director of the office, said that foreign loans were cheaper with interest rates at just 1-2 percent a year, while local rates on foreign-currency loans were 4-5 percent. That's why businesses would take out loans from overseas if they could, Minh said. However, he said, very few companies can borrow from foreign banks because there are not many consultants and brokers who are specialized in helping businesses find overseas lenders. Most of the time, only big companies with name recognition can do so, he added. According to the central bank, 750 businesses in HCMC, 66 … [Read more...] about Vietnamese firms turn to overseas lenders for cheaper loans: report
Vietnam’s Noi Bai Airport plans to triple capacity with $3.4bln runway
In the proposal, the agency, better known as CAAV, recommended three different construction options with costs ranging from around VND38.8 trillion to nearly VND76 trillion (US$1.75-3.43 billion). The options have different locations, which lead to different land compensation rates. The new runway is part of an effort to increase the capacity of Vietnam's second largest airport to 50 million passengers a year after 2020. Two new terminals are expected to be added. Noi Bai, with two terminals, served 14 million passengers last year, almost reaching its designed capacity of 16 million a year. … [Read more...] about Vietnam’s Noi Bai Airport plans to triple capacity with $3.4bln runway
Vietnamese tax agencies ordered to apologize for shaming wrong companies
When releasing the list on July 20, the finance ministry said if the companies continued to delay paying up, tax agencies will deduct money from their bank accounts, invalidate their invoices or even freeze their accounts, if necessary. … [Read more...] about Vietnamese tax agencies ordered to apologize for shaming wrong companies
Central bank acts as credit fund goes rogue
By Thiên Lý The State Bank of Việt Nam (SBV) office in the southern province of Đồng Nai is investigating the delay in repaying principal and interest by the Thái Bình People’s Credit Fund to 82 customers in Biên Hòa City’s Tân Hòa Ward. According to the customers, they had deposited nearly VNĐ50 billion (US$2.2 million) but have not received interest since the middle of last year and have also been unable to withdraw their deposit. Meanwhile, the director of the fund, Vũ Công Liên, reportedly quit his job and is absconding. The case has opened authorities’ eyes to the need to carefully manage people’s credit funds across the country so that system does not collapse or many of them go bankrupt. Analysts said the most important measures include oversight and inspection of their operations. According to the Việt Nam Association of People’s Credit Funds, there are more … [Read more...] about Central bank acts as credit fund goes rogue