At the Government -Local Authorities Conference on January 8th, the Governor of the State Bank of Vietnam (SBV), Nguyen Thi Hong, stated that following recent events and incidents, the banking system has identified many problems and learned many valuable lessons. Based on this, the SBV and the drafting agency have incorporated revised regulations into the amended Law on Credit Institutions, proactively addressing issues from an early stage and from a distance. Internal inspection, control, and auditing of credit institutions, as well as ensuring information security and safety, have been strengthened.

“In 2024, after a long period, the State Bank of Vietnam officially mandated the transfer of ownership of two banks (OceanBank and CBBank). As for the other two banks (GPBank and Dong A Bank), the Government has issued a Resolution, and in the next few days, the State Bank of Vietnam will issue a decision and hold a transfer ceremony,” Governor Nguyen Thi Hong said.

According to the Governor, 2024 was a very challenging year, with significant pressure on monetary policy management. However, monetary policy contributed to controlling inflation, reducing interest rates in the context of high international market interest rates, and stabilizing the exchange rate and foreign exchange market. Credit growth for the whole year was 15.08%, meeting the target.

In particular, at the end of 2024, the State Bank of Vietnam announced the credit growth target for 2025 for credit institutions, aiming for a 16% growth rate for the entire system.

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Monetary policy has contributed to supporting economic growth targets and controlling inflation. Photo: Hoang Ha.

Earlier, at a press conference on January 7th to announce the results of banking operations in 2024 and the implementation of tasks for 2025, Deputy Governor Dao Minh Tu stated that credit growth for the whole year of 2024 was 15.08%, exceeding the set target.

The banking sector's total lending volume for 2024 is expected to reach approximately 23 trillion VND, while debt collection volume is estimated at around 21 trillion VND.

The additional credit supplied to the economy increased by approximately 2.1 trillion VND compared to the outstanding debt of 2023. The current outstanding debt stands at 15.6 trillion VND (compared to 13.6 trillion VND at the end of 2023). This demonstrates a very high proportion of credit capital injected into the economy.

The average deposit interest rate in 2024 increased by 0.73% per year compared to the end of 2023, while the average lending interest rate decreased by 0.59% per year. Specifically, the four Big4 banks reduced their average lending interest rates by nearly 1% per year compared to the end of 2023.