State Bank of Vietnam asks banks to reduce lending rates to support economic growth

(Chinhphu.vn) - Implementing the direction from the Government and the Governor of the State Bank, the entire banking system is focusing on implementing many solutions to stabilize deposit interest rates, reduce lending interest rates, support people and businesses in accessing capital, and contribute to economic recovery.

State Bank of Vietnam asks banks to reduce lending rates to support economic growth

On August 5, the State Bank of Vietnam (SBV) said that in strictly implementing the direction of the Governor of the State Bank of Vietnam (SBV) in Directive 01/CT-NHNN issued on January 20, 2025, the entire banking industry is focusing on implementing key tasks to stabilize the macro economy, control inflation and achieve the GDP growth target of 8% or more in 2025.

Need to actively reduce lending interest rates

In that spirit, the State Bank of Vietnam requires credit institutions to synchronously implement solutions to stabilize and strive to reduce deposit interest rates, contributing to stabilizing the monetary market and creating room for reducing lending interest rates. This is one of the key tasks to implement the direction of the Government and the Prime Minister in the context of the economy continuing to recover and needing cheap capital to support growth.

To achieve the goal of reducing lending interest rates, the State Bank emphasized the need for credit institutions to continue to more drastically implement instructions related to reducing operating costs. Specifically, banks need to increase the application of information technology, promote digital transformation in the entire process of operation and customer service. At the same time, simplifying administrative procedures is also set as an urgent task to facilitate people and businesses to access capital.

In addition, the State Bank requires maintaining public disclosure of average lending interest rates, the difference between deposit and lending interest rates, as well as preferential credit programs on the websites of credit institutions. This is to increase transparency and help customers easily look up information during the credit access process.

Ensuring safe and effective credit growth

In addition to the target of reducing interest rates, credit institutions need to ensure that credit growth is accompanied by safety and efficiency. Accordingly, capital resources need to be prioritized for allocation to production and business sectors, priority sectors and drivers of economic growth. At the same time, strict control of credit in potentially risky sectors is also an important content in this directive.

To support people and businesses to grasp policies in a timely manner, the State Bank of Vietnam recommends strengthening communication and providing specific guidance on the policy of reducing lending interest rates. Information disclosure must be timely, complete and transparent, helping customers to access the correct and sufficient credit programs being implemented.

Regarding the system of State Bank branches in provinces and cities, the Governor of the State Bank requested to enhance the role of coordinating and supervising the activities of credit institutions in the area. First of all, State Bank branches must direct local commercial banks to maintain stable deposit interest rates, and at the same time, drastically implement solutions to reduce lending interest rates.

Disclose full information for easy access by people and businesses

Along with that, local State Bank is responsible for requiring credit institutions to fully disclose information on interest rates and preferential credit programs, ensuring that people and businesses can easily access them.

Another important task is to closely monitor interest rate developments in the area, thereby promptly directing inspections and checks on the implementation of the policies of the Government and the State Bank. In case of arising problems beyond the authority, it is necessary to proactively report promptly so that the Central State Bank can give appropriate instructions.

The SBV also said it will continue to closely monitor developments in the interest rate market, especially the announcement of lending interest rates by credit institutions on their official websites. At the same time, the SBV will step up inspection, examination and supervision of the implementation of interest rate policies to ensure compliance throughout the banking system.

In the coming time, the State Bank will coordinate with media agencies to more strongly implement information and propaganda activities on the policy of reducing interest rates. This will not only help credit institutions synchronously implement the proposed solutions but also contribute to helping people and businesses understand and trust more in the management orientation of the Government and the State Bank.

Previously, on July 31, the State Bank of Vietnam announced an increase in credit growth targets for credit institutions to support the economy. This policy demonstrates flexibility and proactive management, creating conditions for credit institutions to increase their ability to supply credit in accordance with the actual needs of the economy.

Along with adjusting targets, the State Bank also requires credit institutions to strictly implement the directions of the Government, Government leaders and the State Bank, resolutely organize and implement credit solutions, improve business efficiency, ensure system safety and contribute to stabilizing the monetary market.

Mr. Minh

Source: https://baochinhphu.vn/nhnn-yeu-cau-ngan-hang-giam-lai-suat-cho-vay-ho-tro-tang-truong-kinh-te-102250805105637032.htm