Strictly handle credit institutions competing for interest...

The State Bank will tighten supervision and inspection of lending activities and strictly handle acts of unfair interest rate competition, Mr. Pham Chi Quang, Director of the Monetary Policy Department, emphasized at the conference on August 4.

According to Mr. Quang, in the first 6 months of 2025, the world economy faced many uncertainties due to the decline in global trade, including the impact of US tariff policies. However, Vietnam's economy still maintained positive growth momentum with a GDP growth rate of 7.52%, the highest in the 2021-2025 period, while inflation was controlled at 3.27%.

In this situation, the State Bank of Vietnam has been proactive and flexible in operating monetary policy, supporting growth, stabilizing the macro economy and controlling inflation. The focus is on stabilizing market interest rates, supporting liquidity, maintaining operating interest rates, and encouraging banks to reduce costs and provide transparent interest rate information.

As of July 20, 2025, the average deposit interest rate for new transactions of commercial banks reached 4.18%/year, remaining stable compared to the end of 2024. The average lending interest rate decreased to 6.53%/year, about 0.4 percentage points lower than the end of last year.

Mr. Quang said that the State Bank has inspected a number of banks on the disclosure and adjustment of lending interest rates to implement the Government 's direction, thereby recognizing that most credit institutions have closely followed the direction and implemented solutions to support businesses and people to access capital more easily.

Strictly handle credit institutions that compete unfairly on interest rates. — Mr. Pham Chi Quang, Director of Monetary Policy Department (SBV).

Regarding credit management, the State Bank continues to pursue a policy of supporting growth associated with controlling inflation. Specifically, on July 31, the State Bank raised the credit growth target for a number of capable credit institutions, creating room for credit expansion in a transparent and effective manner.

At the same time, the State Bank requires credit institutions to focus credit on production and business sectors, prioritizing key economic sectors and strictly controlling risky sectors such as real estate, securities, etc.

Loan procedures are also simplified, creating more favorable conditions for customers, along with requirements to strictly comply with legal regulations.

Thanks to the above synchronous measures, the 9.8% increase in system-wide credit as of July 29, 2025 is a positive figure compared to the same period in recent years.

Faced with strong fluctuations in the international market, especially from the US tax policy, the State Bank has flexibly and appropriately managed the exchange rate, combining monetary policy tools to absorb external shocks and intervene in foreign currencies at a reasonable level. Thanks to that, the foreign exchange market has remained stable, the exchange rate has moved in accordance with the law of supply and demand, without causing major disruption to the economy.

Regarding future orientation, Mr. Pham Chi Quang affirmed that the State Bank will continue to operate monetary policy tools to ensure system liquidity, timely supply of capital for production, business and consumption, contributing to maintaining macroeconomic stability.

Regarding interest rates, the State Bank will closely monitor the market situation, macroeconomic developments and inflation to have appropriate management directions. Credit institutions are required to continue to reduce costs, promote the application of digital technology , and publicize average lending interest rates on their electronic information portals.

“The State Bank will step up inspection and examination of compliance with policies and instructions on interest rates, especially the disclosure of lending and deposit interest rates. Credit institutions that engage in unfair and illegal interest rate competition will be strictly punished according to the law,” Mr. Quang emphasized.

This is considered a strong message from the regulatory agency to maintain credit market discipline, protect borrowers and ensure the goal of macroeconomic stability in the context of the economy continuing to recover and needing to be supported in the right direction.

Source: https://baolamdong.vn/xu-ly-nghiem-cac-to-chuc-tin-dung-canh-tranh-lai-suat-khong-lanh-manh-386382.html