Vietanm: Credit institutions optimistic about credit growth

Hanoi, October 10 (VNA) – The majority of credit institutions said they expect the sector to meet its target of 12-14 percent credit growth in 2014, according to a survey conducted by the Monetary Statistics and Forecast Department under the State Bank of Vietnam. Up to 90 percent of credit institutions expect their mobilised capital and outstanding credit debt to grow by 4.96 -5.13 percent during the fourth quarter, and by 14.4-14.5 percent for 2014. All the credit institutions believe their liquidity will remain stable or increase by the end of the year. Most of the organisations predicted a slight recovery or stability in customers’ demand for savings and loans. They also predict that both savings and loans interest rates in Vietnamese Dong will remain stable or decline slightly during the last three months. The rates are forecast to go down by 0.93 percent and 1.14 percent by the end of the year, respectively, compared to the end of 2013. The survey also shows that almost all the credit institutions believe bad debt will be brought under control and reduced remarkably compared to the first months of this year, due to drastic measures implemented by the Government and the central bank to boost economic growth and solve the difficulties in the real estate market.-VNA