On November 1, 2023, in the Questions and Answers (Q&A) session on the implementation results of the socio-economic development plan for 2023, as well as the planned socio-economic development results for 2024 at the 6th Session of the XV National Assembly (NA), Governor Nguyen Thi Hong of the State Bank of Vietnam (SBV) answered a number of questions raised by the NA Deputies.
Governor Nguyen Thi Hong speaks at the National Assembly
At the Q&A session, Governor Nguyen Thi Hong delivered a brief report on the monetary policy and the credit management. Accordingly, the SBV has conducted various solutions to manage the monetary policy on both of the credit supply and the credit demand sides. For the credit supply, right from the beginning of 2023, the SBV had set the credit growth rate target at 14% for 2023. By mid-year, it had been fully allocated to all of the credit institutions with a target of about 14%.
Along with that, the SBV has managed the monetary policy in a flexible manner to support the liquidity for the economy, creating conditions for the credit institutions to increase their credit supply.
For the credit demand, although there was a hike in the interest rates around the world, the SBV had reduced the key interest rates for four consecutive times to enable the credit institutions to cut down the common lending interest rates for new loans by about 2% as compared to those of the end of 2022.
Participants at the National Assembly Session
In addition, the SBV had issued a Circular on the rescheduling of debt payment and the maintenance of debt groups; proposed a credit package worth VND 120 trillion to promote social housing projects targeting workers and low-income people, and another credit package worth VND 15 trillion to support the businesses in the forestry and the fisheries production and processing sectors, contributing to promote the credit demand. The SBV had also organized a lot of bank-enterprise connection conferences to remove the difficulties and obstacles for enterprises in accessing bank credit.
About the orientations in the coming time, the SBV Governor shared that from now until the end of this year, the SBV would regulate the credit growth of the entire banking system as well as that of the credit institutions to promote the credit growth. Moreover, the SBV had directed the credit institutions to review and cut down their administrative procedures and loan application approvals to shorten the credit appraising process, thereby creating favorable conditions for businesses and the people.
Le Hang