Banks pump over US$18.88 billion into economy in June

According to statistics from the State Bank of Vietnam (SBV), outstanding loans as of the end of June neared VND14.4 quadrillion, up 6% against the beginning of 2024.

The central bank's Deputy Governor Dao Minh Tu affirmed that the sector has rolled out various programmes and initiatives to prop up the economy such as the VND120 trillion credit package for affordable housing, and the VND30 trillion one for the forestry and fishery sector, helping encourage and create motives for enterprises to develop in priority domains.

Credit growth has been on the upward trend, meaning the Government’s tax and fee cut policies and commercial banks’ concessional loans have shown efficacy, he said.

Various economic organisations expect demand for credit will increase in the second half of the year as interest rates are maintained at a low level, contributing to bolstering the economic recovery.

Vietcombank Securities Company has forecast credit for the whole year to grow at 12-13%, with motives of the expansion being robust production activities, export, as well as the acceleration of public investment, particularly in key infrastructure projects.

Meanwhile, MB Securities Joint Stock Company has predicted the credit growth will reach 14% this year, with high demand to be recorded in consumer finance, credit card and car loans thanks to low interest rates and retail sales recovery.