Responding to Online Investment, Nguyen Hoang Minh, deputy director of the State Bank of Vietnam (SBV), HCM City branch said that by the end of November 2019, outstanding loans of banks in the city reached 2.2 million dong, up 12.4 percent compared to the beginning of this year. Meanwhile, the capital mobilisation of local banks reached 11.9 percent compared to the beginning of 2019.
The reason for raising capital of banks in HCM City is lower than the outstanding loans because banks still compete in mobilising loans, in order to restructure short-term capital sources for medium-term and long-term lending. But in fact, this situation has happened in the past years and in the first months of 2019, the total mobilised capital of banks in the city was still lower than the growth of outstanding loans. During the first three months of 2019, capital mobilisation growth of banks was higher than the outstanding loans.
However, according to Minh, the current ratio of short-term capital for medium and long-term loans of banks in the city is statistically lower than the current regulation of less than 40 percent as prescribed by SBV. The total outstanding credit of banks in the first 11 months of this year was 2.2 quadrillion dong, Minh said, in which, the real estate loans accounted for 11%, equivalent to 252 trillion dong, a growth of 9.6 percent compared to the beginning of this year. But the balance of this loan is only for project investment and housing businesses, excluding home loans.
Meanwhile, SBV’s specific statistics of each credit segment show that by August 2019, credit for real estate (including business and self-use purposes) increased by 14.58 percent compared to the end of last year and accounted for 19.14 percent of the total outstanding loans of the economy, equivalent to 1.48 quadrillion dong as of the end of July.
The data of the SBV branch in HCM City also shows that the bad debt of banks in the city accounts for 2.2 percent of the total outstanding loans. Particularly, bad debts for real estate loans contribute 3.3 percent to the total real estate loan balance of the banks in HCM City mentioned above.
