The State Bank of Vietnam (SBV) has released statistics on some basic criteria in the operation of the credit institution (CI) system as of March 31st 2020. Accordingly, the total assets of the system were 12,482,912 billion dong, slightly down by 0.71 percent compared to the end of 2019.
The main reason is due to the 3.19 percent decline in the total assets of state-owned banks (reaching 5,266,343 billion dong). Meanwhile, the total assets of private joint stock bank went up by .57 percent to 5,242,231 billion dong, and of joint venture and foreign banks increased by 1,383,691 billion dong.
Despite the fall in total assets, the charter capital of the system still increased by 1.13 percent to 617.473 trillion dong. In particular, except for the group of state-owned banks, Vietnam Bank for Social Policies and cooperative banks which keep the charter capital unchanged, all the remaining banks recorded increase in charter capital, in which the charter capital of joint venture foreign banks grew by 3.42 percent to 123.123 trillion dong; of private joint stock bank increased by 0.54 percent to 286.229 trillion dong.
By the end of March 2020, the ratio of short-term funds used for medium and long-term loans of the entire system was 25.52%, significantly down compared to the 27.02 percent recorded in the end of 2019. The ratio of outstanding loans to total capital mobilisation was 73.81%, considerably down compared to the 87.41 percent as of late 2019.
Notably, from 2020, the equity of CI system has been classified into three groups: the group of banks apply Circular 41/2016/TT-NHNN, the group of banks apply Circular 22/2019/TT-NHNN, and the group of banks apply Circular 36/2014/TT-NHNN. The minimum Capital Adequacy Ratio (CAR) has also been divided into these three groups, respectively reaching 11.33%, 10.10 percent and 19.11%.
