According to Governor of the State Bank Nguyen Thi Hong, the money, foreign exchange and gold markets have basically stabilized, the lending interest rate level in the past 5 years has decreased by 3.7% compared to the 2011-2015 period.

Providing information at the Government's meeting with localities on December 29, State Bank Governor Nguyen Thi Hong said that in recent years, the banking system has implemented many solutions and achieved many results, being active in all aspects of activities, making many contributions to the socio-economic development of the country.

Notably, the money, foreign exchange and gold markets have basically stabilized, the lending interest rates in the past 5 years decreased by 3.7% compared to the 2011-2015 period.

Along with that, the exchange rate and the foreign exchange market have basically stabilized, the state foreign exchange reserves increased, the dollarization has declined gradually, and the confidence in the VND has strengthened.

"These are important factors that contribute to improving the country's credit rating," said Governor Nguyen Thi Hong.

From the average credit growth of 15% p.a., credit growth in 2020 alone is estimated at 11%, the leaders of the State Bank in the opinion that this is an appropriate increase in the context of low credit demand due to the negative impact of COVID- 19.

In addition, the banking system has promoted non-cash payments, diversified, improved the quality of payment services, implemented solutions for maintaining security and confidentiality of the information system, ensuring safe and effective payment transactions for businesses and people.

As of December 14, credit institutions have restructured debts for about 270,000 customers, with outstanding loans of nearly VND 355,000 billion.

“In 2021, the banking sector will focus on solutions to solve difficulties for businesses and people affected by the COVID-19 pandemic; closely monitor the macroeconomic and monetary developments in order to promptly respond to ensure adequate liquidity for the economy, synchronously use monetary policy tools in close coordination with fiscal policy to ensure the average inflation target of about 4% as set by the National Assembly, to implement the policy that no one is left behind” said Governor Nguyen Thi Hong.

Kylie Nguyen