Credit growth in 2019 was estimated at 13% against last year, almost doubling the growth rate of the gross domestic product, according to the State Bank of Viet Nam. 

Prime Minister Nguyen Xuan Phuc urges the State Bank to develop a banking
system that could provide services in the shortest time with lowest costs.
Photo: VGP

 The central bank lowered interest rates for several times this year with the latest cut of 0.25% in September, said Governor Le Minh Hung while summarizing up the central bank’s annual performance at a conference on Thursday.

Meanwhile, foreign reserve reached nearly US$80 billion, which will help strengthen resilience against external shocks and consolidate foreign investors’ trust in the Southeast Asian country.

Addressing the conference, Prime Minister Nguyen Xuan Phuc hailed the fruitful efforts in controlling money supply, interest rates and inflation. Particularly, inflation rate fell to three-year low while interest rate levels and non-performing loans declined.

He however urged the central bank to continue settling weak credit institutions and warned of the possibility of rising bad debts as some State-owned enterprises are still facing difficulties amid globally changing financial market.

Phuc urged the central bank to ensure banking security and safety amid rising fraudulent activities and cyber-security attacks.

New issues such as artificial intelligence and digital-based services also pose challenges to the banking system, emphasized the Government chief.

The State Bank was asked to continue developing a banking system that allows citizens to access easily to banking services in the shortest time with the lowest costs./.