The Government has directed the State Bank of Việt Nam (SBV) to add non-performing loan (NPL) settlement regulations under Resolution No.42/2017/QH14 into the revised Law on Credit Institutions, SBV’s deputy governor Nguyễn Kim Anh said on Wednesday.
Some credit institutions (CIs) that have not yet completed their restructuring roadmap will have to speed up to meet the State Bank of Việt Nam (SBV)’s deadline this year.
Cross-ownership in the country’s banking system had almost been eliminated, a recent report by the State Bank of Việt Nam showed.
The State Bank of Việt Nam (SBV) has set a target to stop cross-ownership among credit institutions (CIs) by the end of 2020.
Vietnamese shares ended on Wednesday on a high note, along with other Asian markets, with higher oil prices and improved confidence in cooling trade tensions.
Vietcombank has officially completed a plan to reduce its holding ratio at other credit institutions to below 5 per cent as required by the central bank.
As the stock market is experiencing strong volatility and shows little signs of strong recovery, the State may struggle to sell its stake in State-owned enterprises (SOEs) on schedule.
Although Việt Nam’s balance of trade in the first eight months of the year stood at a surplus of US$2.8 billion, analysts warn about it returning to a deficit in the coming months.