Solutions to ensure credit growth rate

At a recent meeting with the State Bank of Vietnam, Branch 14 (SBV Branch 14) on the implementation of the credit growth plan in Can Tho City in 2025, Vice Chairman of the Can Tho City People's Committee Vuong Quoc Nam requested SBV Branch 14 to implement breakthrough solutions, striving for a credit growth increase of 16%, which will contribute significantly to promoting the completion of the city's GRDP target of 10% in 2025. At the same time, he recommended that credit institutions (CIs) proactively seize opportunities to recover the processing, service, and export industries; boldly expand lending to businesses with reasonable capital needs, but must strictly control credit in risky areas, ensuring safe and sustainable operations.

Ensure stability and safety

Can Tho City has 105 credit institutions, of which 30 credit institutions (including state-owned commercial banks, state-owned commercial banks, social policy banks and joint stock commercial banks) account for over 80% of outstanding loans in the entire area.

Processing shrimp for export at Hai Sang Seafood Joint Stock Company (Can Tho City).

Mr. Tran Quoc Ha, Acting Director of the State Bank of Vietnam Branch 14, said that since the beginning of the year, the State Bank of Vietnam Branch 14 has performed well its function of state management of currency and banking activities in the area. The State Bank of Vietnam Branch 14 also directed credit institutions in the area to strengthen capital mobilization solutions, focus credit capital on lending for production and business and priority areas, and implement solutions to remove difficulties in credit relations with customers. Currently, credit capital flows are in line with the industry's orientation, focusing mainly on priority areas, lending to industries and strong products of the city such as rice, seafood, etc.

In recent times, in the context of the business community facing difficulties in capital investment for production and business development, the Bank - Business Connection Program implemented in the city has brought about practical results, creating conditions for businesses to access loans with preferential interest rates (0.5-1% lower than the normal interest rate); maintaining, stabilizing and developing production and business, contributing to promoting local socio -economic development. In the past 8 months, the banking sector in the city has disbursed new loans of VND 12,660 billion with 908 businesses accessing capital.

According to the assessment of NNHN Branch 14, the credit growth prospect in the last months of 2025 is very positive, when the demand for working capital to serve seasonal production and business activities is about to start, such as agriculture starting a new crop season (winter-spring crop); construction activities (civil construction, housing) as usual also increase sharply at the end of the year; service activities, production, and trading of goods also enter the season of major festivals, when domestic consumption demand increases.

However, Mr. Tran Quoc Ha acknowledged that, compared to other provinces in the region, Can Tho City has a fairly good credit growth rate but is still lower than the average credit growth rate of the whole country. The capital mobilization growth rate is low, the total mobilized capital has not met the borrowing needs of the whole area. The implementation of interest rate policy, anchoring mobilization interest rates at a low level to serve as a basis for reducing lending interest rates, has invisibly put pressure on capital mobilization at banks.

Although bad debt in the whole city has shown signs of slowing down, it still poses many risks to the safety and operational efficiency of credit institutions. Some key credit programs under the direction of the Government and the Prime Minister have not yet achieved the expected results, such as the VND 145,000 billion program for loans for social housing, workers' housing, projects to renovate and rebuild old apartments (low outstanding debt); the loan program for linking production, processing and consumption of high-quality and low-emission rice products in the Mekong Delta (no outstanding debt has yet arisen).

Focus on investing in key industries

The scale of the credit market in Can Tho City is considered relatively small, while the number of credit institutions is quite large, leading to not much room for growth. Therefore, according to the banks, along with efforts and proactively finding new markets and products, the banks request the city to support, especially banks in the old Can Tho City area to receive new agency areas of the city; create a favorable business environment for local economic activities to develop more strongly, attracting more and more investors to do business.

A representative of the Vietnam Bank for Agriculture and Rural Development (Agribank) Hau Giang Branch said that the bank has allocated VND14,415 billion for agricultural and rural loans, accounting for nearly 80% of the branch's total outstanding loans. Despite facing increasing group 2 debt and pressure to balance capital sources, the unit is committed to closely coordinating with the banking sector in the city to complete the target. In particular, focusing on green growth, sustainable development, especially in the field of "three agriculture".

According to the Vietnam Joint Stock Commercial Bank for Industry and Trade (Vietinbank) Tay Can Tho Branch, up to now, the bank has exceeded the target (16%) and will achieve a minimum growth rate of 17% in 2025 and strive for a growth rate of about 20% in 2026. However, the communication of tax issues related to Decree 70/2025/ND-CP of the Government regulating invoices and documents is still not timely and complete, affecting the business activities of some individuals/business households in the area; the transparency of financial reporting data of some enterprises is still limited, leading to relatively difficult unsecured loans. Therefore, it is necessary for the Tax sector to step up propaganda work; associations and city leaders need to organize training courses on management capacity for business owners; and increase consultation on transparency of business activities of enterprises.

Mr. Nguyen Van Tung, Director of the Joint Stock Commercial Bank for Foreign Trade of Vietnam (Vietcombank) Can Tho Branch, said that from now until the end of the year, the branch will focus on the city's key industries such as industrial production, supporting industries, food processing and manufacturing, trade and consumption, materials related to industry and construction, industries supporting agricultural development... With the above target, the branch expects to grow by 18% in 2025.

Mr. Nguyen Van Tung suggested that the city leaders create all favorable conditions for banks to access investment projects, investors, especially investors outside the city, from the beginning, as well as wish to participate in promotion conferences, meetings between investors and city leaders. In handling bad debts, he hoped that agencies and departments would speed up the handling process, which is favorable for both customers (reducing interest, affecting debt repayment ability) and banks (quick debt collection will reduce losses, contributing to the state budget)...

It is estimated that by the end of August 2025, the total capital mobilized in the area will reach VND 222,870 billion, an increase of 6.50% compared to the end of 2024. The mobilized capital will meet 69.52% of the credit capital demand in the area. It is estimated that by the end of August 2025, the outstanding debt will reach VND 311,795 billion, an increase of 8% compared to the end of 2024. It is estimated that by the end of August 2025, the total bad debt in the area will be VND 8,550 billion, accounting for 2.78% of the total outstanding debt. It is forecasted that bad debt will still be controlled at a safe level according to the set target.

Article and photos: KHANH NAM

Source: https://baocantho.com.vn/giai-phap-dam-bao-toc-do-tang-truong-tin-dung-a190619.html