Banking sector urged to unfreeze resources to boost growth

PM Nguyen Xuan Phuc speaks at the conference. (Photo: NDO/Tran Hai)

The Government leader highly appreciated the sector’s contributions in ensuring macroeconomic stability, as well as its significant role in controlling inflation at 3.54% last year.

The effective application of information technology and the development of new payment methods in banking activities have created convenience for customers and worked to reduce cash payments, thus saving costs for people, businesses and society as a whole, he stated.

PM Phuc said that the restructuring of certain credit institutions still remains slow compared to the requested progress, urging the banking sector to conduct timely internal inspections and strictly handle any acts of violation.

He requested that the State Bank of Vietnam (SBV) continues regulating the monetary policy in a flexible and proactive fashion and effectively combine it with other policies, in addition to persisting with the goal of stabilising the macroeconomy, controlling inflation and accelerating growth.

At the conference, leaders of commercial banks recommended the prompt increase of charter capital for state commercial banks to the PM, hailing it as an urgent issue in the current period.

For their part, the SBV also agreed with the emergency of raising capital for state commercial banks, while proposing that the Justice Ministry works with other ministries and sectors to deal with obstacles in handling bad debt.

Source: NDO