The State Bank of Vietnam (SBV) has given credit room extension to some commercial banks, paving the way for more money to be pumped into the economy. But capital is being released in dribs and drabs.
According to former deputy director of the Banking Strategy Institute Pham Xuan Hoe, while demand for capital is very high, the credit growth limit has been controlled too strictly, which has put a brake on the economic recovery process.
Deposits at banks have increased sharply following the commercial banks’ raising of interest rates. The highest deposit interest rate is 7.7 percent per annum.