The State Bank of Vietnam held a regional conference in the northern provinces covered by “Region 4” to push bank credit in support of economic growth. At the event, Standing Deputy Governor Dao Minh Tu reaffirmed a nationwide 2025 credit growth target of 16%, equivalent to an increase of about VND 2.5 quadrillion, and indicated that Region 4 would need nearly VND 71 trillion in additional credit if it grew in line with the national target. Credit institutions were instructed to prioritise lending to production and business, priority sectors and government-directed credit programmes, and projects aligned with the region’s economic strengths. The State Bank of Vietnam indicated it had assigned credit limits to credit institutions based on the 16% target from the start of the year and could consider expanding limits if inflation remains stable and banks continue to operate safely, while also signalling more flexible use of interbank refinancing. Regional banking metrics cited included deposits of nearly VND 387 trillion and outstanding credit of over VND 442 trillion as of 31 January 2025, with lending concentrated in agriculture and rural areas (over VND 181 trillion) and small and medium-sized enterprises (over VND 78 trillion); the conference also heard business concerns around collateral valuation, legal and procedural bottlenecks, and calls for more flexible pricing and tenors, alongside a push for transparent lending rates and cost reduction at the four state-owned commercial banks to support lower lending rates. The State Bank of Vietnam also announced the establishment of the State Bank of Vietnam Regional Branch 4 and published appointments effective from 1 March 2025, including Truong Thu Hoa as Deputy Director and acting Director, alongside six Deputy Directors drawn from provincial branches.
State Bank of Vietnam 2025-03-11
State Bank of Vietnam sets a 16% 2025 credit growth target and appoints leadership for Regional Branch 4
The State Bank of Vietnam held a regional conference to promote bank credit for economic growth, reaffirming a 2025 national credit growth target of 16%, equivalent to VND 2.5 quadrillion. Credit institutions were directed to prioritize lending to key sectors, with potential credit limit expansions contingent on stable inflation and safe bank operations. Additionally, the establishment of the State Bank of Vietnam Regional Branch 4 was announced, with new appointments effective 1 March 2025.