Credit growth in the next 3 years is forecasted at 14%

	Banks expect higher credit growth limits
	Banks post impressive profit growth in H1 2018
	In 2018, the State Bank targets to reach a credit growth rate of 17%

Interest rate is forecasted to increase slightly in 2019. Photo: T.D

Specifically, for the credit demand, the economic growth is projected to be slower than GDP in 2019 at 6.4-6.5%. The slow economic growth will go along with the demand for capital loan to expand production and business, which may decrease.

In addition, the interest rate is projected to slightly expand at 0.25-0.5% in 2019, which will also affect the demand for customers’ capital loan.

For the credit supply, the supply of estate credit is closely controlled by regulations on increasing risk level for real estate loans to 200% in the beginning of 2018, and 250% in the beginning of 2019. At the same time, reducing the rate of short-term capital for medium and long term loans to 40% in the beginning of 2019.

Tightening real estate credit: Banks and businesses are beneficial VCN- At the beginning of the year, the State Bank of Vietnam (SBV) has repeatedly issued messages ...

The application of Basel II, the estimated capital loan to meet the credit growth of 14-15%/ year at listed banks is about VND 237,000 billion for 2018-2019. The largest capital demands are concentrated in Vietinbank, LienVietPostBank and Sacombank with average increases of 22%, 16% and 13% per year respectively.