Lending interest rates will ease if Nov and Dec cpi stands under 1%: sbv governor

Nguyen Van Binh, Governor of the State Bank of Vietnam, “hoped” that the country’s CPI will stay under 1% in the last two months of this year to serve as a firm foundation for the entire banking sector to trim down interest rates at the year-end.

Nguyen Van Binh, Governor of the State Bank of Vietnam on Nov 21, “hoped” that the country’s CPI will stay under 1% in the last two months of this year to serve as a firm foundation for the entire banking sector to trim down interest rates at the year- end, he told local press on November 21.

The country’s consumer price index (CPI) has recently eased from its peak in July and Vietnam targeted to keep whole-year inflation at 18-18.5%, Binh said, emphasizing that the country has been trying its utmost to curb inflation this year.

The central bank and local credit institutions since August, 2011 have made great efforts to bring lending interest rates down to 16-18% per annum, Binh further added.

Credit growth rate of the whole banking system currently exceeds 10% and is expected to arrive at 12-13% at year end and the central bank will closely govern local credit institutions in order to achieve 2012 credit and GDP growth rates of 15-17% and 6-6.5%, respectively, Binh said.

Source Sophie/ StoxPlus

Tags: Vietnam banking industry, Vietnam finance, Vietnam financial, Vietnam interest rates

Posted by VBN on Nov 22 2011. Filed under Banking-Finance. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry