Total outstanding loans for real estate at 220tr dong

As of early June, the total outstanding loans for real estate sector saw a fall of 9.46 percent from late 2010 and accounted for 16.91 percent of the total outstanding loans for the economy, the State Bank of Vietnam (SBV) said.

Previously, till the end of May 2010, 18 commercial banks reported non-production loans at over 22 percent, of which, nine of them posted the non-production credit growth at over 30 percent. Currently, some of them will be hard to reduce the non-production credit to 22 percent on due (June 30, 2011) as prescribed by the central bank.

The difficulties banks face during past time is reduction of non-production credit growth related to real estate which accounted for a huge capital structure in this credit segment and is the specification of many medium and long term loans.

Statistics from SBV showed as of early June 2011, the total outstanding loans for real estate sector were 220.787 trillion dong, falling 6.16 percent from late 2010 and accounting for 9.4 percent of the total credit of the whole banking system.

Also according to the updated figure from the central bank, till June 20, the total means of payment increased only 2.45 percent from the end of 2010 and credit growth at 7.13 percent, of which, dong credits posted a rise of 2.67 percent while dollar credits surged 23.4 percent. – Vneconomy

Tags: Vietnam banking industry, Vietnam finance, Vietnam financial

Posted by VBN on Jun 30 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