A senior official of the State Bank of Vietnam (SBV) on July 4 told Thoi Bao Kinh Te Vietnam that commercial banks had not registered to buy dollars at preferential prices from SBV.

VietNamNet Bridge - Many banks have succeeded in scaling up their operation through M&As, but others have taken on new burdens.

After two months postponing the increase in service fees for ATM cash withdrawals as required by the central bank, some commercial banks have now resumed the plan, announcing that a new service fee framework will apply from the middle of this month.

The Vietnamese dong will not depreciate much against the US dollar in the second half of this year, so the whole year’s slide will be 3 per cent at the most, BVSC has forecast.

VietNamNet Bridge - Under the State Bank’s Circular No 06, a commercial bank can hold less than 5 percent of shares of another credit institution.

Most credit institutions reported good results in the second quarter of this year, and expected their business performance throughout 2018 to be better than the previous year. 

VietNamNet Bridge - The mobile payment service market in Vietnam has yet to enter a boom period, but many big players are present.

VietNamNet Bridge - The rapid growth of the consumer finance market reflects the high demand in the market. However, there are still barriers, including high interest rates and limited risk management capability of service providers.

Fintechs have developing rapidly in Vietnam, attracting capital from both domestic and foreign investors, and receiving special attention from commercial banks and state management agencies.

VietNamNet Bridge - High inflation may put pressure on the exchange rate and prompt foreign investors to withdraw capital from Vietnam’s stock market, analysts say.

Over 132 million bank cards had been issued by the end of 2017. However, according to the Vietnam Card Association (VCA), only 77 million cards are being used to make regular transactions.

VietNamNet Bridge - The State Bank of Vietnam says that outstanding consumer loans exceeded VND1,000 trillion in 2017.

VietNamNet Bridge - The entire banking system is expected to need VND63 trillion to increase their charter capital this year.

VietNamNet Bridge - A large part of capital is still going to non-priority sectors, including real estate.

The State Bank (SBV) said the process of converting 70 million magnetic cards into chip cards needs to be accelerated to prevent Vietnam from becoming the favorite destination for card crimes.

VietNamNet Bridge - Most banks reported satisfactory profits for the first quarter of 2018, but their asset exploitation and capital use efficiency varied.

‘Debtors’ in the future in Vietnam will regularly connect to the internet and buy goods online, while ‘lenders’ will be fintechs which can take full advantage of high technology to approach targeted clients and design reasonable credit packages.

VietNamNet Bridge - After considering the Q1 finance reports of 13 large and medium sized commercial banks, analysts say they have found that bad debts are increasing again.

VietNamNet Bridge - The number of 100 percent foreign owned banks in Vietnam has increased by twofold in the last two years to nine.

VietNamNet Bridge - Peer to Peer Lending (P2P), under which lenders and borrowers connect via apps, has been developing rapidly in Vietnam.