Banks expect credit growth of only 17% in 2017, lagging behind the target

By Huong Tram - Oct 04, 2017 | 01:28 PM GMT+7

TheLEADERThis is the result of the survey on business trends of credit institutions recently conducted by the State Bank of Vietnam.

Banks expect credit growth of only 17% in 2017, lagging behind the target
Growth in 2017 is expected to be 17%, higher than survey in June. Photo: VOV

According to this survey, credit institutions expect that outstanding credit growth in the fourth quarter of 2017 is 6%.

Growth in 2017 is expected to be 17%, higher than survey in June.

According to a report of General Statistics Office in September, the credit growth of the entire economy was 11.02%. This figure of the same period last year was only 10.46%.

Besides, the Government's target of credit growth of the whole year recently mentioned is 21% in order to promote production and business.

In term of capital mobilization throughout the banking system, the survey results show that banks expect the growth of 5.32% in the last quarter and 16% in 2017.

The average interest rate is expected to fall by 0.22% on lending rates and 0.17% on deposit rates in the fourth quarter.

Most banks have strong expectations for the recovery of demand for loans as well as demand for savings and payment services of customers.

According to the survey, credit institutions also expect a 13.6% increase in average pretax profit.