In recent years, despite challenges to the world and national economy affecting business and production activities of the enterprises, the State Bank of Vietnam in Lao Cai province (SBV Lao Cai) has actively implemented effective and timely mechanisms and policies to ensure the sustainable and effective operation of the banks in the province in the process of international economic integration.
Until now, the local banking network has expanded to 11 commercial banks, many branches, transaction units, ATMs, POS devices, etc. Credits have been implemented in all villages in the province. During implementation, the commercial banks, financial institutions and People's Credit Funds are committed with directions and solutions of the SBV's monetary policy for socio-economic goals of the province. Therefore, the operation of the banking system in the province continues to grow stably to meet demands for capital at appropriate interest rates and better support for the business production and people's life. The banks proactively reach to customers, businesses and projects to determine the needs for capital. Along with increasing investment in machinery and modern payment technology as well as development of residential payments via ATMs and POS, the commercial banks, credit institutions, and PCF also focus on improving the quality of capital mobilisation and diversification of methods, products and services and enhancing the customer's policies to mobilise maximum resources of idle cash from businesses and other organisations. By the end of June 30, 2015, total of liabilities had reached VND28,968 billion, up 13.5 percent compared with 29.6 percent of December 31, 2014, of which the funds mobilised in the province has reached VND13,730 billion. This leads to total loans of VND27,507 billion. The outstanding loans of the commercial banks have reached VND21,453 billion, up 20 percent compared to December 31, 2014.
In particular, to help many businesses get funds at favourable interest rates, the SBV Lao Cai focuses on implementing measures on monetary and banking activities facilitate the businesses to access to capital for businesses, cooperatives and producers to overcome difficulties and promote the development of the businesses. The province also boosts credit support for the economy, which focuses on key areas such as agricultural and rural development, supporting industry, and SMEs.
According to Dinh Ngoc Hien, Director of the SBV Lao Cai, to promote effective solutions to expand credits to effectively support the economic growth at a reasonable level, contributing to curb inflation, solve problems, and promote the development of business production. In upcoming time, pursuant to Directive 01/ CT-NHNN, the banking industry of the province will be closely implementing monetary policy to guarantee safe and efficient operation of the banks in 2014. Besides, the SBV Lao Cai will actively conduct research on the credit institutions to fully and timely implement the policy mechanisms and legal documents related to banking activities to help the banks understand and implement activities effectively. Simultaneously, there will be appropriate solutions to mobilise maximum resources of idle money from enterprises and other organisations in a spirit of healthy competition and diversification of products and services for customer orientation to actually retain customers. This is considered one of the important tasks of each commercial bank. The SBV Lao Cai will strengthen the inspection to closely monitor banks to ensure regulatory compliance and strictly handle violations in different areas to ensure security of the banks and the credit systems to meet the demands of the capital for socio-economic development of the province.
Ngo San
Vietnamese
