Governor of the State Bank of Viet Nam Nguyen Van Binh has set a new target to bring down non-performing loans (NPLs) to less than 3 per cent by September.

VietNamNet Bridge – Vice Chairman of the National Assembly’s Economic Committee Nguyen Duc Kien spoke with Nhan Dan (People) newspaper about the restructuring of the banking sector and solutions to deal with bad debts.

 VietNamNet Bridge – Although economic restructuring has been recognised as a vital task, the process remains slow and requires greater efforts for a more comprehensive outcome, according to experts.

 VietNamNet Bridge – Vietnam Asset Management Company (VAMC) looks to purchase bad debts totaling around VND40 trillion (US$1.8 billion) by the end of this month,

VietNamNet Bridge - Under a new regulation, the Vietnam Asset Management Company (VAMC) can issue bonds to get money to buy bank debts at market prices. However, the bonds will be issued only to domestic credit institutions.

 Bank for Investment and Development of Vietnam (BIDV) plans to sell VND8 trillion (US$371 million) worth of bad debts at book value to Vietnam Asset Management Company (VAMC) this year after disposing of VND6.1 trillion-plus bad debts in 2014.

 VietNamNet Bridge – There is a growing realization that the housing market with its vast array of housing projects is heating up and driving up real estate prices in an unsustainable fashion.

 VietNamNet Bridge – Real Estate Investment Trusts (REIT) have been officially permitted in Viet Nam since September 2012, but no such funds have been launched due to tight restrictions.

 VietNamNet Bridge – While banks outdid each other in revealing their 2014 profit figures, they seem rather reserved in their 2015 profit outlook, Vneconomy newswire revealed.

 VietNamNet Bridge – The Government's first Resolution in 2015 carries a strong can-do spirit that should benefit the business community, VCCI Chairman Vu Tien Loc tells the Nong Thon Ngay Nay (Countryside Today) Newspaper.

VietNamNet Bridge – The Vietnamese government is determined to bring total bad debts down to 3 per cent in 2015, well below last year’s 5.43 per cent.

 VietNamNet Bridge – There is widespread belief that state-owned bad debt buyer Vietnam Asset Management Company (VAMC) needs to quicken the sale of bad debts it has bought from banks.

 VietNamNet Bridge – A resolution on bad debt would be the only way to resolve legal obstacles for buyers to purchase bad debts, especially foreign investors,

Ten Vietnamese commercial banks, chosen by the State Bank of Vietnam, will be applying international bank management standards in accordance with Basel II governance standards.

It is estimated that nearly 1,000 inspection tours to commercial banks are conducted every year. However, the majority of the inspectors’ reports have never been made public.

The Ministry of Finance (MOF) has proposed to absolve tax payments for businesses that have had financial difficulties over the last five years. The total amount could reach VND4.8 trillion.

VietNamNet Bridge – In a last-minute move, the government has decided not to settle bad debts with money from the state budget, which had been suggested by the Ministry of Planning and Investment.

 VietNamNet Bridge – The government has unexpectedly asked the National Assembly to include expenditures on bad debt settlement as part of the state budget.

 Vietnam, Japan unveil plan to develop four key industries; Standard Charter Private Equity expands its portfolio to Vietnam; VAMC buys VND60 trillion bad debts; State receives $30.8b from developing bond market

 VN looks to lift shrimp industry; External capital needed in struggle to resolve bad debts; Rubber exports predicted to fall; Textiles and garments top exports again; Lack of foreign language skills disadvantages Vietnamese firms