Vietnam’s aggressive credit expansion is clashing with slow public spending and poses systemic risks without policy alignment.

Alongside 35 domestic commercial banks, Vietnam hosts nine wholly foreign-owned banks and two joint venture banks.

Despite lower deposit rates, savings from individuals in Vietnam surged to a new record of over $293 billion by March 2025, reflecting continued public trust in the banking system.

The outlook for Vietnam's banks in 2025 is stable, but challenges remain, especially risks from real estate and liquidity pressure at some small-scale banks, experts said at a recent conference.

Vietnam is enhancing its regulatory framework and policies to promote cashless payments as part of its strategy to develop a more digital economy.

The overall banking sector’s profitability in 2025 is forecast to improve slightly, with return on assets (ROA) increasing from 1.55% to 1.60%.

Banks are also being instructed to rigorously inspect loans involving real estate collateral.

Vietnam Report announces the 2025 list, spotlighting the sector's growth, digital drive, and profit resilience.

During this period, bank bonds constituted 67.1% of the total issuances, overshadowing the real estate sector, which accounted for only 20.8%.

In just two years, a rising commercial bank has conducted two major capital increases, surpassing long-established players Sacombank (USD 742 million) and Eximbank (USD 736 million) in charter capital.

Access to this massive amount of data allows banks to expand their digital offerings, particularly online lending.

Vietnam will close tens of millions of unverifiable bank accounts by September 2025 under new digital payment regulations.

The drive toward listing is part of a broader strategy among banks to strengthen capital bases.

Nine commercial banks in Vietnam have committed to offering preferential loans for young people under 35 to purchase social housing, with a fixed interest rate of 6.1% per annum applied through June 30, 2025.

From July 1, 2025, all business transactions must meet new biometric compliance.

Financial leasing was sound in several categories, such as for cars, up 26.4% to 8.5 trillion VND, ships up 79.44% and medical equipment up 50%.

Leveraging AI in producing sustainability information may enhance efficiency, accuracy and also strategic decision making, a banking and finance forum has been told.

The new circular aims to streamline administrative procedures, remove barriers and enhance the ease with which foreign capital can flow into Vietnam’s stock market.

Data plays a key role in preventing financial crime so financial institutions, especially banks, need to effectively apply and leverage data analysis to mitigate risks, experts said at a conference on May 20.

According to the current regulations, the share ownership cap by an institutional shareholder in a credit institution is reduced from 15% to 10% and for an individual and his/her related parties from 20% to 15%.