State Bank of Vietnam Warns of $76.8 Billion Funding Gap

The State Bank of Vietnam warned that a funding gap of approximately 2 quadrillion dong ($76.8 billion), where outstanding loans exceed deposits, poses potential risks to liquidity and interest rates. The central bank stated that this imbalance threatens the safety of lenders and the stability of the nation's financial and monetary system.

This liquidity risk coincides with pressure from Prime Minister Le Minh Hung for banks to increase credit to achieve double-digit economic growth targets for 2026. To support small and medium-sized enterprises and high-growth sectors such as semiconductors and AI, the central bank directed lenders to offer preferential credit rates at least one percentage point below their average rates.

Response to these directives varies across the banking sector. State-run institutions and commercial lenders including Nam A Bank and BVBank have joined the preferential programs. Conversely, Vietnam Technological and Commercial Joint-stock Bank is seeking offshore funding through a $1 billion syndicated loan to meet credit demand. The central bank continues to balance these growth initiatives against a 4.45% inflation rate recorded in July and currency volatility driven by trade tensions with the United States.