While handling pledged assets is considered an effective tool for credit institutions to retrieve debts and reduce non-performing loans, gaps in regulation have been hindering progress on this front.
Gaps in regulations have hindered progress of credit institutions in retrieving debts, according to experts. (Photo: VNA)
While handling pledged assets is considered an effective tool for credit institutions to retrieve debts and reduce non-performing loans, gaps in regulation have been hindering progress on this front, experts said during a seminar in Hanoi last week.
According to Nguyen Tien Dong, Director of the central bank's Department of Credit for Economic Sectors, handling of pledged assets is becoming a pressing matter of concern in the operation of credit institutions.
He attributed the stagnation in handling pledged assets to the overlaps and gaps in relevant legal documents which make it difficult to properly evaluate the value of the pledged assets or hindered seizure of assets.
⭕ While a majority of pledged assets are in the shape of real estate, handling such assets involves many entities, but the lack of coordination among such entities is causing delays in transferring pledged assets.
The General Secretary of the Vietnam Banks Association, Tran Thi Hong Hanh, said the process to handle these pledged assets must be expedited as stagnation will hurt both lenders and borrowers as well as the economy. She urged that the legal framework needs to be improved.
Facts show that involved parties in any pledged asset hardly reached an agreement regarding the value of the asset, especially if the pledged assets were evaluated lower than the loan amount, experts said. Many such cases were brought to courts, thus taking valuable time.
According to Pham Hong Son, head of Agribank's Department of Individual and Household Customers, involved parties could take advantage of the gaps in regulation to prolong any dispute over asset handling.
In addition, auctioning process of pledged assets lacks transparency and sometimes the assets are over-evaluated on purpose, said a representative from Hanoi Civil Judgement Enforcement.
According to Dong, credit institutions should pay adequate attention to the evaluation and management of pledged assets to prevent conflicts which might arise later.
♎ The coordination among local authorities, banks and police is also important in handling pledged assets, experts said, adding that regulations about responsibilities of police and people's committees, in coordination with credit institutions and Vietnam Asset Management Company, are needed to hasten resolution of bad debts.-VNA
High credit growth has helped many commercial banks to gain impressive profits this year despite having to provide a larger amount for provisional fund.
A real estate bubble of the kind seen in 2007 is not likely to occur this year or 2016, according to Le Hoang Chau, Chairman of the Ho Chi Minh City Real Estate Association (HoREA).
The Military Bank (MB) has announced that it will soon be meeting the central bank's requirement to bring the non-performing loans (NPLs) down to less than 3 percent.
Many large-sized commercial banks have no scope for credit growth for the last months of the year, as they have used nearly all the quota allowed by the central bank.
The new Government decree also simplifies loan procedures while expanding credit incentives to include organic and circular agriculture, allowing them to access preferential terms similar to those of high-tech and value-chain based agricultural production.
Developed with state-of-the-art infrastructure, the Da Nang FTZ is designed to become a leading regional economic centre and a strategic growth pole in Vietnam’s new development landscape.
The Binh Duong Association of Supporting Industries (BASI) is expected to promote the usage of domestically manufactured components while supporting businesses in accessing international markets, strengthening linkages, and promoting deeper integration into global supply chains.
PwC Vietnam forecasts a vibrant M&A market in Vietnam’s healthcare sector in 2025, driven by rising demand for high-quality medical services and a growing middle class. Pharmaceutical companies, private hospitals, and specialised medical facilities, particularly in ophthalmology and oncology, are predicted to be key targets for M&A.
The central province of Quang Nam is set to become a hub for the medicinal plant industry, with Ngoc Linh ginseng designated as the core crop, under the Prime Minister's decision issued earlier this year.
The North-South Expressway project is scheduled for completion by 2030, aiming to establish the groundwork for Vietnam’s modern railway industry and stimulate regional economic development, positioning the country for a significant economic leap in the era of national rise.
The probe, initiated on June 11 following a petition by the US Coalition for Fair Trade in Hardwood Plywood, targets products classified under HS Code 4412 and 9403 imported from China, Indonesia and Vietnam.
Sun PhuQuoc Airways was born as a perfect piece in Sun Group’s strategic vision to build a premium ecosystem of tourism, entertainment, real estate, and aviation. With a pioneering ambition, Sun PhuQuoc Airways is not just an airline, but a symbol of connection – bringing the world to Phu Quoc and taking Phu Quoc to the world.
A key change in the draft decree is a provision requiring bank transfers for gold transactions valued at 20 million VND (765 USD) and above, to enhance transparency and verify customer identities.
In the first four months of 2025, trade turnover between Vietnam and Cambodia surpassed 3 billion USD, marking a 7% increase compared to the same period in 2024.
On June 19 alone, a total of 2,005 trucks completed customs clearance at Lang Son’s border gates — the highest single-day figure ever recorded in the province. Of these, 634 carried exports and 1,371 imports.
The OECD Economic Surveys: Vietnam 2025 report focuses on analysing the country’s macroeconomic fundamentals, the impact of international integration on attracting foreign investment and trade, and the country’s prospects for developing a low-carbon economy.
Antoine Colin, Senior Vice President for Global Supply Chain Digital Transformation & Resilience at HP Inc., affirmed HP’s strategic commitment to building a supply chain and ecosystem in Vietnam and the region.
Deputy Director General of the Ministry of Industry and Trade (MoIT)’s Trade Promotion Agency Bui Quang Hung emphasised that logistics has evolved from a technical function into a core capability for Vietnamese exporters to maintain their competitive advantage in the US market.
A trade official has suggested companies work closely with shipping lines, airlines, and freight forwarders to monitor routes, transit times, and potential surcharges while exploring broader cargo insurance to cover risks like war and terrorism.
In addition to institutional reform, the agency is also rolling out key solution groups to combat counterfeit goods, imitations, and intellectual property infringements in the digital environment.
The event, co-organised by the Vietnam Trade Office in the UK and TT Meridian, a local importer of Vietnamese fresh produce, aims to build a national lychee brand and encourage broader recognition of Vietnamese fruits in a competitive, high-end market.
The industry's performance has been powered by bold investments in modern production lines, enabling Vietnamese firms to produce complicated products which were exclusive to advanced economies.
Gaps in regulations have hindered progress of credit institutions in retrieving debts, according to experts. (Photo: VNA)
