Finance & Banking
Last updated: Wednesday, February 22, 2017
Workshop on Savings, Investment and ConsumptionPosted: Saturday, October 29, 2016
This was the theme of a workshop held recently in Hanoi by the State Bank of Vietnam (SBV) in association with the Vietnam Women's Union and the Central Committee of the Vietnam Fatherland Front. This was an important event in a series of activities in response to the first World Savings Day in Vietnam.
In Vietnam, some commercial banks and microfinance institutions have strongly launched savings and lending products for small retail customers, poor households and women for economic development. Operations deployed by the Vietnam Bank for Social Policies, the Vietnam Bank for Agriculture and Rural Development and microfinance institutions like TYM have been expanded throughout the country. Small but effective deposit and lending products are helpful for a number of farming households in rural and far-lying areas to develop their economies and improve livelihoods.
Ms Nguyen Thi Thanh Son, Deputy General Director of Lien Viet Commercial Joint Stock Bank, said, there is still a very wide room for microfinance operations in Vietnam as it has just met a small part of customer needs. Meanwhile, in other countries, microfinance has fulfilled 70 - 90 per cent of demand. The development of financial products by mobilisation and lending networks for the sake of poor women and families may form a large amount of effective capital for developing household economy and raising living standards of the people. Besides, savings rates also reflect poverty reduction results and have huge impacts on the overall economic development. In particular, savings through the banking system play a very important role in balancing and ensuring the liquidity of the banking system.