Lending Conditions Tightened, But For How Long?

The State Bank of Vietnam is now struggling to get commercial banks to reduce their interest rates after having removed the cap on lending rates in early March. With the central bank now injecting liquidity into the banking system, the duration of tighter lending conditions is in doubt. As such, we highlight upside risks to our 4.4% real GDP growth forecast for 2010.

To read the full article, please choose one of the following options: