A leading official from the International Finance Corporation (IFC) ofthe World Bank Group has affirmed that the IFC has confidence inVietnam ’s long-term economic prospects and commits to supporting itsgrowth during difficult periods.
Karin Finkeiston,IFC Vice President for Asia Pacific, made the remark at an annual pressconference held in Hanoi on August 15 to announce the outcomes of IFC’soperations during the 2013 fiscal year (July 2012-June 2013).
“Looking forwards, we will focus our efforts on helping acceleratenecessary structural reforms, particularly in the banking sector, inorder to see Vietnam return to more robust economic growth,” Finkeistonstressed.
The IFC has invested around 805 millionUSD in Vietnam during the fiscal year to help expand lending to smalland medium-sized businesses, generate jobs, and spur growth as thecountry’s economy slowed and companies found it difficult to getfinancing, IFC Regional Director Simon Andrews reported.
Vietnam’s economy is experiencing its longest spell of slowgrowth since the onset of economic reforms in the late 1980s, growing amere 5 percent in the second quarter from the same period last year.Many enterprises have cited high borrowing costs as a key factor behindclosures and bankruptcies.
In response, IFC’sGlobal Trade Finance Programme has helped Vietnamese banks improveaccess to finance by increasing lending for local exporters andimporters, thus facilitating cross-border trade that is vital to privatesector growth.
During the 2013 fiscal year, whichended on June 30, IFC’s trade finance programme enabled participatingbanks to issue 155 guarantees worth 800 million USD, making Vietnam oneof IFC’s top markets in trade finance.
IFC’s totalinvestments in East Asia Pacific reached a record 3.4 billion USD in 83projects for the whole period, up around 15 percent on an annual basis.Vietnam ranked second after China in terms of IFC investmentvolume in the region.
Andrews also revealed that hiscorporation will help banks improve their management ability, recoverbad debts, and achieve international standards in risk management andcorporate governance.
The moves will help banks runmore efficiently so that the private sector, particularly small andmedium-sized enterprises, is able to get financing at a lower cost,Andrews added.-VNA
Karin Finkeiston,IFC Vice President for Asia Pacific, made the remark at an annual pressconference held in Hanoi on August 15 to announce the outcomes of IFC’soperations during the 2013 fiscal year (July 2012-June 2013).
“Looking forwards, we will focus our efforts on helping acceleratenecessary structural reforms, particularly in the banking sector, inorder to see Vietnam return to more robust economic growth,” Finkeistonstressed.
The IFC has invested around 805 millionUSD in Vietnam during the fiscal year to help expand lending to smalland medium-sized businesses, generate jobs, and spur growth as thecountry’s economy slowed and companies found it difficult to getfinancing, IFC Regional Director Simon Andrews reported.
Vietnam’s economy is experiencing its longest spell of slowgrowth since the onset of economic reforms in the late 1980s, growing amere 5 percent in the second quarter from the same period last year.Many enterprises have cited high borrowing costs as a key factor behindclosures and bankruptcies.
In response, IFC’sGlobal Trade Finance Programme has helped Vietnamese banks improveaccess to finance by increasing lending for local exporters andimporters, thus facilitating cross-border trade that is vital to privatesector growth.
During the 2013 fiscal year, whichended on June 30, IFC’s trade finance programme enabled participatingbanks to issue 155 guarantees worth 800 million USD, making Vietnam oneof IFC’s top markets in trade finance.
IFC’s totalinvestments in East Asia Pacific reached a record 3.4 billion USD in 83projects for the whole period, up around 15 percent on an annual basis.Vietnam ranked second after China in terms of IFC investmentvolume in the region.
Andrews also revealed that hiscorporation will help banks improve their management ability, recoverbad debts, and achieve international standards in risk management andcorporate governance.
The moves will help banks runmore efficiently so that the private sector, particularly small andmedium-sized enterprises, is able to get financing at a lower cost,Andrews added.-VNA
