HANOI, Dec. 23 (Xinhua) -- The rate of non-performing loans (NPL) in Vietnam's financial institutions is expected to rise sharply by 23.73 percent in 2013, Vietnamese government reported Monday.
The financial institutions' NPL is estimated to reach 146.5 trillion Vietnamese dong (6.94 billion U.S. dollars) in 2013, up 23.73 percent year on year, said a report released on the website of Vietnamese government over a latest online meeting session of Vietnamese government and localities on Monday.
The report said the total NPL of the country's financial institutions remains high, due to slow progress of weak banks' restructuring processes and weak demand of the whole economy.
The operation of Vietnam Asset Management Company (VAMC), established under Resolution 53/2013/ND-CP by Vietnamese Government, has brought about first-step accomplishments. VAMC is likely to buy at least 30-35 trillion Vietnamese dong (1.42-1.65 billion U.S. dollars) NPL of banks in 2013, said the report.
In 2013, the work of monitoring, inspecting and controlling credit quality has been improved to ensure systematic safety and prevent the increase of NPL, according to the report.