Loan growth moderated to 10.9% in 2011, about half the government's target of 20%, according to Standard & Poor's.
Primary credit analyst Ivan Tan notes that in 2012, Vietnam banks will reverse some of the excesses of the past, which was characterized by unbridled credit growth. "The government's policies to stabilize credit growth are showing some signs of success. Loan growth moderated to 10.9% in 2011, about half the government's target of 20%. This was significantly lower than the rapid credit growth that lveraged 35% from 2006 to 2010, during which Vietnam's credit-to-GDP ratio soared to 125% from 71%."
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