POLICY BOOST URGED AS FINANCIAL LEASING HITS VNĐ40.7 TRILLION IN Q1

Financial leasing reached VNĐ40.7 trillion (US$1.6 billion) by Q1, up 8.4 per cent year-on-year, calling for measures to boost its role in the economy.

Financial leasing reached nearly VNĐ40.7 trillion (US$1.6 billion) by the end of Q1, representing an increase of 8.4 per cent year-on-year. — Photo baochinhphu.vn

HÀ NỘI — Financial leasing reached nearly VNĐ40.7 trillion (US$1.6 billion) at the end of the first quarter of this year, representing an increase of 8.4 per cent year-on-year, Vietnam Financial Leasing Association (VFLE) said, urging solutions to promote the role of financial leasing in the economy.

The increase came amid a complicated global landscape, with geopolitical pressures and spiralling trade tensions, but with a robust domestic market with a solid GDP growth of 6.93 per cent in the quarter, supported by strong public investment and a trade surplus of $5 billion.

However, the total outstanding lease balance was flat compared to the end of 2024, due to the impact of rising bad debts, the association said.

Financial leasing was sound in several categories, such as for cars, up 26.4 per cent to VNĐ8.5 trillion, ships up 79.44 per cent and medical equipment up 50 per cent.

Working capital loans expanded by over 40 per cent to VNĐ30 billion, thanks to regulatory easing.

The association has set the goal of expanding total leasing outstanding to VNĐ300-500 trillion over the next five years, in line with the Politburo’s Resolution 68 on private sector development, which represents an annual growth rate of 60-70 per cent.

To achieve this goal, the focus should be on increasing long-term financing, especially for small- and medium–sized enterprises (SMEs) in production technology renovation and digital transformation, the association’s General Secretary Phạm Xuân Hòe, said.

The focus should also be on green finance with the integration of environment – social – governance (ESG) criteria, he said.

It was necessary to diversify funding sources from banks, international partners, bond issuance to improve lending capacity, he added.

Hòe called for the development of a financial leasing law within the next 3-5 years, to create a solid legal framework for the sector. — VNS

Source: VNS

Related News

VIETNAM ECONOMY INVESTMENT

AGRICULTURAL, FORESTRY AND FISHERY EXPORTS REACH NEARLY $49.3 BILLION AFTER EIGHT MONTHS

Asia remained Việt Nam’s largest export market, accounting for 45.5 per cent of total market share, with exports to the region increasing 11.3 per cent year on year. Việt Nam’s agricultural, forestry and fishery exports totaled nearly US$49.3 billion in the first eight months of this year, up 7 per cent year on year, maintaining growth momentum despite divergent trends among major product groups.

Sep 09, 2026

BANKING / FINANCE / INSURANCE / TAX

BANK DEPOSITS OVERTAKE CREDIT GROWTH IN LATE AUGUST

Vietnamese đồng deposits at banks grew faster than credit by late August, reversing a trend seen earlier this year and easing some short-term liquidity pressure, although banks continue to face high funding costs amid strong demand for loans. Speaking at the Government’s regular meeting, Trần Quốc Phương, deputy minister of finance, said that as of August 22, Vietnamese đồng deposits at credit institutions had increased 8.77 per cent from the beginning of the year, slightly exceeding the 8.38 per cent growth in Vietnamese đồng lending.

Sep 09, 2026

VIETNAM ECONOMY INVESTMENT

FOREIGN CAPITAL SEEKS STRONGER FOOTHOLD IN VIỆT NAM THROUGH M&A

Foreign investors carried out 1,815 capital contribution and share purchase transactions in Việt Nam in the first seven months of 2026, with total capital exceeding $6.5 billion. While the number of transactions fell 8.4 per cent year-on-year, their value rose 61.6 per cent. Rather than investing from scratch to build new production facilities, many foreign investors are choosing to acquire stakes in existing Vietnamese companies as a faster way to establish a foothold in the market.

Sep 09, 2026

GARMENT / TEXTILE

MANUFACTURING PRODUCTION RISES AT FASTEST PACE IN JUST OVER TWO YEARS

Growth in the Vietnamese manufacturing sector continued to strengthen midway through the third quarter of the year. The S&P Global Vietnam Manufacturing Purchasing Managers' Index (PMI) posted 53.3 points in August, up from 52.9 points in July and above the 50.0 no-change mark for the fourteenth consecutive month. The latest strengthening of business conditions in the sector, as revealed on September 3, was the most pronounced since February.

Sep 09, 2026

TECHNOLOGY

TECHNOLOGY, INNOVATION DRIVE CHEMICAL INDUSTRY TOWARDS HIGHER-VALUE GROWTH

Technological innovation, automation and digital transformation are becoming central to the chemical industry as companies seek to move towards higher-value products, strengthen domestic technological capabilities and pursue greener, more sustainable production. The shift is being accelerated by Politburo Resolution No. 57-NQ/TW on breakthroughs in science, technology, innovation and national digital transformation, alongside Việt Nam's chemical industry development strategy to 2030 with a vision to 2040.

Sep 09, 2026

VIETNAM ECONOMY INVESTMENT

FDI INFLOWS RISE 55.4 PER CENT ON YEAR

According to the Foreign Investment Agency under the Ministry of Finance, total foreign direct investment (FDI) registered in Vietnam reached $40.63 billion as of August 31, up 55.4 per cent year-on-year. All three components – newly registered capital, additional capital injected into existing projects, and foreign investors’ capital contributions and share purchases – recorded increases.

Sep 09, 2026