Vietnam Industry and Trade News Bulletin for November 24, 2016
A. OUTSTANDING GENERAL ECONOMIC NEWS 1. SME Credit and Financial Challenges • Low Capital Absorption: Although Small and Medium Enterprises (SMEs) and household businesses provide 52% of social employment, they only absorb 3% of total bank loans. Only about 30% of SMEs can access formal bank capital. • Barriers to Financing: Banks often require collateral, which many SMEs lack. Additionally, high interest rates compared to the region and a lack of financial transparency (using dual…