Handle two zero-dollar banks
On the afternoon of November 11, Deputy Prime Minister and Minister of Finance Ho Duc Phoc reported and explained further issues of concern to National Assembly deputies regarding a group of issues in the banking sector.
Deputy Prime Minister Ho Duc Phoc said that monetary policy and fiscal policy are the driving forces of economic development. When the economy increases or decreases, it will directly affect the system of credit institutions, banks, and the state budget.
The Deputy Prime Minister emphasized that the management of fiscal and monetary policies in recent times has been very good and reasonable. Monetary policies have been managed proactively, promptly, flexibly and effectively.
Fiscal policy has been implemented in an open and reasonable manner, so the results achieved in the past time have been good, with budget revenue increasing sharply, each year higher than the previous year.
In 4 years, the budget revenue has exceeded 1 million billion VND, each year is higher than the previous year. Our country also reduced taxes for businesses and people by nearly 800 thousand billion VND. If under normal conditions, the budget revenue would exceed 2 million billion VND.
Monetary policy has maintained foreign exchange rates and dealt with two zero-dong banks. "We are preparing to deal with another zero-dong bank to stabilize the system," said the Deputy Prime Minister.
Recently, the banking system has had banks subject to compulsory acquisition at zero dong, including Construction Bank (CBBank), Ocean Bank (OceanBank) and Global Petroleum Bank (GPBank). A bank under special control is DongA Bank (DongABank). In mid-October, CBBank and OceanBank were forcibly transferred to the Bank for Foreign Trade of Vietnam (Vietcombank) and the Military Bank (MB).
The other two banks, GPBank and DongA Bank, are expected to continue to complete the plan and transfer it in the future.
In addition to the above 4 banks, at the end of October 2022, Saigon Bank - SCB was also put under special control.
According to the Deputy Prime Minister, this year's GDP is estimated to reach nearly 7%, CPI is about 3.88%, public debt is 37% of GDP. Budget revenue as of November 11 has reached 99.4% of the estimate assigned by the National Assembly.
Thus, budget revenue increased by VND255,216 billion compared to last year, meaning this year could exceed last year by VND300,000 billion. This amount is used to invest in infrastructure such as highways and other projects.
Decree 24 will be amended to facilitate the import of raw gold.
Regarding the management of gold invoices and the gold market, the Deputy Prime Minister stated that, regarding the management of gold invoices, implementing Decree 123 dated October 9, 2020 of the Government and Circular 78 dated May 2, 2023, the Ministry of Finance regularly directs tax authorities to issue 5 documents to guide tax declaration and payment, so the management of invoices of gold selling enterprises and gold selling shops does not have any difficulties or problems.
Regarding the delegates' questions related to the handling issue, some market management delegations inspected and temporarily suspended because they could not prove the source of raw materials (from ancestors, previously stored without counting).
The Deputy Prime Minister emphasized that we will only take action when we discover smuggled gold. If we cannot prove that the gold is smuggled, we have no right to take action against gold shops.
Currently, the State Bank is amending Decree 24, which focuses on gold import, export and trading.
Including tax incentives for domestic goods development, creating conditions for importing input materials for production; when sold, creating conditions for jewelry exports.
Regarding the issue of gold management raised by the delegates, the Deputy Prime Minister said that there is a situation where gold bars are 18 million VND/tael higher (25% compared to the world gold price), the reason is that the world gold price is high, psychology, demand increases, real estate freezes, production and business are difficult, individual corporate bonds are risky... gold becomes a shelter for idle money.
Regarding upcoming solutions, the Government directs to conduct legal and transparent buying and selling; apply information technology to manage gold shops and companies; continue to strongly fight smuggling (discovering 2 smuggling lines of more than 6 tons of gold); promote production and business; promote capital market development.
