Which bank has the highest bad debt level today?

Sacombank is the bank with the highest bad debt ratio among listed banks today at 4.89%.

According to a report by Bao Viet Securities Company (BVSC), the total bad debt (from group 3 to group 5) of the group of 10 banks including Vietcombank, Vietinbank, BIDV, MB Bank, VIB, Sacombank, Eximbank, Techcombank, Kienlongbank, BacABank by the end of the first quarter of 2017 reached nearly 50,700 billion VND, a slight increase of 6% compared to the end of last year.

Of which, bad debt, although slightly decreased by 0.1%, still accounts for the largest proportion of total bad debt (53%) with more than VND 27,000 billion. Sacombank is the bank with the highest bad debt ratio among the listed banks at present with 4.89%.

The total bad debt of the group of 10 banks in Vietnam has reached nearly 50,700 billion VND. (Illustration photo: KT)

Eximbank ranked second with about 3%. BIDV is the only large bank in the top 3 with a high bad debt ratio of 2.14%, also an increase compared to the figure of 1.99% at the end of 2016. Banks with a decrease in bad debt ratio in the first quarter are Vietcombank, VIB and Kienlongbank.

According to Bao Viet Securities Company, Vietcombank is the bank with the best asset quality in the system when the bad debt ratio as of the end of the first quarter of 2017 was only 1.48%, down from 1.51% at the end of last year.

Meanwhile, Techcombank's bad debt ratio increased from 1.58% to 1.89%. The bank's total bad debt increased by nearly 16% to more than VND2,600 billion; debt with the potential for capital loss accounted for more than VND1,500 billion, up 10% compared to the end of 2016.

Also according to Bao Viet Securities Company, the opposite increase and decrease of bad debt ratio reflects the differentiation in the process of handling bad debt as well as the ability to manage asset quality among banks.

This is also one of the important bases for the State Bank to consider granting a credit growth ceiling for the year for each bank.

At present, the management agency should not trade off the safety of the system to pursue "hot" credit growth, especially in the context that bad debt is still a burden for many banks./.

According to VOV