Illustrative image (Photo: VNA)

In his urgent directive, the PM asked the central bank to work closely with relevant agencies to monitor global and regional developments, including financial and monetary policies of major economies, ensuring that Vietnam can respond swiftly and effectively to any changes in the global economic climate.

Monetary policy management should be proactive, flexible, timely, and effective, ensuring close and harmonious coordination with a reasonable expansionary fiscal policy, with focuses and targets, and other macroeconomic policies, he said.

The directive underscored the need for drastic measures to manage interest and exchange rates, credit growth, and money supply while also reducing lending rates. The ultimate goal is to facilitate a quick recovery for citizens and businesses hit by Typhoon No. 3, restore production and business activities, stimulate economic growth, and maintain macroeconomic stability.

To achieve these goals, the bank must remove obstacles for citizens and businesses by lowering lending rates, creating jobs, and ensuring livelihoods. This aligns with the principle of harmonised benefits and shared risks, aiming for a 15% credit growth target for 2024.

It was also assigned to funnel credit into production, trade, and priority areas that drive economic growth, including digital transformation, green transition, climate change response, circular economy, sharing economy, sci-tech and innovation. At the same time, it is also essential to closely control credit in high-risk sectors to ensure safe and effective credit operations.

The credit institutions must ensure transparency and openness in offering preferential credit packages that are tailored to the unique needs of various sectors, particularly social and worker housing, forestry, and aquaculture. Furthermore, they were encouraged to raise their social responsibility and business ethics in support of citizens and enterprises in difficult times.

In a firm stance against financial misconducts, the Government leader requested the timely and strict handling of any violations, alongside effective measures to address non-performing loans.

Deputy Prime Minister Ho Duc Phoc was assigned to directly oversee the SBV and relevant agencies in performing the tasks outlined in this directive./.