Vietnam Southeast Credit Bottlenecks Ease for Projects

By the end of September, credit outstanding in the Southeast had reached nearly 6.8 quadrillion dong, up 10.93% from the end of 2025, according to the central bank. Across the economy, loans topped 20.7 quadrillion dong, up 11.7%. That scale explains why the region is being singled out: even a modest improvement in disbursement efficiency could unlock a large amount of working capital and project finance for manufacturing, logistics, infrastructure and housing.

The central bank has already introduced mechanisms to exclude or add to lending quotas for commercial banks financing 35 priority projects with combined borrowing needs of about 1.7 quadrillion dong. Fifteen of those projects are in the Southeast, with financing demand of roughly 757 trillion dong. For investors, that suggests policy support is being used not only to expand credit, but to channel it toward projects with regional spillover effects and longer economic lifecycles.

Still, the core problem is not simply a lack of bank appetite. Officials and lenders said many projects remain held back by unresolved land, investment and planning paperwork, making it difficult for banks to judge when to lend and how quickly cash flows will materialize. Large infrastructure schemes also require longer-dated funding than banks are comfortable providing on balance sheet, which raises the need for syndicated loans, blended capital structures and better risk-sharing.

That is why the policy discussion has shifted from “more credit” to “cleaner credit.” Bank executives argued that faster land certification, clearer rules on future-formed assets and better disposal mechanisms for collateral would help lenders extend medium- and long-term loans. Businesses, meanwhile, want more flexible underwriting that relies more on cash flow, contracts and repayment capacity rather than collateral alone, especially for small and medium-sized firms.

The economic stakes are broader than project finance. The Southeast is home to major industrial, digital and logistics clusters, so faster credit transmission could support supply chains, exports and private investment at a time when companies are still facing tight funding conditions. That matters in a wider environment where borrowing costs remain sensitive and credit demand has become more selective, particularly for smaller firms with weaker balance sheets.

The clearest sign that banks see opportunity in the region was the signing of 18 financing agreements at the conference. Among them, BIDV and VietinBank agreed to co-finance a PTSC marine engineering package worth $2.8 billion, while HDBank and Vikki Bank signed five deals worth more than 124.5 trillion dong for infrastructure, urban development and technology projects. NCB also signed agreements tied to major Ho Chi Minh City developments, including the 145.6 trillion-dong Rach Chiec sports complex and the 29.3 trillion-dong Ben Nha Rong–Khanh Hoi park and urban project.

For investors, the near-term implication is that credit growth in the Southeast should remain above the national average if legal obstacles ease and project pipelines mature. The bullish case is that more efficient lending could accelerate construction, industrial output and bank fee income while reducing idle liquidity. The bear case is that legal delays, weak borrower financials and long project gestation periods keep disbursement slower than headline credit balances suggest.

In banking, the winners are likely to be lenders with strong corporate franchises and underwriting capacity; the losers are projects that cannot clear legal or cash-flow hurdles quickly enough. For the regional economy, the payoff would be a smoother conversion of credit into real activity rather than another build-up in undisbursed commitments.