By Cuong Nguyen

East Asia Forum-Oct 7, 2026

Vietnam’s rapid growth in 2026 is increasingly driven by surging bank credit rather than broad economic strength. Deposit growth has lagged behind expanding bank credit, creating competition for deposits which risks driving up borrowing costs for firms and households. Recent regulatory easing fails to address the underlying issue of Vietnam’s maturity and liquidity risks. This pursuit of double-digit growth should be recalibrated to avoid reliance on high levels of investment and leverage. Read more at: https://eastasiaforum.org/2026/10/06/vietnams-lending-driven-growth-courts-financial-risks/

First published in East Asia Forum