Since 2020, #VietNam has experienced a surge in nonperforming loans (NPLs). Not only does the growing number of NPLs reduce the stability of the banking system, but each one represents a borrower excluded from credit markets. Many of the NPLs are consumer debts, meaning poorer households are particularly hard hit.
IFC - International Finance Corporation’s collaboration with The World Bank, SECO Economic Cooperation and Development, and local Vietnamese partners has led to the creation of specialized bankruptcy courts and increased private sector investment. IFC's investment aims to strengthen Viet Nam’s financial system, model best practices in debt collection, and give so-called “distressed but viable” companies a financial future by providing them with a new opportunity to settle their debts.
Learn more about how IFC is catalyzing new investment in the Vietnamese NPL market: https://lnkd.in/edVp7B6m
