The State Bank of Vietnam (Ngân hàng Nhà nước) has warned commercial banks that failure to substantially reduce both deposit and lending interest rates will result in tighter credit controls. This directive aims to stimulate economic growth by making borrowing more affordable for businesses and individuals across Vietnam. The central bank emphasized the need for comprehensive implementation of the interest rate reduction policy throughout the entire banking system. Banks are expected to genuinely lower rates, rather than employing measures that negate the intended effect. Failure to comply may lead to restrictions on credit disbursement, potentially hindering economic activity. This move underscores the government’s commitment to supporting economic recovery in Vietnam through monetary policy adjustments. The State Bank of Vietnam will closely monitor banks’ compliance with the new directive.