In the face of the recent "galloping" increase in land prices, many experts see that due to a lack of income, people rush into real estate business. Therefore, if credit continues to be tightened in real estate, the supply will be even less compared to the increasing demand. Therefore, improving capital flows for the real estate market should be one of the policy priorities in the coming period...
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Illustrations
Participating in the seminar "Opening capital flows for the real estate market" organized by the Vietnam Real Estate Association on May 9, most of the participants said that: Never before has Vietnamese enterprises faced such a challenge. many difficulties like the current period, especially in terms of mechanisms and policies to access capital.
ENTERPRISE IS DIFFICULTY TO ACCESS LOANS
“In developed countries, if investment in the real estate sector increases by 1 USD, it will promote other areas of the economy to develop by 1.5 - 2 USD. The financial market is the main source of capital for real estate investment and creation, so fluctuations in the financial market immediately have a strong impact on the real estate market.
An effective real estate market is the basis for mobilizing financial resources for economic development. Improving the efficiency of banks in regulating loans for real estate investment is a necessary factor for the real estate market to develop healthier and more efficient. In contrast, the capital market is limited, or "tightened", the real estate market is also difficult to promote its capacity, even falling into instability", said Dr. Doan Hong Nhung, Hanoi National University analyzed.
However, according to Mr. Nguyen Quoc Hung, General Secretary of the Vietnam Bankers Association, the State Bank's strict control of real estate credit is a solution to limit speculative activities and help the market become more transparent. transparency, avoid the occurrence of real estate bubble. This is necessary to make the market healthy and reduce risks to the economy, especially in the context of the recent "hot" rise in the real estate market, when most investors use leverage. financial leverage.
Through controlling this capital flow, real estate credit structure has shifted in a positive direction. Specifically, nearly 70% is for consumption and self-use purposes, the rest is for real estate business loans. Although the outstanding loans of the real estate business only account for about 7% of the total credit balance, the secured assets by real estate account for a large proportion (about 80%) of the total world assets. mortgages that banks are currently managing.
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Credit balance for the real estate business is still within a safe threshold. Bad debt for the real estate sector has gradually decreased: In 2018, the bad debt ratio was 3.66%; In 2019, the bad debt ratio decreased to 1.87%. In 2020, the on-balance sheet bad debt ratio is 1.69%; in 2021 is 1.92… This shows that the credit quality for the real estate sector has gradually improved.
However, Mr. Hung as well as many other opinions acknowledged that the policy of tightening credit makes it difficult for people, investors, especially real estate businesses to access loans from banks. Therefore, it is necessary to take measures to open up capital flows so that the real estate market can recover and develop, meet the needs of recovery and growth of the national economic sectors and ensure social security.
REDUCING THE PRESSURE ON THE BANKING SYSTEM
Discussing solutions to open capital flows for real estate, experts say that it is not advisable to "tighten" in general but to "fix" capital so that it can be used for the right purpose.
“First of all, it is necessary to consider the level of real estate credit flexibly, suitable for each commercial bank and each project, it is not advisable to prescribe a common rate of 8% for all commercial banks. . Because commercial banks will be the ones to consider the efficiency, the ability to pay back and earn the profits of the loans, the risk tolerance of the commercial banks themselves," said economist, Assoc. Dr. proposed by Dinh Trong Thinh.
Besides, Mr. Thinh also said that it is necessary to promote credit lending for affordable apartment projects, mid-end apartments, preferential credit policies for social housing projects, housing workers to meet the needs of urbanization, the need to attract labor force for industrial parks and key economic zones, to be the locomotive for development of regions and the whole economy; Provide loans to people who have real home buying needs, especially first-time homebuyers.
At the same time, it is necessary to promote lending to businesses with good financial capacity, able to concentrate resources for focused and focused investment, and soon have real estate products put on the market in a short period of time. suitable time. In particular, it is necessary to pay attention to providing credit capital for projects that are in the process of being implemented and preparing to bring real estate products to the market. This is necessary and important because if the supply of real estate goods cannot meet the increase in demand, it will push up real estate prices and create many consequences.
According to the suggestion of Assoc. Prof. Dr. Ngo Tri Long, Former Director of the Institute for Price Market Research (Ministry of Finance), it is necessary to synchronously implement solutions from renewing awareness, perfecting the legal system, improve the efficiency of state management…
In particular, on the side of the State Bank and commercial banks, monetary policy needs to be operated flexibly, consistently, with an evenly distributed plan to ensure stable credit growth and high quality of the banking system. credit capital into the real estate sector. Regulations on non-production credit lines (including real estate) should not be equal for all credit institutions, it is necessary to clearly identify the non-productive element in real estate credit.
On the Government side, it is necessary to soon supplement the legal corridor and organize the implementation of the formation of non-banking financial institutions such as real estate investment funds, real estate trust funds, etc.
Particularly, the tightening of corporate bonds should be done with a roadmap, slowly, step by step. If the brakes are too fast, it will cause shocks to the market, not bringing benefits to the economy. Regulations should only be introduced to prevent negative phenomena, not too tight regulations on the issuance of corporate bonds. On the contrary, it is still necessary to encourage good businesses to continue to issue corporate bonds and consider this an important medium and long-term capital mobilization channel, reducing pressure on the banking system.
By VnEconomy