Sector Insight

Statistics in the first six months of 2023 show the difficulties that the whole banking industry had to go through, from credit growth decelerating, NIM shrinking and NPL increased significantly. However, with many support policies from The State Bank of Vietnam, combined with the valuation of banking stocks still lower than the average level of the past 5 years, we expect banking stocks to take the lead roles as the stock market recovers in the second half of 2023.