Non-performing loans ratio at banks to be curbed below 2%

An important task stated in the directive is that the banking system will promote non-cash payments in 2020, particularly for payments regarding public services.

“Renewing and completing the information technology infrastructure and applying modern technology to develop digital banking services and strengthen security, safety and confidentiality in banking operations,” the directive said.

The banking sector will also strive to effectively implement the project on restructuring the banking sector aligned with settlement of non-performing loans in the 2016-2020 period.

The State Bank will regulate the monetary policy in an active, flexible and prudent manner associated with the fiscal policy and other macroeconomic policies tohelp control inflation below 4%, stabilise the macroeconomy, and promote economic growth.

The total outstanding loans of the banking system are also expected to rise by 14% in 2020.