Buying Bad Debts: Private or Public Money?

Source: Nhịp cầu đầu tư

By Nguyen Xuan Thanh

Thursday, July 30, 2012

Systematic bad debts often incurred after the credit boom in the hot cycle of economic growth and safety regulations on the operation of absence, or is disabled, both issues present in Vietnam. This report aims to present the current bad debts situation in the banking sector, how banks attempt to cover up bad debts in forms of assets, as well as discussing the role government should play in supporting banking sector solving bad debts. In addition, the article also proposes proper management process in standard model of companies purchasing debts from banks.