Tag #Sun Group

What immediate actions did the State Bank of Vietnam take to address the financial crisis at SCB, and what are the short-term implications for the Vietnamese economy?

The State Bank of Vietnam injected $24 billion into SCB, a commercial bank facing the largest financial fraud case in Vietnam's history, after a massive run on deposits in 2022. This bailout, equivalent to 5% of Vietnam's 2024 GDP, is intended to prevent the bank's collapse, highlighting the country's struggles with banking supervision and risk management. Sun Group, tasked with SCB's restructuring, aims to repay the loan over 15 years.