Stress in the Vietnamese banking sector- Analysis from balance sheet data

Abstract

The healthy of the banking sector is very crucial to the sustainablity of financial system and the economy. These financial intermediaries play an important role in the functional operation of the financial system. The interruption of the normal functioning of the financial system might cease the economy activities, affect to the sustainable development of the economy. In this paper, the author analyses the stress of Vietnamese banking sector using balance sheet data. Stages of bank stress was stated out and some lessons for commercial banks to avoid future stress was concluded.