Mortgages down this year amid little interest in homebuying: central bank

But lending to developers jumped by 23.1%, triple the overall credit growth rate of 6.96%, according to the State Bank of Vietnam (SBV).

Analysts attributed the low interest to the lack of affordable residential products.

Of loans given to the property sector 2.9% have become bad debts and the rate is rising.

The Ministries of Construction and Natural Resources and Environment need to work together and resolve the delays plaguing property development, the SBV said.