Vietnam Gov’t allocates US$685 million in interest subsidy scheme for 2022
The interest subsidy scheme is estimated to total VND40 trillion (US$1.76 billion) for the 2022-2023 period.
The State Bank of Vietnam (SBV) will allocate over VND16 trillion ($685 million) for the interest subsidy of 2% per annum on commercial loans for businesses and people in 2022.
Governor Nguyen Thi Hong of the State Bank of Vietnam at the meeting held on July 6. |
SBV Vice Governor Dao Minh Tu revealed the information at a conference marking the launch of the interest subsidy scheme worth a total of VND40 trillion ($1.76 billion) for the 2022-2023 period.
Under the move, the remainder of the fund, or VND24 trillion ($1 billion), would be disbursed next year.
The main target would be to lower lending costs for businesses, cooperatives, and households amid the severe impacts of the pandemic, which help create the growth engine for economic development.
Minh Tu expected the scheme would make positive impacts on the economy, which requires the close cooperation of commercial banks and governmental agencies for fair and transparent implementation of the Government’s policy.
“The SBV is committed to supervising macro-economic condition and the monetary market for timely intervention, if needed, to contain inflation and stabilize the economy,” Tu added.
According to the SBV, eligible beneficiaries of the scheme are businesses and households in the fields of aviation, logistics; accommodation and catering services; education-training; agro-forestry-fishery; manufacturing-processing; software development, and IT services.
The duration of the support program would be from January 1, 2022, to December 31, 2023.
Credit growth expands to 9.35%
As of June 30, Vietnam’s credit growth expanded by 9.35% against late 2021 and higher than the 6.9% of the same period last year, taking the total outstanding loans in the market to VND11,400 trillion ($487.5 billion).
“The majority of credit has been channeled into priority fields, with steps being taken to tighten capital into risky economic sectors, such as real estate or the stock market,” Tu added.
The banking sector so far has restructured debt payments worth VND709 trillion ($30.3 billion) for customers and waived interest rates of over VND50 trillion ($2.13 billion).
Other News
- Building Hanoi's smart city with smart banking
- Vietnam stock market clears major legal hurdle to potential upgrade
- Cashless parking in Hanoi: Good model fuels smart transport
- Banking sector dominates Vietnam’s corporate bond market
- Prime Minister expects lending to grow by 15% this year
- Vietnam, Singapore strengthen partnership in stock exchange operations
- HSBC raises Vietnam’s GDP growth forecast to 6.5% in 2024
- Hanoi to push for smart tax agency
- Taxes revenue from online shopping in Vietnam nearly triple in H1
- Banks inject over US$20 billion into economy in June, surpassing five-month total
Trending
-
Capital Law to make Hanoi major center for quality education
-
Vietnam news in brief - November 4
-
Foreign labor in Hanoi: a growth engine that needs thorough administration
-
Hanoi seeks partnerships to build skilled workforce for digital transformation
-
Adorable baby hippo wows Hanoi visitors
-
Localizing idols: Vietnam’s shift from Hallyu to homegrown stars
-
Hanoi plans major upgrade for iHaNoi by 2026
-
Berlin Film Festival award-winning motion picture premieres in Vietnam
-
Love triangle drama opens Hanoi Open Stage Festival