The Banking Sector Prepares a Massive 500 Trillion VND Preferential Credit Package

At the meeting, Deputy Governor Nguyen Ngoc Canh stated that, following the Government and Prime Minister’s instructions to develop a VND 500,000 billion credit package with preferential interest rates for businesses investing in infrastructure and digital technology, the State Bank of Vietnam (SBV) has been actively working on its implementation.

The SBV has held several discussions with commercial banks to assess their capacity to provide concessional loans and has also worked with various ministries and sectors to understand their investment needs in infrastructure and digital technology.

Commercial banks have expressed their strong support and commitment to the Government and Prime Minister’s directives, with a total registered amount of VND 500,000 billion. The banking sector is now ready with the required resources to implement this program.

However, the banks are awaiting a specific list of projects to conduct thorough evaluations and focus their lending on the right beneficiaries, thus maximizing the impact of the program and contributing to the country’s socio-economic development. Based on the outcomes of these meetings and written feedback from the ministries and sectors, the SBV has reported to the Prime Minister on the program’s progress.

Following Deputy Prime Minister Ho Duc Phoc’s instructions, the SBV has requested the Ministries of Construction, Industry and Trade, and Science and Technology to provide lists of projects eligible for the program to guide commercial banks in their lending processes.

This VND 500,000 billion credit program for infrastructure and digital technology investments has garnered significant attention and guidance from the Government and Prime Minister, as well as businesses undertaking key infrastructure projects. Therefore, expediting the program’s implementation is crucial to encourage investments, unlock resources, and boost economic growth as envisioned. “The SBV has organized a meeting with representatives from the Ministries of Finance, Construction, Industry and Trade, and Science and Technology, along with leaders of 21 commercial banks participating in the program,” shared Deputy Governor Nguyen Ngoc Canh.

After hearing reports on the program’s progress, challenges, and proposed solutions, as well as the opinions of the ministries, commercial banks, and SBV units present at the meeting, Deputy Governor emphasized the importance of supporting businesses in infrastructure and digital technology investments as a significant national policy. He highly appreciated the commercial banks’ enthusiasm and determination in implementing this credit program.

During the meeting, the Deputy Governor instructed the commercial banks to provide written opinions on the new preferential interest rate within the framework of the VND 500,000 billion credit program. The rate should be at least 1.5% lower than the banks’ average medium and long-term lending rates, as directed by the Prime Minister at the Digital Transformation event in the banking sector, instead of the previous minimum reduction of 1%. He also tasked the Credit Department for Economic Sectors with developing implementation guidelines, incorporating feedback from the ministries, sectors, commercial banks, and relevant SBV units.

Additionally, the Deputy Governor requested the Ministries of Construction, Industry and Trade, and Science and Technology to coordinate with the SBV in promptly providing lists of key projects in the transportation, electricity, and digital technology sectors to enable commercial banks to initiate lending processes.

“Going forward, the SBV will act upon the Prime Minister’s instructions and continue to work closely with the Ministries of Construction, Industry and Trade, and Science and Technology to effectively guide commercial banks in implementing the program and achieving its intended objectives,” concluded Deputy Governor Nguyen Ngoc Canh on the SBV’s direction.