HCMC revives business investment capital support program

On February 19, the Ho Chi Minh City Finance and Investment State-owned Company (HFIC) and the Ho Chi Minh City Union of Business Association (HUBA) signed a cooperation agreement to provide businesses with preferential interest rate loans.

HFIC and HUBA sign a cooperation agreement to provide businesses with preferential interest rate loans.

Under the agreement, HUBA will identify and recommend eligible businesses to HFIC for potential lending. HFIC will responsibly assess loan applications from these businesses in accordance with established guidelines. Both parties pledge to actively fulfill the terms of the memorandum, ensuring timely information exchange, experience sharing, and close collaboration in relevant activities.

In his address at the ceremony, Mr. Nguyen Ngoc Hoa, Chairman of the Board of Directors of the HFIC, highlighted that the city's investment stimulus program had been carried out for 20 years, but it faced interruptions since 2020. Restarting the program and fostering collaboration between HFIC and HUBA will facilitate businesses' access to and participation in the interest rate support program from the early stages of promotion and advisory. HFIC is committed to guiding businesses within HUBA through the loan application and procedural processes to swiftly execute investment projects.

In its forthcoming development strategy, HFIC is set to prioritize robust investments in Ho Chi Minh City's pivotal sectors, socio-economic infrastructure investment, such as transportation, energy, and environmental management, key industrial and supporting industry sectors, as well as ventures in logistics. Investments will also be directed towards healthcare, education, science and technology, alongside infrastructural enhancements for residential and urban areas. Furthermore, HFIC will give priority to projects contributing to the realization of smart city initiatives, highly interactive and innovative urban development schemes in the city's Eastern region, and the municipal digital transformation program.

Mr. Nguyen Quang Thanh, Deputy General Director of HFIC, added that projects meeting the city's target criteria will qualify for a loan support of up to VND200 billion, with a support period of seven years. Restarting this program will provide a catalyst for businesses to resume their growth trajectory.

The partnership between HFIC and HUBA in investing in critical socio-economic sectors to enhance project effectiveness and improve the investment environment in the city is not only a guiding principle for HFIC and HUBA but also a consistent and essential goal to implement the city's overarching goals. Simultaneously, establishing and advancing a circular economy linked to the objective of sustainable development is crucial. Notably, it aids the effective execution of the pivotal programs outlined in the Resolution of the 11th Congress of the HCMC Party Organization for the 2020-2025 term.

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