After six years of receiving the fund, the total loan turnover from the Poverty Alleviation Loan Program at the Ho Chi Minh City Bank for Social Policies reached approximately VND2.94 trillion, with 98,650 turns of poor households, near-poor households, and households that have just escaped the near-poor household standard in the area being granted loans.
The HCMC Tourism Department and the State Bank branch in Ho Chi Minh City held a conference on the connection between banks and travel businesses in the city on August 18.
Since the beginning of the year, when production and business activities have been resumed, credit growth has increased robustly. By the beginning of June 2022, the credit of the banking industry had risen by 8 percent compared to the end of 2021, a rather high increase compared to the target of 14 percent for the whole year 2022. Currently, the demand for loans from individuals and businesses remains extremely high, but many banks have reached the limit of credit room, so they cannot lend any more.
Since the beginning of 2021, Ho Chi Minh City has supported more than 406,000 customers with a total outstanding balance of more than VND471.19 trillion under the policies of the State Bank of Vietnam (SBV) on supporting businesses affected by the Covid-19 pandemic. In the fourth quarter of 2021, the city will strengthen the Bank and Business Connection Program with a credit support package of about VND70 trillion.
Mr. Dao Minh Tu, Deputy Governor of the State Bank of Vietnam (SBV), on October 12 at a press conference of the SBV, informed that the credit of the whole banking system rose by 7.42 percent compared to that at the end of last year and surged by 5.48 percent compared to the same period in 2020.
The State Bank of Vietnam (SBV) said that to support people and businesses affected by the Covid-19 pandemic, credit institutions have provided new loans with lower interest rates than before the pandemic, with an accumulated loan outstanding balance from January 23, 2020, to now exceeded VND3.5 quadrillion.
By June 16, the credit growth of the banking industry merely reached 2.13 percent compared to the beginning of this year. Thus, in the first nearly six months of this year, credit growth was only half of that in the same period last year due to the serious impacts of the Covid-19 pandemic.
In order to prepare capital sources for loans at the end of the year, besides mobilizing savings at high interest rates of up to nearly 9 percent per annum for 12-month term, commercial banks have also raced to attract capital through certificate of deposit with interest rate above 10 percent per annum.
The current mobilizing interest rates and certificates of deposit of most commercial banks have touched 9 percent per annum, an increase of 0.5 percent compared to those at the end of last year.
According to the Social Policy Bank, by the end of 2018, total policy credit capital is VND194,402 billion including outstanding loan amount reaching VND187,792 billion ($8 billion) for nearly 6.7 million poor households and top social welfare beneficiaries who have asked for loans
As per the Prime Minister’s decision, preferential loan interest rate for social housing will be 4.8 percent per annum or 0.4 per cent a month at the Vietnam Bank for Social Policies (VBSP).
The Vietnam Bank for Social Policies reported from the beginning of this year to July, over 2.1 individual farming households accessed bank loans, totalling VND 52,850billion (VND 24.49 million per one)
