The 120,000 billion package has not been disbursed due to lack of housing supply.

At the National Assembly's question-and-answer session this morning, November 6, State Bank Governor Nguyen Thi Hong answered questions about the VND120,000 billion loan package to support social housing and said that the State Bank (SBV) is carrying out its tasks according to the Government's Resolution towards the goal of 1 million apartments in the next 10 years. This is a credit package using money from credit institutions, with preferential interest rates also from banks.

The State Bank has issued a document guiding credit institutions in implementation; at the same time, it has sent a document to the People's Committees of interested provinces/cities to announce projects eligible for loans under this credit package. The State Bank requires banks to issue internal procedures for implementation.

Recently, 18/63 provincial People's Committees have announced projects participating in the program with 53 projects, with a total loan demand of VND 27,000 billion. To date, nearly VND 105 billion has been disbursed for 3 projects in 3 provinces/cities.

Governor of the State Bank Nguyen Thi Hong. (Photo: National Assembly)

Governor Nguyen Thi Hong said that the disbursement is still limited because: "The housing supply is limited. The demand for housing is high, but the need to borrow to buy a house is an issue that people consider carefully. There are still opinions reflecting that the lending conditions are still inappropriate. On the other hand, the program is implemented for a long time, 10 years, real estate loans are often prolonged. Therefore, the disbursement will be over time, so the disbursement amount is still low."

The State Bank of Vietnam recommends that the People's Committees of provinces and cities soon announce the list of projects eligible for loans. At the same time, the State Bank of Vietnam will increase information dissemination so that people are fully aware.

Also at the question and answer session on the issue of cashless payments, Governor Nguyen Thi Hong said that recently, the State Bank of Vietnam has implemented many solutions such as reviewing the legal framework to facilitate cashless payments.

Up to now, many activities are carried out through digital channels, applying technology, ensuring the safety of payment activities.

Non-cash payment indicators in the past 9 months have grown strongly, such as the rate of non-cash payment transactions increased by 49% in quantity, transactions via the internet increased by 60.3%, via mobile phone channels increased by 60.8%, via QR code increased by 105%... Transactions via ATM decreased, showing an increasing trend of non-cash payments. In September 2023, cash payments out of total payments decreased by 9.17% compared to 11.73% compared to 2020, showing significant results.

The Governor of the State Bank said that the psychology of using cash, the fear of approaching new payment technologies, and the trend of high-tech crimes make people apprehensive. In the coming time, the State Bank will continue to review documents and coordinate with agencies to complete the legal corridor and take preventive measures to secure information, ensure security and safety for customers, and strengthen communication.

Cong Hieu

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