The 120,000 billion VND social housing credit package is still unsold

According to the report of the Ministry of Construction, the 120,000 billion VND credit package to support the development of social housing has only disbursed about 640 billion VND for 8 projects. Thus, up to now, the 120,000 billion VND credit package has only disbursed more than 0.53%.

Specifically, BIDV Bank has disbursed VND95.7 billion to 3 project investors in Phu Tho, Thanh Hoa and Binh Duong provinces. VietinBank has disbursed VND128.6 billion to 1 project investor in An Giang province. Agribank has disbursed VND415.7 billion to 4 project investors in Bac Ninh, Quang Ninh and Kien Giang provinces.

Illustration photo. (Source: ST)

In addition to the four state-owned commercial banks (BIDV, VietinBank, Agribank, Vietcombank), Tien Phong Bank (TPbank) has been responsible for participating in the support program under Resolution No. 33/NQ-CP, dated March 11, 2023 of the Government (on a number of solutions to remove obstacles and promote the safe, healthy and sustainable development of the real estate market) with an amount of about VND 5,000 billion. Thus, the credit package has been increased to VND 125,000 billion.

The Ministry of Construction said that the VND120 trillion credit package still faces difficulties, including limited announcement of the list of social housing units eligible for loans. To date, 129 social housing projects, with a scale of more than 114,900 units, have started construction.

However, only 28 localities have announced a list of 68 projects eligible for loans under the program, with a loan demand of more than VND30,000 billion. There are still 59 projects that have started construction but have not been included in the list of eligible loans of the localities.

Some investors do not meet credit conditions, such as not guaranteeing credit balance conditions. At the same time, they do not have other assets to guarantee credit (social housing projects are exempted from land use fees, so they are not eligible for mortgage).

Although the State Bank has lowered interest rates twice, to 8% for investors and 7.5% for home buyers, the Ministry of Construction believes that these interest rates are still high and the preferential period is short, within 3-5 years, so they have not really attracted borrowers.

Faced with the above reality, at the end of April, the Ministry of Construction issued instructions on determining the list of projects, subjects, conditions and criteria for preferential loans.

Accordingly, some conditions have been removed such as conditions on compensation for site clearance and construction permits to remove difficulties. Project investors will soon be able to announce their loan portfolios to approach banks.

Source: https://www.congluan.vn/goi-tin-dung-120000-ty-dong-nha-o-xa-hoi-van-e-post296330.html