Banks boost lending stimulus in the first months of 2024

Saigon - Hanoi Commercial Joint Stock Bank ( SHB ) is implementing a priority program to support interest rate reduction for corporate customers operating in priority areas such as agriculture, rural areas, small and medium enterprises, green projects... and individual customers borrowing for consumption, production and business.

Accordingly, SHB will allocate VND5,000 billion with an interest rate of 6.97% to support businesses in supplementing short-term working capital and VND1,000 billion with preferential interest rates for corporate customers who need to borrow to buy cars with a loan term of 36 months or more. The program will be implemented until May 30, 2024.

Or the preferential interest rate program for enterprises with a scale of 11,000 billion VND, the preferential USD interest rate program for FDI enterprises and enterprises with export activities of 50 million USD, with the current applied interest rate of 6.63%/year.

For individual customers, SHB offers 18,000 billion VND for borrowers to use for production, business and daily needs with preferential interest rates from only 5.99%/year, for a term of up to 25 years.

From February 20, 2024, Nam A Commercial Joint Stock Bank ( Nam A Bank ) also implemented preferential interest rates applicable to personal customer loans. Specifically, for customers borrowing for business purposes, the loan interest rate is only from 7.0%/year. Customers borrowing for consumer needs, the loan interest rate is only from 7.5%/year.

Asia Commercial Joint Stock Bank (ACB) applies home loan interest rates of about 7-8%/year or fixed at 9%/year for the first 2 years. At OCB, the loan interest rate is 7-8%/year, and if there is no promotion, the loan interest rate is about 10%/year.

Finance - Banking - Banks boost lending stimulus in the first months of 2024

BVBank also has a credit package with interest rates from 6.5 % /year applied in the first 3 months from the disbursement date for customers who need loans to buy real estate, build, repair houses...

With a loan package serving production and business for individual customers from an initial capital of VND 25,000 billion, Saigon Thuong Tin Commercial Joint Stock Bank ( Sacombank ) has added an additional VND 10,000 billion, raising the package limit to VND 35,000 billion with interest rates from only 6%/year for terms under 12 months or only from 7%/year for medium and long-term loans.

The new loan package for living has a limit of VND 10,000 billion with an interest rate of only 6.5%/year, fixed for 6 months, 12 months or 24 months. Both loan packages are implemented until March 31, 2024.

At the Big 4 banks, the Joint Stock Commercial Bank for Foreign Trade (Vietcombank) has recently launched a series of lending programs. For short-term production and business loans, the interest rate is only from 5.3%/year and the interest rate is only from 6.5%/year for medium and long-term loans for individual customers and small and medium enterprises.

The interest rate for the first 6 months at this bank is only 6%/year for short-term loans (under 12 months) for individual customers borrowing to buy a house, buy a car or take out a consumer loan. For medium- and long-term loans, the interest rate is 6.3%/year for the first 6 months.

Or at the Vietnam Joint Stock Commercial Bank for Investment and Development (BIDV), individual customers borrowing money to buy a house from the beginning of 2024 will be applied an interest rate of 6.5%/year for the first 6 months by BIDV. The interest rate for the first 12 months is 7%/year, the minimum loan term is 36 months. Customers will enjoy an interest rate of 7.5%-8.5%/year for loans of 60 months or more.

In Official Dispatch No. 18 dated March 5, 2024 on credit growth management in 2024, Prime Minister Pham Minh Chinh pointed out that the lending interest rate has decreased but not commensurate with the decrease in the mobilization interest rate; credit growth in the first two months of 2024 decreased compared to the end of 2023.

On that basis, the State Bank is required to immediately implement management solutions to continue reducing lending interest rates in conjunction with enhancing access to credit capital to support people and businesses in developing production and business, ensuring adequate supply of credit capital and healthy foreign currency, with focus and key points, serving and meeting the capital needs of the economy and ensuring the safety of the credit institution system .

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