Ho Chi Minh City begins approving 8 loan projects with 50-100% interest support

Currently, there are 8 projects in the fields of infrastructure investment, health, culture, andeducation approved for loans with 50-100% interest support from the Ho Chi Minh City budget.

Units listen to popular interest rate support policies, creating favorable conditions for businesses and investors to access preferential loans - Photo: N.BINH

On November 8, at the conference to implement the interest rate support policy for investment projects in 4 key industries, supporting industries and logistics in Ho Chi Minh City, Mr. Nguyen Quang Thanh - Deputy General Director of Ho Chi Minh City State Finance Investment Company (HFIC) - said that the city has approved 8 projects in the fields of health , education, infrastructure, mechanics and culture - sports.

These are projects that the unit coordinates with districts, towns and Thu Duc city, as well as related departments and agencies, to gather, review and approve loan plans within the scope of the interest rate support program.

Specifically in the infrastructure sector, the industrial waste treatment center project in Cu Chi district has completed its documents and has been approved by HFIC for a loan with a maximum interest rate support of 70%. In the healthcare sector, two hospital projects, Tam Anh Hospital and Trieu An Hospital, have completed their documents and have been approved for loans.

In the field of education and culture - sports, HFIC has also approved loans for projects to build a multi-purpose cultural and sports center in Phu Nhuan district and a project to develop research and training centers of Ho Chi Minh City University of Economics .

It is expected that after being appraised by HFIC, these projects will be re-evaluated by the working group for lending standards and submitted to the City People's Committee for approval.

At the conference, businesses asked many questions about loan conditions and interest rate support policies during the project implementation process - Photo: N.BINH

In addition to medium- and long-term loans supported by HFIC, Mr. Thanh said that the unit has also signed strategic cooperation agreements with commercial banks such as Agribank and BIDV to implement syndicated loans.

In the coming time, HFIC will continue to cooperate with Vietcombank and VietinBank so that banks can expand working capital loans for projects, plans, and businesses that are eligible for this loan interest rate support policy.

Regarding the project lending mechanism, banks will coordinate with the city in appraising, disbursing and monitoring supported projects, similar to normal lending processes. The city will also coordinate with departments, branches and Business Associations to simplify procedures, develop forms and instructions to help businesses easily access the program.

"This is a special program of Ho Chi Minh City, so the most important requirement is that businesses must have an effective business plan," said Mr. Thanh.

Mr. Nguyen Ngoc Hoa, Chairman of HFIC, said that to implement the program more effectively, the Ho Chi Minh City People's Committee has established an interdisciplinary working group with the two focal points of the Ho Chi Minh City Department of Industry and Trade and the Ho Chi Minh City Department of Planning and Investment to assess the project's effectiveness.

In addition, representatives of HFIC and the Ho Chi Minh City Business Association established a working group to listen to and receive opinions from both businesses and lenders, and coordinate to resolve issues arising during the implementation process.

"Regarding the disbursement target, the city has allocated VND1,500 billion in the 2024 budget to support interest rates for businesses. We believe that this source of capital is sufficient to meet businesses' borrowing needs.

However, it is important to have a positive response from businesses, boldly invest to prepare for the upcoming development cycle, overcome challenges in technology, green standards, and digital transformation," Mr. Hoa added.

With interest rate support of up to 100% and procedural support measures, the program is expected to help businesses access capital more easily, thereby promoting innovation, improving competitiveness and promoting the city's socio-economic development.

The program has two appendices. Appendix 1 is for 5 priority sectors, with logistics support development supported by 50% interest rate, Appendix 2 is for 4 key industries and 2 supporting industries, supported by a maximum of 100% interest rate.

Each business can borrow up to 200 billion VND and receive interest rate support for up to 7 years.

Source: https://tuoitre.vn/tp-hcm-bat-dau-phe-duyet-8-du-an-cho-vay-ho-tro-tu-50-100-lai-suat-20241108174243989.htm