Thanh Thuong and Minh Tam
Representatives of banks and enterprises sign credit contracts on Thursday - Photo: Hien Thu
Speaking at a business matching session between companies and banks last Thursday, Nguyen Van Binh, governor of the central bank, said he would call for banks to further cut lending rates.
Interest rates for depositors last year dropped to below 7% per annum for tenors of less than six months, so it is tough for the central bank to go for another rate cut as inflation control remains a priority this year. However, banks should find ways to lower lending rates to buoy consumption given the low consumer price index (CPI) in the first two months this year.
“This is an opportunity for banks to cut lending rates by 0.5 percentage point. The central bank has lowered the lending rate for the VND30-trillion home loan program to around 5% a year, so banks should follow suit to support enterprises and citizens,” Binh said.
Short-term lending rates offered within the bank-business connectivity program hovered at around 9% in late 2013. Banks should reduce short-term lending rates to 7-8% while maintaining medium and long-term rates at around 10%, compared to the 10-12% range last year. Binh said that if it was done, lower rates would benefit corporate borrowers and the economy as a whole.
The central bank has also proposed the Government support the agricultural and rural sector, especially enterprises applying high technology. In recent times, the central bank has given assistance to TH True Milk Company and An Giang Plant Protection Company.
In fact, the current lending rates offered by banks are lower than those before Tet holiday.
Pham Linh, deputy general director of Orient Commercial Bank (OCB), said OCB reduced lending rates by 0.5 percentage point after Tet. At present, the bank’s short-term lending rates range from 9.5% to 11% and medium to long-term rates from 11% to 12%.
Phan Huy Khang, general director of Sacombank, said the bank’s medium to long-term rates are 11-12% and short-term rates 9-10%.
During the meeting, four banks in HCMC – Sacombank, Agribank, VietinBank and Vietcombank – signed credit contracts to lend over VND800 billion to 11 corporate clients. The interest rates range from 6 to 8.5% for short-term loans and 9-11% for medium to long-term loans.
Last year, the city government organized 28 business matching sessions between banks and businesses, with over VND13.7 trillion loans lent to 654 enterprises, family-run businesses and cooperatives. VND12.3 trillion of this amount has been disbursed.
Nguyen Hoang Minh, deputy director of the central bank’s HCMC branch, said banks would continue lending this year, with priority going to high-tech firms. Local banks expect to lend VND156 trillion this year.
Đăng ký: VietNam News