Banks cut interest rates to support firms

Hanoi (VNA) Starting from January 10, four State commercial banks will lower interest rates to support domestic firms operating in five prioritised sectors as stipulated by the State Bank of Vietnam.

The information was revealed during a conference of the banking sector held on January 9 to launch tasks in 2019.

The four banks are the Joint Stock Commercial Bank for Foreign Trade of Vietnam (Vietcombank), the Bank for Investment and Development of Vietnam (BIDV), the Vietnam Bank for Agricultural and Rural Development (Agribank), and the Vietnam Joint Stock Commercial Bank for Industry and Trade (Vietinbank).

Accordingly, Vietcombank set the ceiling of 6 percent in annual interest rates for short-term loans in Vietnamese dong, applicable for all unpaid loans and new ones that incur in 2019.

In addition, the bank will reduce the per annum interest rates for outstanding mid- and long-term loans by 0.5 percent in 2019.

Meanwhile, Agribank and Vietinbank will reduce their lending interest rates by 0.5 percent, said the banks’ representatives.

The five priority sectors stipulated by the State Bank of Vietnam are agriculture and rural development; export; small- and medium-sized enterprises; supporting industries; and hi-tech production.-VNA

Source: Vietnam News Agency