Agribank sets aside VND 30,000 billion to lend to small and medium-sized enterprises with interest rates from 4.5% per annum, of which VND 10,000 billion is for short-term loans and VND 20,000 billion for medium and long-term loans.

Agribank reduces lending interest rates for SMEs up to 2%/year compared to normal lending rates, specifically short-term lending interest rate is reduced to 4.5% per annum or lower to supplement working capital for production and business plans.

For medium and long-term interest rates, the minimum is 6.5% per annum to implement new investment projects in service of production and business; investment projects phase 2; investment projects for expansion and improvement of production and business capacity, in which priority is given to the fields of import and export, production, processing, agro-forestry-fishery business, salt industry, agricultural production and processing with application of high technologies, clean agriculture.

The period for applying preferential interest rates is up to 6 months for short-term loans and up to 12 months for medium and long-term loans. The credit package lasts from now until June 30, 2022 or until all disbursements are made.

In addition to this credit package, Agribank is also implementing other credit programs such as VND 100,000 billion for customers affected by the Covid-19 pandemic; VND 15 trillion and USD 300 million to finance import and export customers; USD 150 million for FDI customers; VND 35,000 billion for large customers and VND 20,000 billion in consumer loans for individual customers in urban areas.

Kylie Nguyen