Reducing loan interest rates an important policy to support businesses: central bank deputy governor
Illustrative photo
The State Bank of Vietnam (SBV) has been drastically implementing measures, particularly those to reduce loan interest rates, said its deputy governor Dao Minh Tu at a regular government press conference on May 5, calling it one of the important and practical policies to help businesses.
In the first four months of the year, the bank implemented eight policies to support businesses and since the beginning of the year, the SBV has reduced the regulatory interest rate twice, the official said.
Tu said that in general, credit institutions reduce deposit interest by 1-1.2%, and reduce the general lending interest rate of banks in the whole system by 0.5-0.65%. Particularly, state-owned commercial banks saw a more positive reduction with deposit interest rates being decreased by 1-1.5%, and lending rates by 1.5-2%. According to SBV’s statistics, for new deposits and newly made loans and credits, the average deposit rate is 6-6.1% and the average lending interest rate is 9-9.2%.
The figures show positive adjustments for interest rates, said Tu.
Responding to the public expectation of lowering interest rates in the coming time, the official said the bank will continue implementing flexible and reasonable monetary policies, ensuring the main objectives of controlling inflation and stabilising the value of the local currency and the harmonisation between the exchange and interest rates. Therefore, the SBV is continuing to instruct banks to cut interest rates, creating conditions for enterprises to borrow, and expand credit from now to the end of this year./.
Related News
Ambitious profit goals of banks
10:32 | 13/04/2024 Finance
Banks seek to attract foreign capital
10:50 | 09/04/2024 Finance
Mechanisms for bolstering "bolder" and more efficient credit flow
08:24 | 31/03/2024 Import-Export
Credit and access to credit: A problem for banks and businesses
15:24 | 19/03/2024 Finance
Latest News
Old loans must endure higher interest rates temporarily: central bank
15:44 | 19/04/2024 Finance
State-owned enterprises flourished
14:15 | 19/04/2024 Finance
Forum discusses support for women-owned firms to join supply chains
17:41 | 18/04/2024 Finance
Ensure savings and prevent losses in disbursement of public investment
10:24 | 18/04/2024 Finance
More News
Implementing unprecedented fiscal policies to actively support people and businesses
16:25 | 17/04/2024 Finance
Foreign investors net sell in Vietnamese market, banking sector attracts interest
16:13 | 17/04/2024 Finance
Banks record positive business indicators in Q1 2024
14:20 | 16/04/2024 Finance
The finance sector focuses on perfecting institutions, ensuring financial discipline, and budgetary rigor
10:00 | 16/04/2024 Finance
IASB recommends Vietnam prepare infrastructure to apply IFRS
09:57 | 16/04/2024 Finance
Strong decentralization for ministries, branches and localities to manage and use electricity projects
10:50 | 15/04/2024 Finance
The Tax sector’s revenue collection reached 33% of current appropriation
10:50 | 15/04/2024 Finance
Savings interest rates begin rising amid slowing bank deposits
17:58 | 14/04/2024 Finance
Ministry of Finance conducts general verification of public assets
17:07 | 14/04/2024 Finance
Your care
Old loans must endure higher interest rates temporarily: central bank
15:44 | 19/04/2024 Finance
State-owned enterprises flourished
14:15 | 19/04/2024 Finance
Forum discusses support for women-owned firms to join supply chains
17:41 | 18/04/2024 Finance
Ensure savings and prevent losses in disbursement of public investment
10:24 | 18/04/2024 Finance
Implementing unprecedented fiscal policies to actively support people and businesses
16:25 | 17/04/2024 Finance