Banks sign contracts to provide preferential loans worth a total of nearly VNĐ793 billion(US$33.3 million) to 34 enterprises and business households in Tân Bình and Tân Phú districts, HCM City, on July 11. — Photo courtesy of Vietbank

HCM CITY — Many banks in HCM City have committed to providing loans worth nearly VNĐ793 billion(US$33.3 million) at preferential interest rates to 34 enterprises and business households in the city’s Tân Bình and Tân Phú districts.

The contracts were signed at a conference to link up banks and businesses organised by the State Bank of Vietnam’s city branch and the people’s committees of the two districts in HCM City on July 11.

The conference aimed to provide information about banking policies related to enterprises, co-operatives and business households in the two districts, and help them borrow for their business activities.

Nguyễn Đức Lệnh, deputy director of the SBV’s city branch, said that earlier this year 20 banks registered preferential credit packages worth more than VNĐ453 trillion ($19 billion) for businesses.

As of the end of June they had disbursed more than VNĐ375 trillion ($15.7 billion) to 86,351 customers.

The loans were provided to businesses mainly in exports, agriculture and rural development, supporting industries, high-tech, and small and medium-sized enterprises.

Most of the borrowers use the loans for the designated purpose, ensuring they can repay in time, the SBV said.

Nguyễn Đăng Khoa, deputy general director of Vietbank, one of the banks to sign up at the conference to provide loans, said: “Vietbank always understands the difficulties faced by enterprises in accessing capital.”

From now through August 30, his bank would lend VNĐ1 trillion ($42 million) on preferential terms at interest rates starting at 8.9 per cent, he added. — VNS