Most of banks have decreased lending interest rates

Cash counting at a branch of the commercial bank in Bien Hoa City

Mr. Pham Thanh Vinh, Director of Vietcombank - Dong Nai Branch, said that this time the branch applied the interest rate reduction program for corporate and individual customers. In particular, for corporate customers, the bank will reduce interest rates by 0.5-1% per year, especially for customers in 9 industries and fields heavily affected by the epidemic. Similarly, for individual customers, the bank also reduces interest rates from 0.5-1% per year for individual customers to borrow the capital for production and business, loans for household spendings.  

The bank notes that it does not apply to outstanding loans enjoying preferential interest rates and some other loans such as securities loans, real estate business loans, etc.

Similarly, a leader of the Bank for Investment and Development of Vietnam (BIDV) - Bien Hoa Branch said that the branch is currently applying a reduction in lending interest rates for customers affected by the Covid-19 epidemic. The leading interest rate reduction program will be applied from July 15 to end of this year, the loan interest rate reduction is currently popular from 0.5-1% per year depending on customers. The branch is expected to continue to support customers facing difficulties due to direct impact of the Covid-19 epidemic in the last months of the year.

According to the Agriculture and Rural Development Bank (Agribank) - Dong Nai Branch, from July 15, the branch will further reduce up to 10% on the current lending interest rate for all short-term, medium and long-term loans of customers, including all existing loans as well as new loans (not applying to loans already enjoying other preferential programs), widely applied at branches, transaction office under Agribank system in Dong Nai Province. At the same time, Agribank in Dong Nai Province also restructured the repayment period, extended the repayment period of principal and interest for customers, considered loan interest exemption and reduction for customers facing difficulties due to the epidemic.

According to many experts, in this interest rate reduction, many banks apply the interest rate reduction to existing outstanding loans, that means debts that enterprises are borrowing from banks. This is a different point compared to the previous reductions because when reducing with the existing loan balance, many enterprises having financial difficulties will be exempted.

Vi Quan

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