SHB loans to help coffee cultivation in Central Highlands
Saigon Hanoi Commercial Joint Stock Bank (SHB) will provide preferential loans for farmers in the Central Highlands to grow coffee, SHB General Director Nguyen Van Le said.
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This is part of the activities to implement the World Bank-funded Vietnam – Sustainable Agriculture Transformation (VnSAT) project in the Central Highlands.
According to the credit programme, the bank will offer loans at an annual interest rate of 7% with a 9-year term and four-year grace period.
The loans aim to help locals have capital to grow, regrow and take care of their coffee and pepper trees; upgrade soil; buy seedlings, machines and equipment; and invest in watering system and other coffee growing necessities.
The credit programme is expected to help enhance productivity and processing capability to produce more high-quality coffee, thus raising export value, creating jobs and increasing income for local labourers.
Vietnam is among the leading coffee producers and exporters in the world. The Central Highlands, which comprises the five provinces of Dak Lak, Gia Lai, Kon Tum, Dak Nong and Lam Dong, makes up 90% and 93.3% of the nation’s growing area and production, respectively.
As of the end of June, SBH had total assets of VND251.7 trillion. Recently, the State Bank of Vietnam gave the greenlight to the bank to increase its charter capital to over VND12 trillion.
