Stable monetary policy gives boost to business operations
VOV.VN - Last year saw the State Bank of Vietnam proactively monitor global and domestic economic developments and implement comprehensive measures to support businesses and individuals in accessing bank loans through the stable monetary policy.
This policy contributed significantly to enabling economic growth, while also ensuring macroeconomic stability, controlling inflation, and maintaining the safety of the credit system.
According to the central bank, average lending interest rates in 2024 decreased by 0.59% compared to 2023, allowing firms to access capital at relatively low costs compared to previous years and providing a strong impetus for production and business activities.
Rice is one of the sectors given special priority for concessional loans in agriculture, which is among the five priority sectors of the banking system. Banks have stated that they are ready with sufficient capital to meet the borrowing needs of enterprises and individuals. Indeed, the outstanding loans for this sector account for a significant proportion of the total credit, exceeding 53%.
Nguyen Khac Duy, deputy director of Chon Chinh Import-Export Co., Ltd., reports that the interest rate reduction from 7% to between 5% and 5.5% has enabled the firm to confidently borrow capital to expand production.
“We have borrowed VND150-200 billion from banks at an interest rate of 4-5% per year to invest in expanding our storage facilities and installing a drying system with a capacity of 1,000 tonnes of rice per day to ensure timely procurement,” says Duy.
Similarly, Le Van The, chairman of the Board of Directors of Hop Phat Construction and Structural Co., Ltd., shares that the performance of many businesses showed great improvement in 2024 compared to 2023. At Hop Phat alone, new orders grew by 20% to 30%, a development which prompted the firm to seek additional working capital of approximately VND10 - 15 billion for the final months of the year.
“We are accessing loans from banks at an interest rate of around 6% per year. The nearly 3% lower rate has directly supported us in accessing capital at a reasonable cost, thereby boosting our production activities,” says the CEO.
Despite positive outcomes, businesses continue to face challenges in proving collateral to secure loans. They therefore hope that banks will further simplify loan procedures and roll out more effective preferential credit packages in the year ahead.
The business community believes that the key to enabling enterprises to thrive is to maintain a stable monetary policy, reduce interest rates, and streamline lending processes, that will contribute to sustainable economic growth over the coming years.
