Quang Nam banking system stimulates credit demand at the end of the year.

Customers borrowing money at BIDV Quang Nam . Photo: Q. VIET

Stimulating credit demand

In order to boost credit growth in the final months of the year, many commercial banks in the province are increasing capital supply through a series of credit packages with attractive interest rates.

With Vietcombank Quang Nam, individual and corporate customers can borrow capital for production and business, buying houses, buying cars, etc., with many attractive preferential interest rate programs.

The "Competitive Interest Rate" program provides substantial funding for individual customers borrowing to purchase real estate, build or renovate homes, buy cars, or for consumer purposes, with preferential interest rates starting from just 5.5% per year for the first 6 months for loans under 24 months.

Interest rates start from 5.7% per annum for the first 12 months for loans over 24 months. This "competitive interest rate" is offered by Vietcombank Quang Nam until March 31, 2025.

According to Mr. Vo Van Duc, Director of Vietcombank Quang Nam, the bank has allocated significant capital to implement the "Interest Rate Assurance" program for individual customers and small and medium-sized enterprises borrowing medium and long-term loans to purchase or renovate real estate, for production and business purposes, for car purchases, and for consumer loans, with interest rates starting from only 6.2% per year for medium and long-term periods.

Specifically, the interest rates are fixed at 6.2%/year for 18 months; 6.5%/year for 24 months; 8.0%/year for 36 months; and 9.5%/year for 60 months. This credit stimulus program will also be in effect until March 31, 2025.

Vietcombank Quang Nam is also offering preferential interest rates for short-term business loans, with a floor interest rate of only 4.8% per year for loans with a term of less than 3 months.

BIDV Quang Nam offers quite favorable loan interest rates compared to market rates. The commercial bank is currently providing home purchase loans with a maximum limit of 100% of the collateral value, a loan term of up to 20 years, and a preferential interest rate of 7.3% for the first 6 months.

Credit institutions are offering car loans to customers with a maximum loan limit of 100% of the car's value, a maximum loan term of 10 years, and a preferential interest rate of 7.3% per year for the first 12 months. BIDV Quang Nam is also offering business loans to customers with an interest rate of only 6% per year calculated on a declining balance basis.

To allow credit to "flow" into the economy.

According to statistics from the State Bank of Vietnam's Quang Nam branch, by the end of July, outstanding loans of credit institutions in the area reached VND 108,718 billion.

Commercial banks help customers access digitalization in transactions. Photo: Q. VIET

According to Mr. Pham Trong, Director of the State Bank of Vietnam's Quang Nam branch, many commercial banks are stimulating credit demand with attractive interest rates, giving customers more options to borrow capital for production and business in the last months of the year.

Credit growth not only benefits both banks and customers but also contributes to promoting socio-economic development and ensuring the province's growth targets are met.

The State Bank of Vietnam requires credit institutions to continue implementing solutions to promote credit growth, simplify lending procedures, and create favorable conditions for people and businesses to borrow capital for consumption and investment in production and business development.

"The outstanding loan balance of credit institutions in the area increased by 1.5% by the end of July compared to the beginning of the month, and by 1.76% compared to the beginning of the year. It is essential to stimulate credit demand because the expected growth in outstanding loans by the end of the year must reach 6% compared to the same period last year," Mr. Trong said.

Mr. Pham Trong stated: “The State Bank of Vietnam's Quang Nam branch is directing credit institutions to continue promoting the implementation of bank-enterprise connection programs with various support solutions.”

At the same time, we will create a shift in priority lending areas including: lending to agriculture, rural areas, and exports; lending to supporting industries; lending to small and medium-sized enterprises, and high-tech enterprises... which are strong drivers of economic development.”

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