Loan interest is reduced by at least 1% when implementing the Rice Linkage Program.

According to information from the State Bank on the afternoon of October 15, the Loan Program linking production, processing and consumption of high-quality and low-emission rice products in the Mekong Delta (MD) is being implemented in two phases.

The pilot phase from now until the end of 2025 is mainly lent by Agribank . The next expansion phase is from the end of the pilot until 2030 at credit institutions (CIs). CIs lend using their own mobilized capital, so lending is carried out according to commercial mechanisms.

To meet the short, medium and long-term capital needs of the stages (production, purchasing, processing and consumption) in the rice linkage, credit institutions proactively balance capital sources and reduce costs to apply loan interest rates at least 1% lower per year than the loan interest rate of the corresponding term, currently applied to customers of the same term/same group.

The Ministry of Agriculture and Rural Development and the People's Committees of provinces and cities have not yet announced the actual cost standards for rice production in rice linkages and have not yet determined and announced specialized areas, linkages and entities participating in linkages according to Decision 1490, so credit institutions do not have a basis to assess the capital needs for linkage chains.

In addition to the incentive of a minimum interest rate reduction of 1%, entities participating in rice linkages also enjoy many other incentives according to Decree 55/2015/ND-CP dated June 9, 2015, Decree 116/2018/ND-CP dated September 7, 2018 of the Government on credit policies for agricultural and rural development such as: Maximum unsecured loan amount is from 100 million VND to 3 billion VND (depending on individual customers, cooperatives, and cooperatives); loan policy to encourage agricultural production according to linkage models, high-tech agriculture, with unsecured loans up to 70 - 80% of the value of the plan, project...

Regarding the special debt settlement mechanism according to the State Bank, restructuring the debt repayment period and maintaining the debt group for customers facing difficulties due to objective and force majeure reasons; debt cancellation mechanism for customers facing risks due to natural disasters and epidemics on a large scale or customers who are key affiliated organizations or high-tech enterprises facing risks due to objective and force majeure reasons.

According to Tin Tuc Newspaper

Source: https://doanhnghiepvn.vn/kinh-te/lai-vay-duoc-giam-toi-thieu-1-khi-thuc-hien-chuong-trinh-lien-ket-lua-gao/20241016070834246