Lack of project portfolio makes it difficult for banks to implement the 500 trillion VND package

Implementing the direction of the Government and the Prime Minister on researching and developing a preferential credit package of about VND 500 trillion for enterprises investing in infrastructure and digital technology to borrow long-term, the State Bank of Vietnam has organized 4 meetings with commercial banks and ministries and branches such as the Ministry of Construction, the Ministry of Industry and Trade, the Ministry of Science and Technology; at the same time, there are 2 official dispatches sent to 21 commercial banks requesting to register a specific amount of money to participate in the Program; 2 official dispatches requesting ministries to provide a list and credit capital needs each year and until 2030.

According to the representative of the State Bank, up to now, all 21 banks have registered for the full scale of 500 trillion VND. Of which, 4 State-owned commercial banks play a core role, each registering 60 trillion VND. The group of 12 large private banks registered 20 trillion VND/bank and 5 smaller banks registered about 4 trillion VND each. Thus, the banking sector has prepared resources to implement the Program.

However, the implementation of the above Program still has some problems, if not resolved, it will affect the disbursement progress. A representative of the Credit Department (SBV) said that currently, the Ministry of Science and Technology has not provided a list of projects participating in the Program; while the list of projects provided by the Ministry of Construction and the Ministry of Industry and Trade is both redundant and insufficient, making it difficult for banks to identify and ensure the right borrowers. In addition, the credit capital needs of important/key projects in the strategic infrastructure sector (transportation, electricity, digital technology) provided by the ministries have not yet been determined so that banks have a basis to calculate and allocate registered capital on the total scale of the credit package of 500 trillion VND.

Representatives of banks affirmed their readiness to accompany the implementation of the Program, but there needs to be a clear and specific list of projects so that the appraisal and lending process is transparent, directed to the right address and promotes real effectiveness in socio-economic development.

Ms. Phung Thi Binh, Deputy General Director of Agribank, said that the bank is ready to support businesses, especially in terms of interest rates, but needs to be clear about responsibilities in lending so that banks can confidently implement it.

Sharing the same view, Dr. Le Duy Binh, Director of Economica Vietnam, said that it is necessary to have a list of loan projects soon so that the supply side, which is the bank, will have a basis to implement the Program. Dr. Le Duy Binh analyzed: one of the bottlenecks of this credit package is that infrastructure investment loans often have long terms (at least 5 to 10 years), while commercial banks are mainly mobilizing short-term capital. In addition, international organizations have repeatedly warned that Vietnam's credit/GDP ratio is already high, and by the end of 2024, this ratio had reached 134%. Therefore, it is necessary to structure and calculate to ensure a plan for capital supply and reasonable capital use, as well as ensure the safety of the credit institution system.

In order for banks to be able to participate in supporting businesses, especially those transforming technology and innovating, Mr. Le Quang Vinh, General Director of Vietcombank, proposed that it is necessary to consider building a mechanism for capital contribution and benefit sharing, instead of applying traditional lending methods.

In fact, banks are also participating in financing many key national infrastructure projects. Specifically, Vietcombank has participated in financing the Lao Cai - Vinh Yen power transmission line project, Nhon Trach 3 and 4 power plants, Long Thanh international airport, etc.

Representatives of some banks' leaders also hope that the State Bank will have a support mechanism related to risk provisioning; not counting some medium and long-term loans under this program to calculate the ratio of short-term capital for medium and long-term loans.

In a recent meeting, Deputy Governor Nguyen Ngoc Canh emphasized that supporting businesses to invest in infrastructure and digital technology is a major policy of the Party and State. Based on the opinions of banks, the State Bank will synthesize and report to the Government. The Deputy Governor affirmed that, regarding the lending subjects, customers are businesses borrowing long-term capital to invest in key/important national projects in the strategic infrastructure sector (transportation, electricity) provided by the Ministry of Construction and the Ministry of Industry and Trade. Particularly for the strategic technology sector, the lending subjects are projects to produce products on the "List of strategic technologies and national strategic technology products" in Decision 1131/QD-TTg dated June 12, 2025 and must be confirmed by the Ministry of Science and Technology. Therefore, it is necessary to soon have a loan portfolio under the 500 trillion VND credit package so that the banking sector can effectively implement it in accordance with the Government's direction.

Source: https://thoibaonganhang.vn/thieu-danh-muc-du-an-ngan-hang-kho-trien-khai-goi-500-nghin-ty-dong-173728.html