Vietnam: In 2024, will it promote the disbursement of the credit program of VND 120 trillion for investors and housing buyers of social housing projects?
- In Vietnam, will it promote the disbursement of the credit program of VND 120 trillion for investors and housing buyers of social housing projects?
- What are the tasks of the State Bank of Vietnam under Resolution 28/ND-CP 2024?
- Which entities can apply for loans from the credit program of VND 120,000 billion in Vietnam?
In Vietnam, will it promote the disbursement of the credit program of VND 120 trillion for investors and housing buyers of social housing projects?
On March 5, 2024, the Government of Vietnam issued Resolution 28/ND-CP 2024 regarding the Government’s regular meeting on February 2024.
The appendix promulgated together with Resolution 28/ND-CP 2024 specifies the specific tasks assigned to ministries, agencies, and localities in March 2024 and the coming time.
Under Section 4 of the Appendix promulgated together with Resolution 28/ND-CP 2024, the State Bank of Vietnam shall take charge of and coordinate with agencies and localities as follows:
a/ Manage monetary policies proactively, flexibly, promptly, and effectively, combining synchronously, closely and harmoniously with fiscal policies and other macro policies; reasonably operate between exchange rate and interest rate under market situation, macroeconomic developments, and monetary policy objectives; continue to encourage credit institutions to reduce costs to reduce lending interest rates; review lending conditions, simplify lending processes and procedures more conveniently, smoothly, flexibly, feasibly and reasonably; restructure loans to remove difficulties for enterprises and people, increase access to credit capital.
b) Enhance access to and promote the disbursement of a credit program of VND 120 trillion for investors and housing buyers of projects on social houses, workers' residences, and projects on renovation and reconstruction of old apartment buildings; research and direct to raise the scale of the credit program to VND 15 trillion for the forestry and fisheries sectors..
.....
Thus, in March 2024 and shortly, the State Bank of Vietnam shall take charge of and coordinate with agencies and localities in, enhancing access and promoting the disbursement of credit programs of VND 120 trillion for investors and housing buyers of projects on social houses, workers' residences, and projects on renovation and reconstruction of old apartment buildings.
What are the tasks of the State Bank of Vietnam under Resolution 28/ND-CP 2024?
The appendix promulgated together with Resolution 28/ND-CP 2024 specifies the specific tasks assigned to ministries, agencies, and localities in March 2024 and the coming time.
Under Section 4 of the Appendix promulgated together with Resolution 28/ND-CP 2024, the State Bank of Vietnam shall take charge of and coordinate with agencies and localities to:
- Manage monetary policies proactively, flexibly, promptly and effectively, combining synchronously, closely and harmoniously with fiscal policies and other macro policies; reasonably operate between exchange rate and interest rate under market situation, macroeconomic developments and monetary policy objectives;
Continue to encourage credit institutions to reduce costs to reduce lending interest rates; review lending conditions, simplify lending processes and procedures more conveniently, smoothly, flexibly, feasibly and reasonably; restructure loans to remove difficulties for enterprises and people, increase access to credit capital.
- Enhance access to and promote the disbursement of a credit program of VND 120 trillion for investors and housing buyers of projects on social houses, workers' residences, and projects on renovation and reconstruction of old apartment buildings; research and direct to raise the scale of the credit program to VND 15 trillion for the forestry and fisheries sectors.
- Actively implement, monitor, and urge relevant ministries and agencies to implement the contents of the National Action Plan to implement the Government of Vietnam's commitments on anti-money laundering, counter-terrorist financing, and counter-financing of proliferation of weapon of mass destruction promulgated by the Prime Minister in Decision 194/QD-TTg on February 23, 2024, swiftly remove Vietnam from the list of Jurisdictions Under Increased Monitoring (Grey List) on the basis of ensuring maximum national interests.
- Drasticly and effectively implement the Project on restructuring the system of credit institutions associated with bad debt settlement in the period of 2021 - 2025.
Instruct credit institutions to step up the handling and recovery of bad debts, improve credit quality, and prevent and limit newly arising bad debts.
Urgently complete the compulsory transfer plan for 03 compulsory purchase banks, and submit it to the Government in March 2024; urgently develop a handling plan for Saigon Commercial Joint Stock Bank (SCB).
Which entities can apply for loans from the credit program of VND 120,000 billion in Vietnam?
Under Section 2 of Official Dispatch 1551/BXD-QLN 2023, the borrowers are specified as follows:
- Individuals:
+ In case of buying social houses, workers' residences (social housing in industrial parks), borrowers include:
++ People with meritorious services to the Resolution prescribed in law on preferential treatment for people with meritorious services to the Resolution;
++ Low-income, poor and near-poor households in urban areas;
++ Employees working in enterprises inside or outside the industrial parks;
++ Commissioned officers, professional and technical non-commissioned officers, standing army, and workers in the agencies of People’s Police and People’s Army;
++ Officials and civil servants prescribed in law on officials and civil servants;
++ Entities who have returned official houses as prescribed in Clause 5 Article 81 of the Law on Housing 2023;
++ Households or individuals subject to land expropriation and land clearance as prescribed without any compensation in the form of housing or residential land paid by the State.
+ For buyers of houses in projects on renovation and reconstruction of apartment buildings, in case apartment owners arranged with relocation must pay for the difference in the area, they may take loans from credit institutions and financial institutions currently active in Vietnam.
- Investors of projects on social houses, workers' residences, and projects on renovation and reconstruction of apartment buildings under the law on housing.
LawNet