Accelerating the 2% interest rate support package's implementation

DNHN - On the afternoon of August 17, Deputy Prime Minister Le Minh Khai met with State Banks and ministries to discuss the execution of the Government's Decree No. 31/2022/ND-CP, which provides a 2% interest rate assistance package for companies, cooperatives, and business households.

Standing Deputy Governor of the State Bank Dao Minh Tu said at the meeting that after the Government published Decree No. 31/2022/ND-CP dated May 20, 2022, on interest rate assistance from banks, the State policy for loans from businesses, cooperatives, and business households changed (total support package is about VND 40,000 billion). The State Bank published Circular No. 30/2022/TT-NHNN on the same day, directing commercial banks to support interest rates under Decree 31.

The State Bank has summarized and sent a document to the Ministries of Planning and Investment and Finance to carry out the procedures for submitting to the competent authorities for permission to supplement the actual state budget development investment and development expenditure estimates currently support interest rates in 2022 (approximately 16,035 billion VND) and aggregate and arrange in the state budget estimate in 2023. (about 23,965 billion VND).

Simultaneously, the State Bank revealed the estimated interest rate support ceiling in 2022 for each commercial bank to expedite the program's implementation. Commercial banks have now filed interest rate support plans from the state budget for both schemes, with specifics for each year 2022 and 2023.

According to the State Bank, the results of commercial banks' interest rate assistance loans are still limited after nearly three months of implementation.

According to quick reports from commercial banks, sales of interest rate support loans totalled nearly VND 4,100 billion for nearly 550 customers, the amount of interest supported for customers totalled approximately VND 1.02 billion, and outstanding loans with interest rate support totalled nearly VND 3,966 billion. Banks are currently examining the list of customers who satisfy the requirements for interest rate support and encouraging consumers to complete the processes for interest rate support.

Several causes and difficulties have emerged from preliminary recognition from commercial bank reports, leading to the policy's slow implementation, including difficulty in determining beneficiaries of interest rate support; difficulties arising from the borrower's side; and from commercial banks.

After hearing the report, Deputy Prime Minister Le Minh Khai noted at the meeting that, after three months of executing the interest rate support package, despite the State Bank and related agencies' efforts, the results have been very poor; with this development, disbursement is very tough.

Deputy Prime Minister Le Minh Khai directed ministries and departments to study rules on industries, beneficiaries, loan terms, and so on to identify any issues. Are the rules more stringent than the usual ones? to swiftly alter or recommend that responsible authorities evaluate, amend, and augment as needed.

The Deputy Prime Minister advised, emphasizing the idea of having to look directly at reality to flexibly tackle difficulties posed by reality, that disbursement is used as quickly as possible to help enterprises in compliance with the legislation. The State Bank must take the lead in understanding the problem from the ground up. If challenges or problems are discovered, they must immediately take corrective action within their scope of competence, or recommend that competent authorities evaluate and decide.

As a result, the Deputy Prime Minister charged the State Bank with organizing a conference next week to hear comments from commercial banks and coordinating officials from key ministries (Planning and Investment, Finance, and Investment) to attend to guide and explain to credit institutions.

The Deputy Prime Minister directed the State Bank to quickly establish several working delegations (with the participation of relevant ministries and sectors) to survey the implementation status of commercial banks, understand issues related to the project's implementation in practice, and take prompt measures to address difficulties and problems of the establishment.

Furthermore, the State Bank continues to communicate with relevant authorities, promote information and propaganda, and efficiently implement the program of interest rate assistance for companies, cooperatives, and business households in compliance with rules.

P.V