Vietnam Leading Bank Further Cut Lending Rates to 14 per cent Per Annum

The Bank for Investment and Development of Vietnam (BIDV), the country's second biggest state-owned bank by assets, Nov 13 announced that it will further cut lending rates to 14 per cent per annum from current 15 per cent, effective from November 17, the lowest level now.

 

This is the seventh time BIDV has cut over the past four months, Vietnam News Agency-run Vietnam & World Report said.

 

Tran Bac Ha, chairman of BIDV said the cut is part of the bank's measures to stimulate domestic production.

 

The bank will apply lending rate of 14 per cent per annum for short-term credits for production units, essential goods makers such as energy, petrol, steel, cement, fertilizer, medicine..., for small and medium enterprises, exporters, rice purchasers.

 

Meanwhile, the bank will apply 15.8 per cent for long-term loans.

 

Between Jan and Oct, BIDV lent VND2 trillion for SMEs. (Young People, Vietnam Economic Times)