Vietnam Unveils Detailed VND110 Tln Economic-Stimulus Packages

First Deputy Prime Minister Nguyen Sinh Hung has unveiled the detailed VND110 trillion (US$6.6 billion) economic-stimulus package with more than 100 state-owned enterprises to boost investments and consumption to avert recession, Vietnamese state media said.

 

The stimulus package will include VND15 trillion to VND20 trillion worth tax concessions and delays, VND20 trillion to VND30 trillion from the country’s forex reserves to help cut lending rates, VND30 trillion to guarantee loans, and VND20 trillion spending advanced in the last fiscal year, the Vietnam Agriculture newspaper said, quoting Deputy PM Hung.

 

Besides, the government has set a 20 per cent-25 per cent credit growth target for next year; meaning that about VND300 trillion will be pumped into the economy, Mr Dung was quoted as saying.

 

“Top tasks for Vietnam’s leading SOEs which contribute 40 per cent to GDP value must take any measures to achieve GDP growth of 6.5 per cent next year at any cost,” Prime Minister Nguyen Tan Dung was cited by state-run Nhan Dan newspaper as saying. 

 

The Ministry of Planning and Investment will submit laws on procurements, investments and construction to the national assembly, the highest legislative body in Vietnam, for amendments, Deputy PM Hoang Trung Hai said, proposing apparel, footwear... companies to actively seek export orders.

 

Joint stock banks are imposing the lending rates to 13.2 per cent per annum, state-owned commercial banks cut to 10 per cent-11.5 per cent after the State Bank of Vietnam cut benchmark interest rate to 10 per cent per annum on Dec 5. (The People, Vietnam Agriculture)