Agribank Asked to Lend Coffee Purchasers
The State Bank of Vietnam has requested the Bank for Agriculture and Rural Development of Vietnam (Agribank), the biggest bank by assets, to boost lending to local firms to stockpile coffee in the 2009-2010 crop.
Agribank will provide loans at a 6% interest rate offset by the state budget for terms of three months from April 15 to Jul 15 to the firms which are assigned by the Ministry of Agriculture and Rural Development, the central bank said on its website.
The ministry earlier assigned 13 local firms to stockpile as many as 200,000 tons of coffee to prevent a slump of the coffee prices. Coffee beans are offered at VND23,900/kg in the domestic market, up VND400/kg from previous week.
Last week, the central bank requested local commercial banks to boost lending to local firms to help them increase coffee stockpiles, and extend the deadline on settling down matured debts for coffee growers in the 2009-2010 crop. (SBV)
Vietnamese
