The lowest short-term loan interest rate is 4.5 per cent per year, while the rate for medium and long-term loans fluctuate around 7.9 per cent per year. (Photo: cafef.vn)

Commercial banks have stimulated credit demand right from the start of the year to support economic growth.

Many banks have implemented loan packages with preferential interest rates. Currently, the lowest short-term loan interest rate is from 4.5%, while medium and long-term loans fluctuate around 7.9% per year.

Deputy General Director of the Vietnam Bank for Agriculture and Rural Development (Agribank), Phung Thi Binh, said that according to the State Bank of Vietnam (SBV)'s credit growth target calculation, Agribank can increase credit growth by 13% in 2025. It means the bank can pump about 230 trillion VND (9 billion USD) into the economy.

To support businesses and individuals in accessing capital, from the beginning of this year, Agribank has implemented four preferential loan programmes for import-export companies, FDI enterprises, large customers and small and medium enterprises (SMEs). The interest rate reduction of the programmes ranges from 1.2-1.8 percentage point per year depending on the subject. In addition, Agribank also offers a preferential credit package of 110 trillion VND for individual customers.

Meanwhile the General Director of Military Bank (MB), Pham Nhu Anh, said that the bank will allocate at least 50% of its credit growth limit to the retail and SME segments, while the rest will focus on larger businesses. In particular, MB will prioritise credit for manufacturing enterprises and sectors in the SBV’s priority list. This is in line with MB's development strategy for the 2022-26 period which seeks to increase the proportion of retail.

SBV’s Deputy Governor Dao Minh Tu said in 2025 credit policy will be adjusted in a more flexible direction and banks will determine their own credit growth limits on the basis of ensuring operational safety. The SBV will create conditions for capital to flow into production and social housing, while strictly controlling credit across risky areas.

In order to stimulate credit demand, especially to promote lending for social housing, worker homes and the renovation and reconstruction of old apartments, from the beginning of 2025, the SBV has directed nine commercial banks to quickly deploy a credit package of 145 trillion VND.

Agribank’s Deputy General Director Binh predicts that economic recovery and the removal of legal obstacles will help increase the demand for social housing, which will promote the disbursement of the 145 trillion VND credit package more effectively. Many projects that were stalled across 2024 were cleared in the last two months of the year. As of December 31, 2024, Agribank committed to lending 4 trillion VND under the 145 trillion VND credit package to 13 projects and 252 individual customers, of which more than 1 trillion VND was disbursed.

According to the SBV, by the end of 2024, deposit interest rates increased by 0.71 percentage point compared to the beginning of the year, while lending interest rates decreased by 0.59 percentage point.

SBV Deputy Governor Tu requested commercial banks to comply with their commitment to lend at preferential interest rates, while ensuring resources for important economic sectors./.