Deputy PM: Vietnam to Add VND60T to Stimulate Demand

First Deputy Prime Minister Nguyen Sinh Hung told young businesspeople Monday that the government will spend an additional VND60 trillion (approx US$3.6 billion) to fire up the domestic consumption demand this year.

 

This is part of a number of added policies by the government to boost growth, Deputy PM Hung noted.

 

This fund will be pumped directly into transport infrastructure, irrigation and social welfare projects, Hung added.

 

The government has decided on tax brakes and concessions worth of VND30 trillion.

 

It will also increase guarantees for imports to US$1.5 billion to US$2 billion, Hung said.

 

The government will modify commercial loans and streamline procedures for businesses to borrow low-cost loans, Hung elaborated.

 

So far, one third of local enterprises have borrowed low-cost loans from banks under the government’s subsidized lending program.

 

The government is trying hard to boost cash flows in the economy because banks and finance firms had made low-cost loans of VND218.424 trillion (approx US$13 billion) as of April 10, which was still 20 per cent below the target set by the State Bank of Vietnam said. (http://stox.vn)