Vietnam Banks Boost Consumer Lending, Interest Rates Still High
Commercial banks in Vietnam, which have completed balancing capital sources and capital adequacy ratio, are boosting consumer lending activities with a series of promotion and bonus programs, but interest rates remain high at 18%-20% per year.
ANZ Bank reduced 1.5%-2% of lending rates for loans to purchase houses, repair houses and house mortgage within first six months.
At HSBC, with consumer loan worth above VND70 million, borrowers will receive VND200,000 of bonus, home loan valued above VND700 million, borrowers will be given VND1 million and loans to buy car will be given 0.5% of interest rate.
Meanwhile, at Saigon Thuong Tin Commercial Joint Stock Co (Sacombank-STB), when opening UnionPay debit card, customers will be given VND99,000.
Despite cash and interest rate bonus, interest rates for consumer loans are still high at between 18% and 20% per annum, which are far beyond reach of local people.
Analysts predicted that interest rates would fall in the first quarter when local banks start their own credit growth plans for 2011 and inflation pressures are over. (Saigon Marketing, Young People)
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