HDBank Committed to Timely Credit Provision for Economic Growth

The recent conference focusing on 2024 monetary policy tasks, chaired by Prime Minister Pham Minh Chinh, emphasized alleviating corporate challenges, fostering growth, and enhancing macroeconomic stability. Madam Nguyen Thi Phuong Thao, HDBank’s Standing Vice President, highlighted Vietnam’s significant economic growth opportunities.

Madam Nguyen Thi Phuong Thao, HDBank’s Standing Vice President addresses the conference focusing on 2024 monetary policy tasks

Thao said, under the Prime Minister’s decisive leadership, the banking industry, as the economy’s lifeblood, has made substantial contributions to the nation’s overall achievements. These include macroeconomic stability, inflation control, exchange rate stability, foreign currency reserves, and active and flexible monetary policy management, which have collectively elevated national credit ratings.

Targeting credit growth from the year’s outset

From the onset of 2024, HDBank implemented the credit growth target set by the State Bank of Vietnam (SBV) to promptly provide capital for businesses and individuals, thereby stimulating credit needs and fostering production and business growth.

In response to the Government and the SBV’s policies and directions, HDBank launched several credit programs. These include a VND5 trillion credit package for rice purchasing in the Mekong Delta and a VND2 trillion credit package to support petrol stations in investing in electronic invoicing systems.

HDBank has also actively and effectively implemented major programs and policies such as debt restructuring as per SBV’s Circular 02. This affected a total outstanding debt of VND6,670 billion borrowed by 80 customers. As of late February 2024, the restructured debt stood at VND3,650 billion across 62 customers.

In response to the SBV Governor and the Chairman of Ho Chi Minh City People’s Committee’s call to open up credit sources to support businesses and individuals, the bank allocated VND50 trillion for this purpose. To date, over VND10,500 billion has been disbursed to 1,600 corporate customers. The bank also offers incentive packages for retail chains and rural agricultural chains and continues to foster bank-business connections. HD Saison has funded consumer demand, provided swift support for workers in nationwide industrial parks, and disbursed soft loans of VND10 trillion to workers.

HDBank has promoted borrowing services on its applications, including eCredit, eDrawdown, eFactoring, and eZyLoans products. These allow corporate customers to access credit swiftly and cost-effectively. HDBank has also launched a VND10 trillion credit package with zero interest in the first month for new personal and corporate borrowers, existing customers, and SME customers.

HDBank transaction counter

Additionally, HDBank has collaborated with localities to intensify communications against black credit and livestreamed with the National QCQP Program to support farmers and craft villages in boosting e-commerce and promoting and selling products.

Credit growth coupled with tax and fee exemption, reduction and extension for businesses

To better support businesses, Thao raised some recommendations and suggestions:

First, credit growth is coupled with reviewing financial policies, exempting and reducing taxes, fees, charges and land rents to support people and businesses, adjusting personal income tax to boost consumption power.

Second, proposing that the Government Working Group, central agencies, local authorities, and the banking industry collaborate to implement measures aimed at eliminating procedural and licensing obstacles, enabling businesses to continue their real estate and manufacturing projects without hindrance to create job opportunities for the public and an increase in credit disbursement.

Third, quickly restoring confidence to develop the corporate bond market alongside bank credit for businesses and projects with long-term capital sources.

Fourth, supporting loans for farmers, women, startups, and the unskilled labor sector by loosening regulations on security assets.

“We confidently commit to spearheading the response to the Government and the SBV’s programs, with the aim of promptly addressing the economy’s credit demands. We will increase credit for manufacturing sectors, business fields, priority areas, and economic growth drivers in alignment with the policies set forth by the Government and the Prime Minister,” stated Thao.

By Le Phuong, Vietnam Business Forum