State Bank of Vietnam Urges Credit Institutions to Focus on Social Housing Credit Package Disbursement

Hanoi (VNA) – The State Bank of Vietnam continues to urge credit institutions to pay attention to the deployment and disbursement of the social housing credit package of around $5 billion.

This was stated today by the governor of the State Bank of VietnamNguyen Thi Hong, during an interpellation session of the sixth session of the National Assembly of Vietnam of the 15th legislature.

Answering thematic questions from deputies, Nguyen Thi Hong clarified that in recent times, the disbursement of credit packages has been limited due to the limited supply of housing and inadequate credit conditions.

It is a credit package with preferential interest rates coming from the financial resources of the participating banks, he explained.

In the near future, the State Bank will ask the people’s committees of provinces and cities to announce the list of projects eligible for loans and, at the same time, will strengthen information and propaganda work so that people clearly understand the implementation policy of this credit package.

According to Deputy Nguyen Anh Tri, to effectively implement the social housingthe needs and requirements of users in terms of quantity, area, location, price and quality must be understood to plan construction and supply plans.

According to the Government report presented to the National Assembly, as of the end of September 2023, 46 social housing projects in urban areas have been completed throughout the country, with a scale of about 20,210 units; and 419 projects are being implemented, with a scale of around 392,635 units.

Regarding the issue of cashless payments, Governor Nguyen Thi Hong assured that in recent times, the bank has implemented many specific solutions, such as revising the legal corridor to modify, supplement, complete and facilitate such payment method .

To date, many commercial activities are carried out through digital channels, with the application of technology to ensure security in payments such as customer authentication and QR code.

In the last nine months, cashless payment indicators recorded a notable increase, taking into account the increases in the rates of cashless payment transactions, through the Internet, mobile phones and QR codes of 49%, 60, 3%; 60.8% and 105%, respectively.

The State Bank will continue to review documents and coordinate with agencies to complete the legal corridor, adopt preventive solutions to secure information, ensure the safety and security of customers, and strengthen communication so that people have more information, Nguyen Thi Hong said.

Clarifying deputies’ questions on the causes and solutions for credit growth to reach the set target of 14%, Nguyen Thi Hong explained that the decline in business orders and the serious negative impact of the COVID-19 pandemic They constitute main factors of a low credit increase.

According to official data, credit growth in the first nine months of this year only reached 5.91%.

According to Governor Nguyen Thi Hong, the State Bank has acted in the direction of creating the most favorable conditions for credit institutions, implemented solutions and urged credit institutions to review lending procedures to shorten times, minimize procedures and support people better.

When referring to solutions to prevent illegal credit, the governor said that this issue has raised great concern for the Party, the State, the National Assembly and the Government, and emphasized the need for all relevant authorities and branches to coordinate to minimize this problem./.