Reduce lending interest rates for policy credit programs

The Prime Minister has just issued Decision No. 750/QD-TTg/2015 on adjusting and reducing lending interest rates for a number of policy credit programs. This Decision takes effect from June 5, 2015.

According to this Decision, from June 5, 2015, the interest rate for loans to the poor, students in difficult circumstances, policy beneficiaries working abroad for a limited period, and loans to the National Employment Fund will be reduced from 7.2%/year (0.6%/month) to 6.6%/year (0.55%/month).

Loans for poor households at Nghi Loc policy bank.

Lending interest rates for rural clean water and environmental sanitation credit programs and loans for production and business households in disadvantaged areas have decreased from 9.6%/year (0.8%/month) to 9.0%/year (0.75%/month).

Lending interest rates for near-poor households also decreased from 0.72%/month (8.64%/year) to 0.66%/month (7.92%/year). Lending interest rates for poor households in poor district 30a decreased from 0.3%/month to 0.275%/month (3.3%/year).

Loan interest rates for workers in poor districts who go to work abroad (according to Decision 71/2009/QD-TTg of the Prime Minister) for poor households and ethnic minority households are reduced from 0.3%/month to 0.275%/month (3.3%/year); for the remaining customers, it is reduced from 0.6%/month to 0.55%/month (i.e. 6.6%/year).

Lending interest rate for traders in difficult areas reduced from 0.8%/month to 0.75%/month.

This is the third consecutive time since 2013 that the Prime Minister has adjusted to lower lending interest rates for poor households, near-poor households and a number of other policy credit programs.

In Nghe An, the loan turnover of policy credit programs has reached over 1,778 billion VND. Some programs with large loan turnover include: poor households 567 billion VND, near-poor households 531 billion VND, students 227 billion VND...

The Government's reduction of credit interest rates for policy bank loans further facilitates borrowers' access to preferential state capital sources with appropriate interest rates, creating more favorable conditions for economic development and poverty reduction, especially in mountainous and disadvantaged areas of Nghe An.

Chau Lan.