Many commercial banks have announced a 0.5-3 percent cut in lending interest rates and many policies to support customers affected by the Covid-19 pandemic. However, feedback from individual customers in Ho Chi Minh City shows that banks have refused to aid them, even when they are in blocked areas and need priority.
Lately in Ho Chi Minh City, there has been cyber fake news relating to the fight against Covid-19, leaving the community confused and even anxious. After careful tracking, the functional agencies of the city have been able to pinpoint the criminals.
The wave of interest rate cuts has been activated, and it is forecasted that the interest rate level will remain low from now until the end of the year to support businesses and the economy amid the context that the Covid-19 pandemic prolongs as currently.
According to the Ho Chi Minh City Statistical Office, by August 1, the total credit outstanding balance of the banking system in the city had exceeded VND2.68 quadrillion, an increase of 13.1 percent over the same period last year and 5.8 percent compared to the end of last year. This is a good credit growth in the context of the Covid-19 pandemic.
The Governor of the State Bank of Vietnam (SBV) Nguyen Thi Hong, on August 10, sent an official dispatch requesting commercial banks to fully and timely meet capital needs and expand the credit limit granted to traders and enterprises so that they have enough capital to purchase paddy for temporary stockpiling and improve the area and quality of warehouses, preservation, and processing of paddy and rice, contributing to minimizing traffic congestion and the current paddy backlog in the Mekong Delta.
Many commercial banks have now extended their credit growth limit for 2021. This could be the best solution offered by the State Bank of Vietnam because currently monetary policies do not have much room and the brunt of reducing lending interest rates is falling on the economy.