Specifically, the annual rediscount rate shall be lowered to 3.5 percent from 4.5 percent while the annual interest rate for loans to offset capital shortages in clearance between the central bank and domestic banks shall be revised down to 6 percent from 7 percent.
The banking system's liquidity is currently in excess with more than VNĐ50 trillion (US$2.1 billion), higher than the SBV’s mandatory requirements. The credit growth quota of banks is also very abundant in the wake of the State Bank of Vietnam (SBV)’s credit growth quota granting early this month.
As many countries plan to adopt the Global Minimum Tax Rate (GMTR) in 2024, experts are concerned that the entry into force of the rate would discourage foreign companies from locating their operations in low-tax countries.
Accordingly, short-term loans with a term of less than six months until June 30 this year will enjoy preferential interest rates from only 7 per cent per year. The incentive package is applicable to SMEs who borrow from VietinBank for the first time or have not been disbursed any loan within the past six months.
The State Bank of Vietnam (SBV) has never issued any documents or statements ordering credit for real estate be tightened, Deputy Governor Dao Minh Tu said on February 8. Real estate is a sector contributing considerably to the economy, and this market is linked with other sectors, he told a meeting on real estate credit.
The Ministry of Finance (MoF) said tax support policies and land-use fee reductions for businesses should be continued throughout 2023 despite shortfalls in state budget collection.
Playing a key role in the local banking system, Vietinbank Vinh Phuc has always taken the lead in delivering soft credit to businesses and customers who are managing to live through difficulties and reinforce business recovery and development.
Việt Nam needed to take action to come up with appropriate tax policies and adapt to the global minimum corporate income tax, a major pillar of the Organisation for Economic Co-operation Development (OECD)’s base erosion and profit–shifting (BEPS) framework.