Vietnam: Banks slash lending interest rates by up to 3.5 percent per annum

After Vietcombank, HDBank has recently announced to lower lending interest rates for enterprises doing business in many industries with a total interest rate reduction of up to VND120 billion.

Although deposit interest rates in the market remain hot, a few banks have suddenly cut lending rates to support enterprises that need capital for production and business activities, as well as for the preparation of goods for Tet in the last month of the year.

After Vietcombank reduced the interest rate by 1 percent for business loans in Vietnamese dong from November 1, 2022, to December 31, 2022, on November 28, HDBank also announced an interest rate cut for more than 43,000 customers in various business sectors. Accordingly, from November 1 to December 31, 2022, this bank will lower lending interest rates by up to 3.5 percent per annum for individual and corporate customers in different sectors, with interest rate reductions totaling VND120 billion.

Specifically, for individual customers, HDBank reduces interest rates for customers who borrow money for production and business activities, agricultural, and rural economy with an interest rate cut of 0.5 percent – 3.5 percent per annum. HDBank estimates that 38,000 individual customers across the country with 45,000 loans will enjoy lending interest rate cuts.

For corporate customers, HDBank decreases interest rates by 0.5-2.5 percent per annum for customers in the fields of import and export, enterprises in export processing zones and industrial parks, agriculture, transportation, small and medium-sized enterprises, super-small-sized enterprises, processing and manufacturing, tourism, education and training, information services, and accommodation and catering. Accordingly, more than 5,000 corporate customers nationwide with about 10,000 loans will receive lending interest rate reductions.

Source: SGGP