BUSINESS & PRODUCTION HOUSEHOLDS IN DISADVANTAGED AREAS
LENDING TO BUSINESS AND PRODUCTION HOUSEHOLDS IN DISADVANTAGED AREAS
* Target clients:
- Households as stipulated in the Civil Code (including business farming households) who are non-poor (hereinafter referred to as borrowers) undertaking business and production activities in disadvantaged areas.
- Master of a household is the representative to take responsibility for conducting transaction with VBSP in borrowing and principal and interest repayment.
* Lending conditions:
- Borrowers must have feasible projects or business/production plans which are certified by the local Commune People’s Committee.
- Borrowers must have full civil capacity.
- Borrowers have legal residence at the locality of implementation of the projects/business or production plans .
* Loan size:
- Maximum loan size for a business and productive household is VND 30 million.
- In some specific cases, loan amount can be over VND 30,000,000 to under VND 100,000,000 if borrowers satisfy 3 conditions mentioned above and have owner capital (including: material values, land using right license, labors, capital) of 20% at the minimum of total capital demand for the projects or business and production plans; commit using assets generated from the loans as loan guarantee.
- The formula to define loan size:
Loan size = Capital demand of the project/plan – owner capital contributing to implementation of such project/plan.
* Lending interest rate:
- 10.8%/year for loans taken before 1 May 2009.
- Overdue rate is equal to 130% of the normal interest rate.
- From 1 May 2009 to 31 December 2011, the interest rate is 6.8%/year.
* Loan term:
- As applied to the lending to poor households.
* Lending methods:
- Direct or indirect via mass organizations.
- PARTICIPATORY RESOURCES MANAGEMENT PROJECT (FUNDED BY IFAD)
- RURAL INCOME DIVERSIFICATION PROJECT
- COASTAL WET LAND DEVELOPMENT PROJECT
- POOR ETHNIC MINORITY HOUSEHOLDS IN MEKONG RIVER DELTA
- EXTREMELY DISADVANTAGED ETHNIC MINORITY HOUSEHOLDS
- HOUSING-SUPPORT LOAN FOR THE POOR
- BUSINESSES USING DRUG-DETOXIFIED EMPLOYEES
- FOREST SECTOR DEVELOPMENT
- SMALL AND MEDIUM ENTERPRISES
- SAFE WATER SUPPLY AND RURAL SANITATION
- ENTREPRENEURS IN DISADVANTAGED AREAS
- OVERSEAS WORKERS LENDING
- JOB CREATION
- DISADVANTAGED STUDENTS
- POOR HOUSEHOLDS LENDING
- Effectiveness from job creation loans
- VBSP - Successful Financial Inclusion Model
- Efforts to escape from poverty of ethnic minority women
- Overcome difficulties from VBSP's financial service
- Effective tool in implementing National Targets
- Commune transaction activities of Vietnam Bank for Social Policies
- Measures to boost policy credit efficiencies
- Online conference on training and scientific research in VBSP
- Preferential credit awakens youth's aspiration of start-up
- Helping poor households improve livelihood
LENDING INTEREST RATE
DEPOSIT INTEREST RATE