VBSP temporarily suspends interest collection for borrowers affected by storms and proposes to add VND 4,900 billion in policy credit

On September 19, Mr. Huynh Van Thuan - Deputy General Director of VBSP said that interest collection for borrowers affected by storm No. 3 (Yagi) and floods will be temporarily suspended until December 31, 2024.

VBSP lends to the poor households and other policy beneficiaries in the Northern Midlands and Mountains provinces

Specifically, after the Government held a conference with localities affected by storm No. 3, VBSP immediately deployed solutions to support customers to overcome the consequences caused by storm No. 3.

VBSP has directed units in the system to urgently coordinate with local authorities, mass organizations and related units to review the damage of loan customers to deploy support measures, help customers to quickly overcome the consequences, restore production and stabilize their lives soon.

At the same time, VBSP focuses on accelerating the disbursement of policy credit programs to the right beneficiaries, based on the review data, summarize the damage of loan customers at VBSP. Credit loans especially prioritized for localities severely affected by Yagi to restore production.

Mr. Huynh Van Thuan - Deputy General Director added that based on the level of damage to capital and assets of the borrower, VBSP where the loan is made will urgently complete the process of establishing a dossier to request the handling of risky debt according to current regulations to timely submit to competent authorities in order to create conditions for borrowers suffering damage to overcome the consequences of natural disasters, stabilize their lives and quickly restore production.

VBSP also extends debt and adjusts the debt term for loans due for repayment (implemented for loans with debt due from September 2024). The normal term is a maximum of 12 months for short-term loans and a maximum of 1/2 of the loan term for medium and long-term loans.

On September 17, the Government issued Resolution No. 143/NQ-CP on key tasks and solutions to urgently overcome the consequences of storm No. 3 (Yagi), promote the recovery of production and business, actively promote economic growth and control inflation well.

In particular, VBSP is required to focus on accelerating the disbursement of policy credit programs; reviewing and synthesizing the losses of customers borrowing capital from banks, building demand for new customers and proposing capital sources for implementation, coordinating with the Ministry of Planning and Investment, the Ministry of Finance to report to competent authorities.

Regarding the capital source implemented according to the direction in Resolution No. 143, Mr. Huynh Van Thuan informed that VBSP is reviewing and compiling statistics on the demand for loans to restore production to have a lending plan.

“Based on the synthesis of local borrowing needs, VBSP will develop a plan to supplement the credit growth target for 2024. It is expected to submit an additional amount of about VND 4,900 billion”, said Mr. Huynh Van Thuan.

VH