BIDV and VINASME signed a co-operation agreement to launch a US$444.4 million credit package for small-and-medium sized enterprises. — VNS Photo

The Bank for Investment and Development of Viet Nam (BIDV) on Thursday launched the VND10 trillion (US$444.4 million) credit package with preferential interest rate for small-and-medium sized enterprises (SMEs).

The launch was held under the comprehensive co-operation agreement between BIDV and the Viet Nam Association of SMEs (VINASME), signed in Ha Noi on Thursday with an aim to provide support to SMEs.

Under the agreement, BIDV would provide the best banking products and services to VINASME’s members.

The bank would also support VINASME in building plans related to development of SMEs, assigned by the Government in Directive No 26/CT-TTg on June 6, 2017.

The two sides would cooperate to organise consultancy activities, improving SMEs’ ability towards building a firm, transparent and healthy SME community.

Speaking at the signing ceremony, Phan Duc Tu, BIDV’s general director, said BIDV has provided support for the SMEs segment, including simplifying procedures to help SMEs get easier access to bank loans, organising consultancy programmes on financial solutions and providing preferential credit packages for SMEs, startups and micro businesses.

“BIDV expects the cooperation would contribute to establishing a one million business community by 2020 according to Government’s Resolution No 35 and building a modern, dynamic and sustainable economy,” Tu added.

Nguyen Van Than, VINASME’s chairman, said the cooperation would help better meet with capital demands of SMEs, thus contributing to the country’s economic development.

By the end of June, BIDV had total assets worth VND1.1 quadrillion and more than 200,000 SMEs customers with debt balance of VND200 trillion. This accounted for 23 per cent of BIDV’s total debt balance and 16 per cent of the country’s total debt balance. — VNS