Prime Minister Pham Minh Chinh on Wednesday approved a decision that lowers the interest rate on loans for social housing buyers from 5 per cent to 4.8 per cent.

This decision is aimed at providing more affordable housing options for low-income households.

The preferential loan interest rate applies to outstanding loans used to buy, hire-purchase, new construction or home renovation or repair.

The decision takes effect from May 10, 2023 to December 31, 2024.

The Bank for Social Policies is responsible for overseeing the implementation of this decision.

Last month, the Government approved the project "investing in the construction of at least one million social housing apartments for low-income workers in industrial parks for 2021-30". The aim is to have around 1,062,200 local apartments ready by 2030, with an estimated 428,000 units to be completed during 2021-25 and a further 634,200 units during 2025-30. — VNS