Sacombank will cut interest rates by 1 percentage point on existing loans for both corporate and individual customers in industries directly affected by the COVID-19 pandemic such as tourism, travel, transportation, restaurant - hotel - resort, education, and healthcare.

It will also continue to reduce or waive services fees, restructure debts and reduce the lending interest rate.

These are meant to help the Government and State Bank of Vietnam implement their drastic solutions targeted at achieving the twin goals of containing the pandemic and keeping the economy growing amid the fourth wave of COVID, the most serious so far.

Sacombank has earmarked VND10 trillion (US$4324.47 million) for preferential loans to corporate customers at interest rates starting at 4 per cent for a maximum tenor of six months to help exporters and other businesses overcome the difficulties posed by the pandemic.

The rates will apply through this year or when the corpus source runs out, whichever is first.

Soon the bank plans to offer other preferential packages to further enhance practical solutions to support customers.

The pandemic has had a huge impact on the global economy and society, including Viet Nam, since 2020.

The Government has given timely and clear instructions to cope with the pandemic while also ensuring economic growth is not affected.

Based on the State Bank of Vietnam’s mandates, Sacombank has been offering support to customers in the form of waiver of and reduction in interest and service fees, restructuring debts in accordance with Circulars 1 and 3 and rolling preferential credit packages worth trillions of dong. — VNS