The VND30 trillion (US1.4 billion) loan package will be given to low-income workers, who demand to buy own houses. Photo dddn.com.vn

HA NOI (Biz Hub) — The Prime Minister has asked the State Bank of Viet Nam to direct commercial banks to speed the disbursement of the VND30 trillion (US$1.4 billion) loan package for home buyers.

In the government resolution in the November session, the central bank was required to focus on resolving problems and tackle bad debts, conducting the monetary policy with flexibility and combining fiscal policies reasonably to help enterprises borrow capital for their production and business operations at the end of this year.

The Prime Minister also asked the Ministry of Construction to perform research and design plans to expand flood shelter pilot models, as well as amend economic norms to prevent wasting money.

Earlier, speaking at the session, Minister of Construction Trinh Dinh Dung said there were positive changes in the real estate market, although it remains in a recession.

The real estate inventory has decreased 22 per cent, compared with that in March 2013, he said.

At the moment, the real estate inventory across the country (excluding the on-going projects) is valued at VND100 trillion ($4.7 billion). In November, Vingroup sold 300 apartments at Royal City in Ha Noi, showing an improving sign in the market.

The minister also reaffirmed that the policies to support property market was correct, yet the process of the designing policy was ineffective.

"We all know that unfastening difficulties involves solving the maladjustment of supply and demand. There is high supply and low demand for high-class houses, while it is reverse for average and small-sized ones," he said.

Talking about the VND30 trillion loan package, Dung said that it aimed at supporting low-income workers, and not saving the property market that led to the slow speed of the disbursement.

According to the central bank's Auditing Department, by the beginning of November, 619 individual customers had been given commitments for borrowing money, while 590 customers had received more than VND142 billion ($6.7 million) from the government's housing package. — VNS