Prime Minister Phạm Minh Chính has urged greater efforts to promote credit access, thus boosting corporate bond and real estate markets in a safe, healthy and sustainable fashion.  

In a dispatch issued on Thursday and sent to relevant ministers, the central bank governor and local leaders, the PM stresses that despite joint efforts, the corporate bond and real estate markets have yet to improve as expected, with low credit growth, difficulties in capital absorption, and increasing bad debts.

Given this, he asks the Ministry of Finance to coordinate with concerned agencies to continue rolling out the fiscal policy in a suitable, focused and effective manner, and combine it with the monetary policy to promote investment, especially the non-state capital flow. 

The ministry needs to quickly review and thoroughly evaluate the payment capacity of corporate bond issuers, especially bonds due for payment in late 2023 and 2024. It also needs to assess the implementation of Decree No. 08/2023/NĐ-CP, dated March 5, 2023 and other documents regulating the trading of corporate bonds in the domestic market and offering of corporate bonds in international market. 

The PM asks the ministry to work together with the Ministry of Justice, Ministry of Planning and Investment, the State Bank of Vietnam (SBV) and other agencies to look back on legal documents on the issuance of corporate bonds, and propose specific plans for legal adjustments and supplements, which should be completed in early December.

Meanwhile, the SBV is urged to keep a close watch on market developments to operate monetary policy and control credit growth. The PM suggests that priorities should be given to production and business, and such growth engines as investment, consumption, export, digital transformation and green transition.

The bank should take solutions to effectively roll out the VNĐ120 trillion (US$4.9 billion) package in preferential lending rates for social housing development and purchase, and push ahead with the VNĐ15 trillion package in the forestry and fishery sectors.

The outcomes of the implementation of the social housing package must be reported to the PM within this month, according to the dispatch.

The leader also requests the bank to facilitate credit access by businesses and people, further streamline administrative procedures, and strictly handle commercial banks that seek ways to hinder credit access by real estate firms and buyers.  

The Ministry of Construction is tasked to coordinate with National Assembly agencies and others to review and perfect the draft Housing Law (amended) and the revised draft Law on Real Estate Business, which are expected to be adopted at the sixth sitting of the 15th legislature.

The Ministry of Natural Resources and Environment will guide localities to remove obstacles to land allocation and lease, especially in land pricing, management and use.

The People’s Committees of centrally-run cities and provinces are asked to speed up the building and approval of planning schemes which serve as a foundation for the rollout of real estate projects, and publicise the list of real estate projects that need to select investors in the form of bidding. — VNS