A worker of PetroVietnam Oil Corporation, a subsidiary of PVN. — VNA/VNS Huy Hùng

Vietnam Oil and Gas Group (PVN) plans to seek credit packages worth about VNĐ250.3 trillion (US$10.11 billion) from now to the end of 2024 to serve its development investment, the company's chairman Lê Mạnh Hùng said.

During the meeting with Prime Minister Phạm Minh Chính in Hà Nội on Thursday, Hùng proposed the State to maintain a stable lending interest rate.

Hùng said PVN's asset and debt structures topped VNĐ240 trillion. If interest rates rose by 1 per cent, the company's capital expenditure would increase by about VNĐ2.4 trillion each year.

In addition, PVN suggested domestic banks, especially the four State-owned joint stock commercial banks, expand credit limits for large projects and large-scale enterprises.

He added that PVN's projects were big ones, so the loan value was also large.

For example, the Nghi Sơn Refinery had a loan scale of about $5 billion. Thus if the Government had the policy to increase the loan limit, large enterprises and large projects could get access to local credit packages effectively.

At the same time, the chairman also petitioned the State Bank of Vietnam to stabilise the exchange rate.

PVN's foreign currency outstanding loans now stood at VNĐ38 trillion, equivalent to $1.55 billion. Therefore, exchange rate fluctuations and risks would also greatly affect the group's business activities, he said. — VNS