Sacombank has set aside VND3 trillion (US$132.15 million) for preferential loans to household businesses, small traders and firms converted from household businesses in HCM City.

The annual interest rate is 6.9 per cent for short-term loans and from 9 per cent for long-term loans.

At a seminar to connect Sacombank with firms, household businesses and small traders in HCM City held on November 30, the bank signed agreements to offer preferential credit to 55 customers in the city.

The bank said it would continue to offer preferential loans to other eligible customers from now until mid-2018.

Nguyẽn Ngọc Qué Chi, Sacombank’s deputy general director, said the bank has for years offered preferential loans to help enterprises, household businesses and small traders cut back operation costs and improve their competitiveness.

The bank has taken part in the city’s programme to connect banks with enterprises for the last five years.

Sacombank together with other banks have provided loans to thousands of enterprises, household businesses and co-operatives in the city’s 24 districts.

Sacombank alone has provided enterprises and business households with preferential loans of up to VND15.3 trillion under the programme, Chi said.

In January this year, Sacombank, the State Bank of Vietnam and the HCM City Department of Industry and Trade signed an agreement to provide a credit package of VND3 trillion for preferential loans to businesses operating in five key sectors: support industry, exports, agriculture and rural development, hi-tech application, and small- and medium-sized enterprises. — VNS