While new loans have been issued at significantly lower rates, older loans, even for priority sectors such as mechanical engineering, must still bear high interest rates, especially during a period of economic difficulties.
Besides the lending interest rates, the banks have also disclosed the interest rate gap of deposits and loans, and the lending interest rates for preferential credit packages.
Surveys in banks such as VietinBank, Vietcombank, TPBank, Sacombank and MSB show preferential loan packages currently have interest rates from 0.5 to 2 per cent lower per year depending on customer groups.
The State Bank of Viet Nam has cut policy rates four times to reduce the commercial banks'' lending interest rates for home buyers as well as businesses.
The remaining months of 2023 are forecast to continue to face many challenges with monetary policy management, as both the world and domestic economies are still experiencing complicated developments.
Reducing interest rates, maintaining interest subsidies, hiking credit limits, and providing unsecured loans to manufacturing businesses are among the demands made by businesses in the South-eastern region to the State Bank of Vietnam.
In 2021, corporate bond yields were at their lowest level in history at just 7.86 per cent a year. The interest rate may have d a bottom and will support corporate bond yields inching up in 2022.
Banks have continued to record a decrease in the ratio of return on earning assets due to the lending interest rate cut to support COVID-19 affected customers.
Commercial banks have continuously announced lending interest rate reductions to support and accompany customers to overcome the adverse impacts of the COVID-19 pandemic.
The HCM City Real Estate Association (HoREA) has called on the Government to resolve problems related to legal and administrative procedures and access to funding and cut lending interest rates to revive the property market.