Banking & Finance

Petroleum and steel were the two sectors with the strongest growth in the second quarter of 2021, with 4243 per cent and 592 per cent, respectively, compared to the same period last year, thanks to higher oil and gas and steel prices.

Many banks have recently introduced preferential policies on foreign currencies for import-export enterprises, such as preferential loans, financial support through import financing services, foreign exchange support, reasonable fees, and free international money transfer for new corporate customers.

Since April 29, credit institutions, including 78 banks, 22 finance companies, finance leasing companies, and microcredit companies, and 294 credit funds have implemented three rounds of interest rate cuts to support businesses.

Covid-19 has given Vietnam's insurance industry a boost.

To support the development of the domestic livestock industry, especially in the context of Covid-19, the Ministry of Finance has proposed cutting the preferential import tax rate on wheat and corn, which account for a high proportion the ingredients in animal feed, to 3 per cent.

While nearly a million businesses in Vietnam struggle to cope with Covid-19, a number of banks have announced huge first-half profits because 25 to 40 per cent of businesses require loans to maintain operations. Sixteen banks in Vietnam have also agreed to reduce lending rates from July to the end of the year.