The government has proposed that the National Assembly (NA) allow it to continue implementing the policy on providing 2 per cent interest rate support to enterprises, cooperatives, and business households under NA Resolution No. 43 on fiscal and monetary policies to support Vietnam’s post-pandemic socio-economic recovery and development.

After nearly two years of implementation, Resolution No. 43 has had a positive impact, helping businesses resolve their difficulties and supporting production, promoting economic recovery, and making important contributions to socio-economic development in 2022 and 2023, according to Chairman of the NA Economic Committee Vu Hong Thanh.

Presenting the results of implementation of Resolution No. 43 at the NA’s 6th session on October 23, Minister of Planning and Investment Nguyen Chi Dung said that to implement the Resolution, the government issued Decree No. 31/2022/ND-CP in May 2022 on a 2 per cent interest rate reduction on loans to enterprises, cooperatives, and business households.

As of the end of August 2023, the total cost of this interest rate support was VND781 billion ($32.5 million), with outstanding loans estimated at VND57 trillion ($2.31 billion) to more than 2,100 customers.

The Vietnam Bank for Social Policies had disbursed preferential credit of more than VND21 trillion ($875 million) to more than 366,000 customers as of the end of September 2023 and disbursed over VND3.6 trillion ($150 million) to support accommodation rentals for 128,746 employers and nearly 5.2 million employees.

Presenting an assessment report on the implementation of Resolution No. 43, Mr. Thanh said that in the context of low credit growth in the first nine months of 2023 and slow capital disbursement in the economic recovery program, the NA Economic Committee agreed with the government’s proposal to continue the interest rate support.