Further interest rate cuts for pilot rural development projects

11:56 | 25/12/2014

VGP – Since January 1, 2015, projects on rural development under a pilot preferential credit program stated in Resolution 14, dated March 3, 2014, will get interest rate cuts for their loans.

Illustration photo

The new regulations replace Decision 1050/QD-NHNN, dated May 28, 2014 on on guidelines for the pilot program of the models of linking production and consumption of agricultural products and hi-tech application in agricultural production.

Accordingly, the maximum short, medium and long-term lending rates will be reduced to only 6.5% (from 7%); 9.5% (from 10%); and 10% (from 10.5%) per year, respectively.

In addition, for closed-loop value chain from production to consumption with over 12 months of borrowing grace (but less than 18 months), commercial banks would consider applying short-term lending interest rates if customers pledge to pay a part of the debt./.

By Kim Anh