HCMC – The State Bank of Vietnam (SBV) will refinance local banks with a maximum amount of VND4 trillion to offer loans at no interest to national flag carrier Vietnam Airlines (VNA) before December 31 this year, aimed at helping the carrier cope with the difficulties caused by the Covid-19 pandemic.
SBV is collecting feedback on a draft Circular on refinancing local banks after they offer loans to VNA and restructuring debts for the carrier due to the impact of the pandemic, in line with the resolutions of the National Assembly and the Government, reported the local media.
Specifically, the annual refinance rate of 0% will be applied to refinance periods and rescheduled refinance periods. The refinance rate for overdue debts will be 150% of the refinance rate set by SBV for each period when refinancing loans become overdue debts.
Earlier, VNA had proposed the Government offer it a Covid-19 relief package worth VND12 trillion, including offering soft loans worth VND4 trillion and raising the ownership capital by VND8 trillion by issuing shares to its existing shareholders.
In late November last year, the National Assembly passed a resolution at its 10th sitting, approving the Government’s proposals to eliminate the difficulties facing the carrier due to the impact of Covid-19.