HCMC – The Ministry of Industry and Trade (MOIT) has proposed an annual interest rate subsidy of two percentage points for loans for projects that produce electrical equipment that meets green, circular, and ESG standards.
The proposal is part of a draft Government decree on promoting science, technology, and industrial development in the power equipment sector.
Under the draft, projects producing electrical equipment may also qualify for state investment credit support. Commercial banks would be encouraged to allocate part of their lending resources to businesses investing in new machinery, equipment, and technology.
Enterprises could access investment and science-technology funds to support research, development, and pilot production of electrical equipment.
Small and medium-sized enterprises (SMEs) and startups in the sector may receive a 30% reduction in land lease fees for the first five years after signing land lease contracts with industrial park or technology incubator operators. The Government would reimburse the landlords for the reduced fees.
SMEs and supporting industries could also be given priority in leasing unused or underutilized public properties at the local level.
The ministry is seeking public feedback on the draft decree through its online portal.
