HCMC – The soft loan package for social housing may increase from VND120 trillion to VND140 trillion as more banks will get involved, according to Deputy Governor Dao Minh Tu of the State Bank of Vietnam (SBV).
Tu told the local media that four additional joint-stock banks will each set aside VND5 trillion for the expanded package.
The initial VND120 trillion package involved four state-run banks—Agribank, BIDV, VietinBank and Vietcombank, with each pledging VND30 trillion.
The SBV is proposing better terms for homebuyers under the expanded package. Currently, the policy offers a two-percentage-point interest rate discount compared to commercial rates, with adjustments every six months.
The new proposal includes two options: adjusting the rate quarterly or offering a fixed three-percentage-point drop below commercial rates for the first five years, with a minimum discount of one to two points for the subsequent five years. Terms for project investors will remain the same.
The VND120 trillion package currently offers a 7.5% annual interest rate for homebuyers and 8% for project investors, with rates adjusted every six months based on the average rates offered by the state-run banks.
Data from the SBV’s Credit Department showed that only VND1,344 billion of the package has been disbursed so far, including VND1,295 billion to project investors and VND4.9 billion to homebuyers. Agribank has disbursed the most, with VND657 billion.
