SBV to issue regulations on negotiable interest rate
VGP – The State Bank of Việt Nam (SBV) will issue an ordinance stipulating Vietnamese-currency loans with negotiable interest rates provided by the commercial banks.
The issuance, according to
the SBV, is a move to secure macro-economic stability, curb inflation and ensure
the economic growth rate of 6.5% in 2010.
Illustration
photo
The central bank has required
all commercial banks to provide information about their currently-applied negotiable
interest rates.
The data from the SBV show
that, between March 26 and April 1, the negotiable interest rate for medium and
long-term loans in Vietnamese currency, imposed by State-run commercial banks,
was 14-16%. The figure stood at 16-18% for joint-stock banks.
In February, the SBV
released Ordinance 07/2010/TT-NHNN permitting credit organizations to apply
negotiable interest rate for their medium and long-term loans given to business,
production, service and investment activities.