return icon Vietnamnet.vn

Tourism businesses struggle to get cut-rate loans

Struggling tourism businesses in HCM City are in dire need of credit to recover but are finding it very difficult to access the subsidised loans under the Government’s Decree 31 that took effect in May, according to the city's Department of Tourism.
HCM City banks and tourism businesses discuss solutions to help the later access loans with an interest rate subsidy of 2 per cent under Government support policies. VNS Photo Thu Hang

Bui Thi Ngoc Hieu, its deputy director, said implementation of the decree, which involves a 2 per cent interest subsidy, would keep businesses hit by the COVID-19 crisis afloat.

The tourism industry, which accounts for more than 10 per cent of the city’s economy, desperately want the subsidised loans to recover, she told a conference on Thursday.

But their access is blocked due to their non-performing loans or failure to meet requirements, she said.

Travel firms have no assets to mortgage for the loan, she said.

The conference was organised by the department and the State Bank of Vietnam to link travel firms with banks and resolve the issues that are preventing the former from borrowing, she said.

Flexible policies are needed to make it easier for businesses to get the low-interest loans, she added.

Nguyen Duc Lenh, deputy director of the central bank’s HCM City branch, said the banking industry would have more support packages for businesses in the second half of this year and coming years.

The State Bank would work closely with the tourism department to remove obstacles faced by travel businesses and support their recovery and growth in line with the city’s socio-economic recovery and development programme, Lenh said.

At the conference, eight banks and travel businesses signed agreements for loans.

In the first seven months of this year the city received 13.3 million domestic and more than 765,000 foreign visitors.

Tourism revenues were worth VND60.3 trillion (US$2.59 billion), up 57.8 per cent year-on-year.

Source: Vietnam News

MORE NEWS

VN banking prospects from now to the end of the year

Under the circular, the State Bank of Vietnam told banks to reschedule debt repayments to help customers affected by the COVID-19 pandemic until June 30 this year.

JPMorgan: 65% of AirPods production to be located in Vietnam in 2025

JPMorgan analyst expects 20 percent of iPad, 5 percent of MacBook, 20 percent of Apple Watch and 65 percent of AirPods production to be located in Vietnam in 2025.

US$2.3 billion withdrawn from stock market, investors begin to worry

Concerns are increasing in the stock market after the State Bank of Vietnam (SBV) raised regulating interest rates and withdrew VND56 trillion (over US$2.3 billion) last week.

Teacher Nguyen Ngoc Ky writing with feet passes away

This morning, 75-year-old teacher Nguyen Ngoc K, who inspired many generations of students with his determination to rise up in life, passed away at his home in Thu Duc City.

Super typhoon barrels through central Vietnam

Super Typhoon Noru, one of the four strongest storms in 20 years, made landfall in the central region of Vietnam at daybreak today, September 28, toppling trees, damaging houses and construction works, blowing away roofs and causing flooding.

Discovering craft villages in Buddhist centre in Quang Ninh

Coming to Yen Tu relic site in Quang Ninh province – Vietnam’s major Buddhist centre, tourists can also experience traditional crafts such as making hats, bamboo handicrafts, and wood carvings.

Ministry drafts mechanism to adjust average retail power price

The Ministry of Industry and Trade (MoIT) is drafting a Prime Minister's Decision on the mechanism for adjusting the average retail electricity price.

Foreign investment disbursement hits record high in nine months

Disbursement of foreign direct investment (FDI) in the first nine months of this year reached 15.4 billion USD, up 16.2 % year-on-year and marking a record high, a report from the Foreign Investment Department (FIA) has shown.

Foreign Minister Bui Thanh Son pays visit to Germany

Minister of Foreign Affairs Bui Thanh Son paid an official visit to Germany from September 26-27 at the invitation of his German counterpart Annalena Baerbock.

2,500 children suffer from cancer in Vietnam every year

The Cancer Centre under the National Paediatrics Hospital, revealed the information in the programme "Con thuyền mơ ước" (Ship of Dreams) to improve people's awareness of children's cancer on Sunday in Hanoi.

New Vietnam-Japan cooperation era: Japanese Vice Minister of Defense

“Let's make 2023 the year that marks the beginning of a new era for both Japan and Vietnam," said Japanese Vice Minister of Defense Yasuhide Nakayama in a talk with VietNamNet.

Challenges ahead for Vietnam this year

“Pressure”, “increased difficulties” and “high risks and challenges”: these are the words used by the Minister of Planning and Investment to describe how hard it will be to fulfill Vietnam’s growth goals this year.

Some industries lack orders, others cannot take more

While woodwork companies are lacking new export orders amid high inflation in the US and Europe, food-processing companies are not receiving new orders because of rising input material prices.

Wholesale and retail sectors lead in new foreign investment approvals

The wholesale and retail industries took the lead in new foreign-invested projects in the January-September period, according to the Ministry of Planning and Investment.

Vietnam cracks down on IUU fishing ahead of EC inspectors’ visit

Deputy Prime Minister Le Van Thanh has ordered strengthening inspections to ward off illegal, unreported and unregulated (IUU) fishing as European Commission (EC) inspectors are coming to Vietnam in October.
back_to_top