“Not every loan requires collateral”

Farmer Le Quang Thang (Quang Ninh) on behalf of farmers nationwide asked questions to Prime Minister Pham Minh Chinh at the Prime Minister’s Dialogue Conference with Vietnamese farmers on the morning of May 29.

Agriculture and rural areas are always given priority, encouraging credit investment

Farmer Le Quang Thang said that after being affected by the Covid-19 epidemic, farmers faced many difficulties in funding to restore production.

“What solution will the government have to direct banks to have a debt freeze policy, debt extension, increase sources of loan limit so that farmers can recover production in time?” asked farmer Le Quang Thang.

Farmer Thang also asked the Prime Minister to say, in the coming time, what specific solutions does the Government have so that in the near future farmers can really get loans without having to mortgage their assets to secure and match. with current regulations? At the same time, businesses that accompany farmers also have preferential loan policies like farmers?

Regarding the two issues posed by farmer Le Quang Thanh, which was appointed by the Prime Minister, Deputy Governor Dao Minh Tu emphasized, the agricultural and rural sector in general and the capital for this field said: are always the non-stop policies of the Central Government and the Government. As for capital resources, the Government has a drastic, daily direction.

According to Deputy Governor Dao Minh Tu, the banking industry under the drastic direction of the Government, the Prime Minister has implemented a lot of policies on credit capital for the fields of agriculture, rural areas, farmers. loan difficulties.

Specifically, on the policy of debt freezing and debt rescheduling for farmers, in the face of the impact of the Covid-19 epidemic, right from the time of the epidemic, the SBV issued Circular 01/2020/TT-NHNN dated March 13, 2020 creating a legal framework for credit institutions to restructure debt repayment terms, exempt and reduce interest fees, maintain debt groups, and remove difficulties for borrowers affected by the epidemic in all fields and industries ; 02 times amending and supplementing the policy in line with the development of the epidemic and further supporting people and businesses. Ensure the capital flow is not interrupted, the business is not dissolved.

This is a policy that has achieved many positive results during the epidemic as well as up to now, 2 million billion VND has been benefited from this policy, nearly 700 trillion VND has been restructured and postponed. Extending debts to maturity, more than 40 trillion dong with the resources of commercial banks has supported, reduced, extended and delayed the interests for businesses in general, including many businesses and people in the field of business. agriculture and rural areas.

Together with the resources of the banking industry, the Government continued to issue a package of VND 350,000 billion, of which VND 40,000 billion provided 2% interest rate support. Agriculture and rural areas through the operation of the banking sector, officially implemented from May 20, Decree No. 31/2022/ND-CP of the Government and Circular 03/2022/TT-NHNN, resonated with the policy The continuation of the banking industry will be implemented on the delay and reduction of interest rates of commercial banks, believing that it will be a favorable condition for businesses, including farmers.

“Not every loan requires collateral”

Regarding loans without collateral as the problem posed by farmers Thang, the Deputy Governor shared that there has never been a field in 10 years where three credit policies have been issued to serve agricultural and rural development. ; including regulations on loans without collateral.

Currently, the State Bank of Vietnam grants the right to self-determination to commercial banks, either as collateral or unsecured loans. Whether borrowing capital requires collateral or unsecured loans is within the competence of credit institutions, and credit institutions must do how to provide the most favorable capital for fields, especially those that are approved by credit institutions. prioritized.

“We will continue to assign the State Bank of Vietnam to Quang Ninh branch and Mr. Thang to determine specifically how to solve the problem together to solve the legitimate needs of farmers. However, the common spirit falls under the jurisdiction of the authorities. However, the issue of lending and debt collection is the principle of credit and to ensure debt collection, there are many ways in which collateral is only one of the methods. , the credit of borrowers and businesses, it is not necessary to set up collateral. Not all loans need collateral, “emphasized the Deputy Governor.