Ninh Hoa: Connecting banks and businesses for credit capital

From the beginning of the year until now, credit activities in Ninh Hoa town have grown faster than the average rate of the whole province. To create a connection between the supply and the demand of credit capital in Ninh Hoa town, the State Bank (SBV) - Khanh Hoa Branch has just organized a conference to connect banks and businesses and communicate banking activities, thereby achieving very positive results.

Luu Van Chanh - Deputy General Director of Cat Phu Joint Venture Company Limited (Ninh Thuy ward, Ninh Hoa town) said that the general influence of the world and domestic economic situation in the first months of the year, the company faced difficulties in exporting wood chips to the Japanese market. However, from the end of June until now, the market has shown signs of improvement, and the company's export activities are more stable. So, now the company needs capital of about 100 billion VND to mobilize input materials.

In the first 8 months of 2023, Southern Van Phong International Port (Ninh Thuy ward, Ninh Hoa town) has exploited over 800 thousand tons, reaching 90% of the year's plan. During its operation, the company receives support from banks, especially in accessing preferential programs of the State Bank and the Government. According to Huynh Vinh Phuoc - General Director of Southern Van Phong International Port Joint Stock Company, in the coming time, the company plans to expand the port, build infrastructure, warehouses... so it needs a large amount of capital.

The above are just two of many businesses in need of capital to maintain and expand their scale of operations. According to a report of the State Bank of Khanh Hoa Branch, by the end of July, outstanding loans in the province reached 119,022 billion VND, an increase of 4,550 billion VND compared to the beginning of the year, corresponding to an increase rate of 3.97%. Outstanding loans to corporate customers reached 54,138 billion VND, accounting for 45.3% of the total outstanding loans in the province. Capital mobilization in the whole province reached 115,899 billion VND, an increase of 6,588 billion VND compared to the beginning of the year, equivalent to a rate of 6.03%. Of which, capital mobilization in Ninh Hoa town reached 7,211 billion VND, accounting for 6.26% of the mobilized balance in the province, an increase of 641 billion VND compared to the beginning of the year, corresponding to an increase rate of 9.76%. Outstanding loans in the town reached 7,972 billion VND, accounting for 6.75% of outstanding loans in the entire province, an increase of 682 billion VND or 9.36% compared to the beginning of the year. Capital mobilization and outstanding loans in Ninh Hoa town both have growth rates higher than the average growth rate of the entire province.

Representative of a bank signs credit financing for customers.

Ninh Hoa town has a lot of potentials for economic development with key national projects such as Van Phong - Nha Trang section component project, Khanh Hoa - Buon Ma Thuot expressway construction project… At the same time, the industrial and service sectors are also growing strongly. Therefore, to facilitate businesses in need of capital, the State Bank - Khanh Hoa Branch has just coordinated with Ninh Hoa Town People's Committee to organize a conference to connect banks and businesses. At the conference, 5 commercial banks signed to provide credit capital for 13 customers with a capital of nearly 106 billion VND, including 26.6 billion VND by Sacombank Ninh Hoa Branch, 10 billion VND by ACB Khanh Hoa Branch, 40.7 billion VND by Agribank Ninh Hoa Branch, 1 billion VND by HDbank Nha Trang Branch and 27.5 billion VND by BIDV Khanh Hoa Branch. This result is more than the expectation of credit institutions and businesses in Ninh Hoa town.

Do Trong Thao - Deputy Director of the State Bank of Khanh Hoa Branch said that currently, in Ninh Hoa town there are 2 branches and 11 transaction offices of credit institutions. Through the connection conference, the State Bank of Khanh Hoa Branch has communicated banking activities and increased access to banking services for people and businesses in the town, while orienting branches. Credit institutions increase credit granting to customers engaged in local production and business activities. In addition, credit institutions also promptly implemented preferential policies from the Government and the State Bank on credit for customers such as: Support policies for businesses facing difficulties due to the Covid-19 epidemic; loan policy with interest rate support of 40 trillion VND for businesses, cooperatives and business households; policy to restructure debt repayment terms and maintain the same debt group to support customers in difficulty; 120 trillion VND credit program for social housing, worker housing, and old apartment renovation; 15 trillion VND program for the field of forest products and fisheries... With the existing economic development potential and the proactive connection of credit institutions, credit activities in Ninh Hoa town will grow well in the near future.

Mai Hoang

Translated by T.T