2 days ago
Vietnam to study credit packages for young homebuyers
The SBV was also tasked with guiding commercial banks to increase lending and disbursement activities in the real estate sector. — Vietnam News
HANOI: The government has directed the State Bank of Vietnam (SBV) to prioritise lending for commercial housing projects with reasonable prices and to research credit packages for young people looking to buy homes.
The SBV was also tasked with guiding commercial banks to increase lending and disbursement activities in the real estate sector, particularly focusing on housing projects that align with affordability.
The move aims to stimulate credit growth and support the government's goal of achieving 8% gross domestic product (GDP) growth this year.
Commercial banks are also encouraged to actively participate in a 120 trillion dong or about US$4.6bil preferential credit loan programme for the housing sector.
Additionally, the SBV is exploring the development of medium-term credit packages with stable interest rates for affordable commercial housing projects.
Banks are also being instructed to rigorously inspect loans involving real estate collateral.
This includes ensuring proper asset valuation, compliance with lending regulations and implementation of effective credit risk management practices.
To facilitate greater access to credit, the SBV has also been asked to streamline administrative procedures and lending conditions for both individuals and businesses.
At the same time, regulatory oversight will be tightened to prevent corruption, market manipulation and the creation of artificial property price levels.
Meanwhile, the government has assigned the Construction Ministry, in coordination with the Agriculture and Environment Ministry, to urgently review the existing Housing Law and Real Estate Business Law.
The goal is to identify legal inconsistencies and practical challenges that hinder the healthy development of the real estate market.
The outcome of the review will form the basis of a government report to be submitted to the National Assembly, and also proposals for a resolution to amend relevant laws including those governing land, housing and real estate businesses.
The government has also ordered a comprehensive review of all related decrees and circulars, emphasising the need to eliminate burdensome administrative procedures and align regulatory frameworks with current market realities.
The result of these reviews is expected to be submitted to the government later this month.
Local authorities are being urged to expedite land-use planning and create land reserves for housing development, especially in urban areas and industrial parks. — Viet Nam News/ANN
