Many preferential mechanisms for key agricultural products

According to voters of Dak Nong province, in recent years, industrial crops such as pepper and coffee are the main agricultural products for export, bringing high economic efficiency, but facing the risk of facing large areas of land. degraded, old and poor quality coffee is growing; requires replanting. The current problem is that it is very difficult to get loans for replanting coffee trees. The allocated capital sometimes falls in the dry season, which is the time when replanting cannot be carried out. Therefore, voters suggested that banks should pay attention to funding at the right time, minimizing loan procedures to create the most favorable conditions for production development.

Responding to this issue, the State Bank said that people who borrow money to replant coffee, produce key agricultural products such as coffee, pepper, etc., are all subject to credit policies according to the policy. regulations with many preferential mechanisms. Specifically, people are considered for unsecured loans with a maximum of 100 million to 3 billion dong; customers with high-tech production and business projects and plans, associated in agricultural production, may borrow unsecured loans from 70% to 80% of the project or plan’s value. At the same time, the bank has a specific debt handling mechanism (restructuring the repayment term and keeping the debt group unchanged, debt freezing) when risks arise due to objective reasons or force majeure; receive a minimum interest rate reduction of 0.2%/year when buying insurance in agriculture; are considered, agree on the grace of principal and interest in accordance with the construction period of perennial crops…

In addition, borrowers in the pepper and coffee industry can also access a number of special preferential credit policies under the direction of the Government and the Prime Minister, such as the loan program to encourage the development of industrial agriculture. high technology, clean agriculture according to Resolution 30/NQ-CP dated March 7, 2017 of the Government; loan support program to reduce losses in agriculture according to Decision 68/2013/QD-TTg dated 14/11/2013 of the Prime Minister. Specifically, businesses and people will enjoy the policy of interest rate support when buying machinery according to the list of machinery prescribed by the Ministry of Agriculture and Rural Development or enjoy the policy of compensation for the difference between commercial and industrial interest rates. interest rate on development investment credit of the State when investing in projects of machine lines and equipment for processing pepper and coffee.

In addition, the State Bank has actively and actively reviewed mechanisms and policies on credit activities in the direction of reducing procedures and papers in order to improve the quality of banking services and create favorable conditions for customers to access credit sources; direct credit institutions to step up reform of administrative procedures, simplify internal processes to shorten loan processing time but still ensure loan safety.

Particularly for the agricultural and rural areas, the State Bank said that credit institutions have developed credit products and forms of credit granting with increasingly simple procedures, through the application of Using the form of seasonal lending, lending through credit books, lending through groups and groups of socio-political organizations, deploying mobile banks to the local area to lend and collect debts on behalf of people. because people have to go to the bank’s headquarters… with simple procedures, suitable to the characteristics of this field.

However, according to the State Bank of Vietnam, a number of procedures related to lending activities fall under the jurisdiction of other ministries and sectors and are governed by other provisions of law, such as the formulation and approval of loans. Investment projects, issuance of certificates of land use rights and assets attached to land (especially assets formed on agricultural land such as greenhouses, net houses…), registration of security transactions, audits financial report…

Therefore, the State Bank believes that it is necessary to have more active coordination of ministries, branches and localities to create conditions for the banking industry to continue simplifying lending processes and procedures, shortening the loan processing time. consider and decide on a loan.