After nearly one year of launching
the Government’s instructions, policies on implementing some solutions of
solving difficulties for corporates and solving bad debts and so on, Binh Duong
has set out action plans to help businesses maintain their operation and
develop market, increase sale for the sake of spurring local socio-economic
development in 2013.
| At Binh Duong Apparel One-member
Early 2013, the world economy’s
difficulties impacted badly on many businesses’ production and business. Meanwhile,
prices of export orders and consumption market decreased but lending rates and
input materials increased highly. This made many companies dissolve or
Facing this status, National
Assembly, Government, ministries and agencies set out many supportive policies
for businesses to recover economy.
In Binh Duong, obeying seriously and
rapidly the Central’s decisions, the provincial party committee, People’s
Committee, departments, agencies have synchronously launched groups of measures
to curb economic recession and maintain economic growth as well as ensure
social welfare and solve bad debt.
The provincial sector of trade and
industry alone, right from early 2013 the sector held trade-investment promotion
programs, assisted businesses to spread their trademarks, expand markets. These
deeds contributed to solve inventory. In addition, grasping businesses’
production and business and supporting them to improve export capacity were
The provincial department of Trade
and Industry director Vo Van Cu said that as of the end of the third quarter,
the department collected information and made surveys on production and
business of 60 businesses involving in fields of footwear, apparel, wood
processing, mechanics, porcelain and so on in a bid to grasp and solve their
Binh Duong provincial electric
mechanics society chairman Tran Thanh Trong highly valued the local trade and
industry sector’s attention to businesses through dialogues or meetings with
companies. According to Trong, local businesses have exported their goods to
many markets throughout the world. And, dialogues and meetings between the
local leaders and businesses will help local enterprises choose proper business
orientations, partners, products as well as approach foreign partners in an
attempt to seek out new business opportunities.
According to the provincial electric
mechanics society, in the first 9 months of this year the local electric
mechanics sector won a 15% growth compared to the same period last year.
This result is thanks to increase in
purchasing power, stability in materials, interest rate and so on.
Decreasing pressure of interest rates
Amid the difficult periods, the
State Bank of Vietnam constantly cut basic interest
rates. In this province, the State Bank of Vietnam’s Binh Duong branch asked local
credit organizations to cut lending rates, facilitating businesses’ capital
At present, lending rates for small
and medium enterprises is at 7-9% per year for short-time loans and 11.5-13%
per year for medium and long term loans.
Binh Duong provincial society for
wood processing chairman Huynh Quang Thanh shared banks join hands to help
businesses overcome difficulties by good deeds such as reducing lending rates.
This helps many businesses maintain production and improve obstacles.
Statistically, lending rate
reduction has increased credit loans. The total mobilized capital in the
locality has won VND79,980bil, a 9.1% increase from 2012 and total outstaying
loan at VND61,470bil, a 14.2% increase from the past year.
Reported by T.Huynh – Translated by