Bank for Investment and Development of Vietnam (BIDV) has became thefirst join stock commercial bank to offer a preferential creditprogramme worth 20 trillion VND (921.65 million USD) to the healthcaresector.
The programme provides financial support to speed up theimplementation of targets set in the Government's Decision 93/NQ-CP onmechanisms and policies for healthcare development.
Under theprogramme, BIDV will offer preferential loans for the maximum term ofaround 20 years to hospitals to upgrade facilities and purchase medicalequipment for easing patient overload and improve the quality ofhealthcare services.
Interest rates on the loans in the firsttwo years will be 12-month deposit rates + the band of 1 percent, butthe maximum interest rate must be 7.5 percent, lower than thepreferential rate of 7.8 percent that the Development Bank of Vietnamoffers policy borrowers.
For the next years, interest rates will be 12-month deposit rates + the band of 2 percent.
Both central and local hospitals can borrow under the programme.
BIDVChairman Tran Bac Ha said BIDV is not looking to profit from the creditprogramme but only expecting to join hands with the Government toimprove the services and quality of the healthcare sector. The bank'scurrent medium- and long-term deposit rate is at 7 percent, while thelending rate for both terms is 11-12 percent.
According toHealth Minister Nguyen Thi Kim Tien, Vietnam's hospitals are overloaded,especially those in large cities. Statistics reveal that in Vietnam,hospitals have only 23 beds per 10,000 people compared with 80 beds inthe Republic of Korea and 140 beds in Japan. The World HealthOrganisation's recommended figure is 39 beds.
Tien noted thatthe investment capital demand for the healthcare sector was very largeat roughly 45.454 trillion VND (2 billion USD) during the 2012-15period; however, the Government funds had met only 44 percent of thisdemand. Therefore, loans from commercial banks are very important todevelop the sector's infrastructure, she stressed.-VNA
The programme provides financial support to speed up theimplementation of targets set in the Government's Decision 93/NQ-CP onmechanisms and policies for healthcare development.
Under theprogramme, BIDV will offer preferential loans for the maximum term ofaround 20 years to hospitals to upgrade facilities and purchase medicalequipment for easing patient overload and improve the quality ofhealthcare services.
Interest rates on the loans in the firsttwo years will be 12-month deposit rates + the band of 1 percent, butthe maximum interest rate must be 7.5 percent, lower than thepreferential rate of 7.8 percent that the Development Bank of Vietnamoffers policy borrowers.
For the next years, interest rates will be 12-month deposit rates + the band of 2 percent.
Both central and local hospitals can borrow under the programme.
BIDVChairman Tran Bac Ha said BIDV is not looking to profit from the creditprogramme but only expecting to join hands with the Government toimprove the services and quality of the healthcare sector. The bank'scurrent medium- and long-term deposit rate is at 7 percent, while thelending rate for both terms is 11-12 percent.
According toHealth Minister Nguyen Thi Kim Tien, Vietnam's hospitals are overloaded,especially those in large cities. Statistics reveal that in Vietnam,hospitals have only 23 beds per 10,000 people compared with 80 beds inthe Republic of Korea and 140 beds in Japan. The World HealthOrganisation's recommended figure is 39 beds.
Tien noted thatthe investment capital demand for the healthcare sector was very largeat roughly 45.454 trillion VND (2 billion USD) during the 2012-15period; however, the Government funds had met only 44 percent of thisdemand. Therefore, loans from commercial banks are very important todevelop the sector's infrastructure, she stressed.-VNA
