Positive developments in the real estate market

The positive news was revealed on July 4 by Nguyen Thi Hong, Governor of the SBV, during the government's online national conference.

"Local governments are issuing building permits and credit institutions are also prepared to finance construction initiatives. Several banks, including BIDV and Agribank, have begun lending under this credit offering," said Hong.

Credit made available to real estate businesses rose by 14 per cent in the first five months of the year, according to the SBV, indicating that market-improving solutions have begun to take effect. However, credit for real estate purchasers dropped by 1.32 per cent during the same period.

"Currently, private investors and homebuyers are not yet prepared to invest, so credit is still limited, however, eliminating legal obstacles and adjusting house and property prices is another way to increase demand and investment in the real estate sector," Hong explained.

Hong emphasised that easing access to credit is of vital importance. She stated that the SBV is directing credit institutions to evaluate their procedures to increase credit availability. In addition, the operator is contemplating an announcement of credit expansion soon, at the behest of the Prime Minister.

The governor stated that interest rates have returned to pre-pandemic levels following a succession of recent rate reductions, while noting that the SBV is also one of the few central banks in the world that is actually lowering interest rates at the moment.

According to Governor Hong, the SBV is tracking macroeconomic developments and government directives vigilantly.

As of June 27, the credit of the entire economy had increased by 4.03 per cent since the start of the year and by 9.08 per cent on-year.

Vietnam to execute $5 billion real estate credit package The Vietnamese government is set to roll out a credit package worth $5.04 billion, as requested by various ministries.

$5 billion measure not to prop up real estate market In lieu of real estate aid, a $5 billion plan government plan seeks to develop at least one million social housing units.

HoREA proposes using $5 billion credit programme to assist struggling enterprises This capital, according to the Ho Chi Minh City Real Estate Association (HoREA), should be used to assist enterprises that are experiencing hardships but have the potential to be rehabilitated.