Banks sign loan, guarantee deal

Tien Phong Joint Stock Commercial Bank and the Vietnam Development Bank (VDB) on Wednesday signed a deal to provide and guarantee loans in a bid to help firms access credit under a government loan subsidy program.

VDB will guarantee unsecured loans made by Tien Phong to firms eligible for the government's 4 percent interest rate subsidy.

The two banks will also introduce their clients to each other.

The government recently decided to use VND17 trillion (US$1 billion) from an economic stimulus package to provide the 4 percent subsidy.

Ngan Anh

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