Vietnam caps foreign medium-and long-term debt at $4.7 billion

The Vietnamese government said medium- and long-term foreign debt would be limited this year to US$4.7 billion.

It would borrow no more than $1.1 billion in commercial loans, it said in a statement posted on its website on April 10.

State-owned companies and banks may borrow as much as $1.3 billion in government-guaranteed debt and $600 million without state guarantee.

The government also forecast the private sector would seek about $3 billion in commercial loans from foreign banks this year. The sector may actually borrow $1.7 billion, according to the statement.

The government plans to disburse $1.7 billion in official development assistance and loans from foreign sources, it said.

The country relies heavily on soft loans from foreign governments to develop infrastructure like roads, bridges and water supply systems.

The government also said it would repay $930 million worth of external debt this year, according to data from the World Bank.

The statement did not give any comparative figures from the previous year.

vietnamplus

>   Gold now less attractive than stocks in investors’ eyes (14/04/2009)

>   US$ exceeds VND18,000/US$1.00 threshold (14/04/2009)

>   SBV announces preferential lending program for poor districts (14/04/2009)

>   Vietinbank permitted to issue long-term valuable papers for 2009 (14/04/2009)

>   N M Rothschild & Sons Ltd. Of Singapore to open Rep Office in Hanoi (13/04/2009)

>   Deputy Governor Nguyen Van Binh meets with Moody's and Fitch delegations (13/04/2009)

>   Banking industry to show future IT priorities (13/04/2009)

>   US$ exceeds VND 18,000/US $1.00 threshold (13/04/2009)

>   PIT exemption for the whole 2009 suggested (13/04/2009)

>   SBV issues circular stipulating ATM fees (13/04/2009)