SMEs account for about 97% of all businesses operating in Vietnam, contributing about 45% of GDP, 31% of total revenue, and attracting more than 5 million jobs. However, only about 30% of small and medium enterprises have access to credit.
SMEs account for about 97% of all businesses operating in Vietnam, contributing about 45% of GDP, 31% of total revenue, and attracting more than 5 million jobs. However, only about 30% of small and medium enterprises have access to credit.
Agreed many but not signed much
Nguyen Van Than, chairman of the Vietnam Association of Small and Medium Enterprises, said that most banks, including joint stock commercial banks, have a small and medium enterprise support department. The process, easy access to loans. In the signed contract, the term of short-term loan support has been flexibly changed for the medium term ... (although the loan is limited) and the priority for export production. However, in practice, capital access is not high, despite the lack of capital of SMEs.
The bottleneck of this problem is that the business mentality is that borrowing money from banks is not easy, and the standard terms and conditions of lending by businesses are not enough ... So the problem is still exists in the "middleman" - that is because the mechanism is still tight, banks still think of high safety, but also can not pass the rules to lend.
In addition, the Law on SME Promotion has come into force but still awaits the decrees and circulars to guide the Government so that the localities have the best support for enterprises in all aspects. The best evidence is that the Vietnam Association of Small and Medium Enterprises (BIDV) signed with the Bank for Investment and Development of Vietnam (BIDV) and a fund of VND10 trillion for businesses but businesses still do not have access. Equity, although the implementation of the loan plan is very open (qualified businesses do not need collateral).
Nguyen Ninh, director of Kien Ninh Import-Export Company, said that if he wanted to borrow from a bank, he had to have something to mortgage, the value is very low. So the output is just small, business ideas are a lot, but not sure to borrow to expand production.
According to Hoang Trung Dung, general director of APP Corporation, APP is listed as a listed company with its annual financial statements. At work, sometimes there are certain barriers, allowing small businesses, especially business households, to transition to a business model. This is because the bank almost does not consider customers as the object to serve, staff rolled with customers as many other types of business is limited.
Experts in the field of economics say that most private enterprises are small and medium sized, need capital to invest in production and business. However, the financial capacity of these enterprises is limited. Due to the bad health situation, business production is not stable so the bank door is not open for private businesses. Besides, interest rates of banks are still high, which makes enterprises dare not expand production and business. Many small businesses do not dare to expand their business scale, without a long-term investment strategy, using their own funds to ensure their safety.
How to remove the knots?
In fact, the State Bank has many solutions to remove difficulties for businesses access to credit as: Speeding up the connection between banks and businesses, from July 2017, the State Bank has instructed lowering interest rates from 7% per annum to 6.5% per annum. Credit institutions also take the initiative in approaching small and medium enterprises, offering a number of support programs and considering interest rate exemption for businesses in difficulty. Ministries, branches and localities also regularly update information and provide timely support to enterprises when necessary.
However, a difficult problem now is that SMEs do not have legal or untrusted security assets to get credit (due to non-transparent information, some SMEs often process data before send financial indicators package to rate and credit rating, or can not develop business plan There are no feasible projects for commercial banks to consider lending.
In addition, the management capacity of small and medium enterprises is inadequate, especially for non-state enterprises, lack of experience, knowledge, and lack of business in the market mechanism. Have a habit of using professional counseling services. At the same time, for hedging purposes, banks require small and medium-sized enterprises to obtain loans that require third parties to pledge, pledged or fully secured. This is the bottleneck between the business and the bank.
According to economic expert Can Van Luc, must determine what is the current congestion situation? Is there a lack of information, or lack of capital or governance, operational capacity, or tax policy, or innovation-related issues? As a result, we will increase coordination among stakeholders to increase access to small and medium enterprises.
Economists also said that in a market economy, banks are money traders, they have to secure their loans, so they certainly have to make sure that borrowers have the right thing. something to insure capital. This. Large businesses have assets to secure, but most small businesses, or newly established businesses, or service businesses do not have assets to secure. Hence, the bottleneck of the problem lies in, through some basis for the bank believing that capital for this borrower will be preserved. For example, a borrower's financial report sufficiently demonstrates the safety of the loan flow, if it can be seen that the borrower is doing business effectively and the loan made more profitable, the loan will be perform.
The issue here is how banks and businesses meet financial reporting data, to see and agree on the transparency and consistency of the financial reporting system. To overcome these difficulties, apart from the efforts of enterprises, commercial banks also need to have more specific policies on capital sources close to small and medium enterprises. Banks should select banks that are capable of re-designing their loan conditions and taking risks for the business.
Source: Internet
