Agricultural, forestry, fishery or salt-making individuals and households may be considered for loans of up to VND 50 million without asset security. Households engaged in trades or providing services for agricultural and rural development may take unsecured loans of up to VND 200 million. Cooperatives and farm owners may be considered for loans of up to VND 500 million.
However, under Government Decree No. 41/2010/ND-CP of April 12, borrowers are required to deposit their land use right certificates or to obtain commune administrations’ certification that they have rights to use dispute-free land.
Eligible for loans under the new regulation are production in the above sectors, rural trades, rural infrastructure development, processing and sale of products of these sectors, industrial production, commercial and non-agricultural services in rural areas, and rural consumers.
Agricultural insurance policy holders may be entitled to loan interest exemption or reduction. Credit institutions and borrowers may agree on loan terms based on production cycle for capital retrieval or borrowers’ production or business plans.-