A number of startups and exporting companies in Ho Chi Minh City continue to face serious challenges in gaining access to capital from banking institutions. These concerns were raised during a strategic dialogue titled 'City Government-Business Dialogue Conference' involving representatives from the State Bank of Vietnam and local trade authorities.
Le Anh Hoang, Deputy Director of the Investment and Trade Promotion Center of Ho Chi Minh City (ITPC), emphasized that this dialogue is a government effort to map real obstacles on the ground. Despite various incentive policies, the private sector reported that heavy collateral requirements, complex administrative procedures, and interest rate criteria remain major barriers to their business operations and expansion.
Several business owners, such as owners of breadfruit cultivation and organic food processing companies, revealed the dilemmas they face. Despite securing international export contracts and having measurable profitability prospects, they are frequently hindered by the lack of traditional collateral assets and long-term financial statement histories required by conventional banks.
Responding to these concerns, representatives from HDBank stated that collateral is no longer the sole determining parameter for credit approval. Banks are now shifting toward assessing the effectiveness of business plans and the credibility of business partners (off-takers) as a basis for consideration. Businesses capable of demonstrating market certainty and contracts with large corporations are considered to have better opportunities to access funding.
Closing the dialogue session, representatives of the State Bank of Vietnam Region 2 Branch committed to improving fast-response services in handling business complaints. The monetary authority encouraged credit institutions to be more proactive in supporting the business sector and to provide financial consultations more relevant to the specific needs of each local business scale.
