Chailease International must monitor the number of SMEs that receive social loans and the number of employees they recruit
By Kao Shih-ching / Staff Reporter
Taipei Fubon Commercial Bank (台北富邦銀行) and six other local banks offered the Vietnamese subsidiary of Chailease Holding Co (中租控股) a syndicated loan of $90 million, the first social loan in Taiwan and Vietnam whose the proceeds would be used to support small business in the Southeast Asian country.
Chailease International Leasing Co Ltd (仲利國際租賃), one of Vietnam’s leading leasing service providers, would use the loan to provide micro-finance to Vietnamese small and medium enterprises (SMEs) operating in urban areas and suburban areas, Taipei Fubon said. yesterday
Last year, the Vietnamese government implemented strict quarantine measures to curb the spread of COVID-19, which weighed on the national economy and reduced GDP growth to 2.58 percent, the lowest since three decades, the bank said.
Photo: Yang Hsin-hui, Taipei Times
The Vietnamese government has offered SMEs a total of $10.7 billion in financial assistance, but many companies have been unable to obtain bank loans because they do not have properties or other assets to serve as warranty, Taipei Fubon said.
The Vietnamese government said the number of unemployed there reached 1.4 million last year, he added.
The syndicated loan is the first that adheres to the Asia Pacific Loan Market Association’s social lending principles and has been verified by a third-party agency, Taipei Fubon said.
Chailease International will regularly review how many SMEs will benefit from the syndicated loan and how many employees they have hired, Taipei Fubon said, adding that the leasing company has a 40 percent market share in Vietnam.
Mega International Commercial Bank (兆豐銀行), Hua Nan Commercial Bank (華南銀行) and Land Bank of Taiwan (土地銀行) are co-arrangers of the loan, while Taiwan Cooperative Bank (合庫銀行), l Export-Import Bank of ROC (輸出入銀行) and Bank of Panhsin (板信銀行) are participants, Taipei Fubon said.
Comments will be moderated. Keep comments relevant to the article. Remarks containing abusive and obscene language, personal attacks of any kind or promotion will be removed and the user banned. The final decision will be at the discretion of the Taipei Times.