Dong Nai province has just issued a decision on implementing an interest rate support policy for businesses and investors when borrowing capital from credit institutions to invest in vehicles and infrastructure serving public passenger transport by bus.

The policy of supporting interest rates for bus infrastructure investment in Dong Nai will officially take effect from August 15.

Accordingly, the provincial budget will be allocated to support 3.6%/year interest rate for loans of enterprises and investors when borrowing capital to invest in buses running on gasoline and diesel. For loans to invest in purchasing vehicles running on electricity or green energy, the interest rate support is 6%/year. For investment in infrastructure serving public passenger transport, the interest rate support is from 3.6%/year.

According to the People's Committee of Dong Nai province, the interest rate support period will be calculated from the date credit institutions disburse the loan, not exceeding 5 years for vehicles running on gasoline or oil and not exceeding 7 years for vehicles running on electricity or green energy.

The maximum interest-supported loan limit is 70% of the total investment limit for gasoline and diesel vehicles; and up to 80% for electric or green energy vehicles.

The support method is implemented in the form of interest compensation payable annually by the project investor through the State Treasury of Dong Nai province.

To access the interest rate support under the above policy, businesses and investors in public passenger transport infrastructure projects in the locality need to meet all conditions, including: having a licensed main business headquarters in Dong Nai, new investment vehicles and registration for license plates of Dong Nai province.

Regarding the development of public road transport infrastructure, it is known that according to the local plan, by 2025, about 70 buses will be replaced, with a total capital of about 133 billion VND. However, the level of investment will depend on the attractiveness of the province's investment support policy and the actual situation.