A newly established enterprise, with a capacity profile of zero, asked a loan without collateral equal to 115% of Vietnam’s GDP, 0% interest rate and a repayment period of up to 35 years. At first glance, there are 3 major risks.
First, is there any central bank in the world that dares to decide to lend businesses up to 10% of GDP? If it is the US, 10% of its GDP is $2.8 trillion. Is there any state that dares to lend businesses such an amount? If so, will the national economy suffer just because of one business?
Second, borrowing at 0% interest is essentially the state taking people’s money to make up for that loan of Vinspeed. At the very least, it must borrow at an interest rate equal to the inflation rate. Otherwise, after 35 years, the value of $35 billion will be only about half. Therefore, lending at 0% interest is the state picking the people’s pockets with inflation, putting it in Pham Nhat Vuong’s pocket.
Third, the possibility of losing all the money is very high. Vinspeed may collapse sooner not 35 years, then the whole people will lose all that money.
Currently, whose backyard VinGroup belongs to is still a mystery. It is protected by the party Central Committee’s Commission for Propaganda and Education with false propaganda while the Ministry of Public Security protects it with “revolutionary violence.” In fact, Vingroup is currently a business that enjoys privileges equal to the Communist Party, a privilege that no other business has. It is very likely that Vingroup is the most special business among the backyards, it may be the backyard of the entire Politburo, not an individual.
Perhaps this business deal was prepared in advance. Currently, Prime Minister Pham Minh Chinh has directed State Bank’s Governor Nguyen Thi Hong to submit to the National Assembly a draft Law amending and supplementing a number of articles of the Law on Credit institutions. The notable point is the proposal to transfer the authority to decide on special loans with an interest rate of 0%/year, without collateral.
If the PM directs by a government decree or the Governor of the State Bank directs by document under another law, when Vinspeed collapses, the responsibility will fall on the PM and the Governor of the State Bank of Vietnam. Therefore, PM Chinh and Governor Hong have brought the issue to the National Assembly to make a law. If the Government and the State Bank cause the loss of the above huge loan, then these two people can blame it on the law. Nguyen Sinh Hung, when in office, once said, “The National Assembly is the people, if the people make wrong decisions, the people will suffer and no officials will be disciplined.” That is, when wrong policies are legalized by the National Assembly, no one will be responsible.
The National Assembly is just a rubber-stamp, without the consent of the Politburo, the National Assembly would not dare to nod. Therefore, it can be seen that when PM Chinh pushed the responsibility to present to the National Assembly the issue of lending to Vinspeed, it meant that the Politburo had decided, and in the Politburo, To Lam’s voice is the Hung Yen group, which is very strong.
Recently, the State Bank sent an official dispatch to the Ministry of Construction signed by Deputy Governor Dao Minh Tu. Accordingly, the State Bank said that the high-speed railway project has a total investment that is too large, exceeding the appraisal capacity of credit institutions.
This shows that the Vietnamese banking and financial system will not be able to control risks if the State Bank decides according to what the Politburo agrees.
It seems that Governor Hong is in the same position as the Politburo, so she has brought the issue to the National Assembly to decide. However, it seems that Hong’s subordinates are afraid of this project, because if they make a mistake, they will be the ones to be put on the guillotine to take the blame for their boss, so they have clearly analyzed the potential risks.
Chinh, Lam, Hong and the Politburo are trying to take part of this mountain of dollars, however, the lower-ranking officials are afraid because they see that the risks will eventually fall on their heads.
Thai Ha-Thoibao.de
