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The circular clearly defines special lending cases as follows:
The State Bank of Vietnam may provide special lending using funds from its central bank functions related to currency issuance in the following cases:
Special lending to a credit institution experiencing a bank run, including commercial banks, cooperative banks, people’s credit funds, and microfinance institutions, to enable them to repay depositors.
Special lending to a credit institution under special control, including commercial banks, cooperative banks, finance companies, and microfinance institutions, to implement an approved recovery plan.
Special lending to a commercial bank under special control to execute a mandatory transfer scheme as per the Law on Credit Institutions 2024.
Special lending to support the recovery of a commercial bank under special control, following the approved mandatory transfer scheme under the Law on Credit Institutions 2010.
The Vietnam Cooperative Bank may provide special lending in the following cases:
Special lending to a people’s credit fund experiencing a bank run to enable it to repay depositors.
Special lending to a people’s credit fund under special control to implement an approved recovery plan.
Other credit institutions (excluding the Vietnam Cooperative Bank) may provide special lending in the following cases:
Special lending to a credit institution experiencing a bank run, including commercial banks, cooperative banks, people’s credit funds, and microfinance institutions, to enable them to repay depositors.
Special lending to a credit institution under special control, including commercial banks, cooperative banks, finance companies, and microfinance institutions, to implement an approved recovery plan.
Special lending to a commercial bank under special control to execute a mandatory transfer scheme as per the Law on Credit Institutions 2024.
Government Urges SBV to Quickly Complete Pricing for Weak Banks
At the Government’s regular meeting in January 2024, Resolution 20/NQ-CP was adopted, in which the Government instructed the State Bank of Vietnam (SBV) to closely coordinate with the State Audit Office to urgently complete the valuation of weak banks in order to promptly implement the mandatory transfer policy.
Vietnam: SBV proposes issuing, settling certificates of deposit in Vietnamese dong
In the draft Circular regulating the issuance of domestic certificates of deposit by credit institutions, foreign bank branches, and the State Bank of Vietnam (SBV), the SBV proposes that certificates of deposit be issued and paid in Vietnamese dong.
The All-Important Criteria for Considering Overlimit Credit Approval
Vice Prime Minister Le Minh Khai signed Decision No. 9/2024/QD-TTg on the conditions, dossiers, and procedures for requesting approval for the maximum credit limit for credit institutions and foreign bank branches.
The State Bank Approves GELEX’s Acquisition of Eximbank Shares
If the transaction is successful, GELEX will increase its expected ownership to 10% of Eximbank’s charter capital, becoming a major shareholder of the bank.
