Circular 02/2022/TT-NHNN amending Circular 08/2021/TT-NHNN on grant of special loans to credit institutions placed under special control

CIRCULAR

Amending and supplementing a number of articles of the Governor of the State Bank of Vietnam’s Circular No. 08/2021/TT-NHNN dated July 06, 2021, on grant of special loans to credit institutions placed under special control

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Pursuant to the Law on Credits Institutions dated June 16, 2010;

Pursuant to the Law on Amending and Supplementing a Number of Articles of the Law on Credit Institutions dated November 20, 2017;

Pursuant to the Government's Decree No. 16/2017/ND-CP No. 16/2017/ND-CP dated February 17, 2017, defining the functions, tasks, powers and organizational structure of the State Bank of Vietnam;

At the proposal of the Director of the Monetary Policy Department;

The Governor of the State Bank of Vietnam promulgates the Circular amending and supplementing a number of articles of the Governor of the State Bank of Vietnam’s Circular No. 08/2021/TT-NHNN dated July 06, 2021, on grant of special loans to credit institutions placed under special control.

Article 1. To amend and supplement a number of articles of the Governor of the State Bank of Vietnam’s Circular No. 08/2021/TT-NHNN dated July 06, 2021, on grant of special loans to credit institutions placed under special control

1. To amend, supplement Point d Clause 1 Article 4:

“d) Granting special loans at the lowest preferential interest rate of 0% to commercial banks that have been compulsorily purchased before the effective date of the Law No. 17/2017/QH14 as prescribed in Clause 2 Article 3 of the Law No. 17/2017/QH14;”

2. To amend, supplement Clause 1 Article 5:

“1. With regard to the special loans as specified at Points b, c, dd Clause 1, Point c Clause 2, Point c Clause 3, Point b Clause 4 Article 4 of this Circular, the loan amount, loan purposes, collateral, lending interest rate, loan term, debt repayment, interest exemption or reduction, settlement of granted special loans (including extension of special loans and interest rates on overdue principal amount) shall comply with the approved restructuring plan or transfer plan. The special loans as specified at Point d Clause 1 Article 4 of this Circular shall comply with Clause 2 Article 3 of the Law No. 17/2017/QH14.”.

Article 2. To replace, annul some phrases of the Governor of the State Bank of Vietnam’s Circular No. 08/2021/TT-NHNN dated July 06, 2021, on grant of special loans to credit institutions placed under special control

1. To replace the phrase “In cases where a credit institution placed under special control wishes to apply for special loan as prescribed at Point b, c, d or dd, Clause 1, Article 4 of this Circular” by the phrase “In cases where a credit institution placed under special control wishes to apply for special loan as prescribed at Point b, c or dd, Clause 1, Article 4 of this Circular” in Clause 1 Article 17.

2. To replace the phrase “For special loans specified at Points b, c, d and dd, Clause 1, Article 4 of this Circular” by the phrase “For special loans specified at Points b, c, dd Clause 1 Article 4 this Circular” in Clause 1 Article 19.

3. To annul the phrase “the Prime Minister’s decision” in Clause 3 Article 5, Point dd Clause 1 Article 16, Article 17, Article 19, Clauses 2, 3 Article 23, Clause 3 Article 24.

4. To annul the phrase “decided by the Prime Minister or” in Clause 3 Article 5, Point c Clause 2, Points c, d Clause 5 Article 16.

Article 3. Implementation organization

The Chief of Office, the Director of the Monetary Policy Department, heads of SBV’s affiliated units, Deposit Insurance of Vietnam, and credit institutions shall organize the implementation of this Circular.

Article 4. Effect

This Circular takes effect on May 24, 2022./.

For the Governor

The Deputy Governor

Pham Thanh Ha