Circular No. 24/2012/TT-NHNN dated August 23, 2012 of the State Bank of Vietnam on amending and supplementing article 1 of the Circular No.11/2011/TT-NHNN, of April 29, 2011 of the Governor of the State Bank of Vietnam providing for termination of mobilization of deposits and lending in gold by credit institutions

CIRCULAR

ON AMENDING AND SUPPLEMENTING ARTICLE 1 OF THE CIRCULAR NO.11/2011/TT-NHNN, OF APRIL 29, 2011 OF THE GOVERNOR OF THE STATE BANK OF VIETNAM PROVIDING FOR TERMINATION OF MOBILIZATION OF DEPOSITS AND LENDING IN GOLD BY CREDIT INSTITUTIONS

Pursuant to the Law on the State Bank of Vietnam No.46/2010/QH12, of June 16, 2010;

Pursuant to the Law on Credit Institutions No.47/2010/QH12, of June 16, 2010;

Pursuant to the Government s Decree No. 96/ 2008/ND-CP of August 26, 2008, defining the functions, tasks, powers and organizational structure of the State Bank of Vietnam;

For the implementation of Government’s Resolution 01/NQ-CP, dated January 03, 2012 on main solutions executing and directing performance of socio-economic development plan and 2012 State budget estimates; Government’s Resolution 11/NQ-CP, dated February 24, 2011, on main solutions focusing on restriction of inflation, stabilizing macro-economy, ensuring social security;

At the proposal of Director of Foreign Exchange Management Department,

The Governor of the State bank of Vietnam promulgates Circular amending and supplementing article 1 of the Circular No.11/2011/TT-NHNN, of April 29, 2011 of the Governor of the State Bank of Vietnam providing for termination of mobilization of deposits and lending in gold by credit institutions (hereinafter referred to as the Circular No.11/2011/TT-NHNN).

Article 1. To amend and supplement Article 1 of the Circular No. 11/2011/TT-NHNN  as follows:

“ Article 1. Credit institutions shall not be authorized to provide loans in gold to customers and other credit institutions (including any credit contract that has already been signed but not disbursed yet or not fully disbursed yet); not to deposit gold at other credit institutions; not to perform entrustment, investment operations and other forms of credit extension in gold; except for special case of assurance of banks operations, the Governor of the State bank of Vietnam shall consider and decide on loans in gold among a few credit institutions with each other.”

Article 2. Implementation provisions

1.This Circular takes effect on August 23, 2012.

2.The Chief of office, the Chief Inspector, bank supervisors, heads of units under the State bank of Vietnam, directors of the State Bank s provincial-level branches; chairpersons of Boards of Directors, chairpersons of Member Council, directors general (directors) of credit institutions and relevant individuals, organizations shall implement this Circular.