Circular 29/2025/TT-NHNN providing guidance to credit institutions and foreign bank branches on provision of loans to agricultural and rural development

CIRCULAR

Providing guidance to credit institutions and foreign bank branches on provision of loans to agricultural and rural development

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

Pursuant to Law No. 32/2024/QH15 on Credit Institutions, which is amended and supplemented under Law No. 96/2025/QH15;

Pursuant to the Government’s Decree No. 26/2025/ND-CP, defining the functions, tasks, powers and organizational structure of the State Bank of Vietnam;

Pursuant to the Government’s Decree No. 55/2015/ND-CP on credit policies for agricultural and rural development, which is amended and supplemented under Decree No. 116/2018/ND-CP and Decree No. 156/2025/ND-CP;

At the proposal of the Director of the Department of Credit for Economic Sectors;

The Governor of the State Bank of Vietnam promulgates the Circular providing guidance to credit institutions and foreign bank branches on provision of loans to agricultural and rural development.

Article 1. Scope of regulation

1. This Circular provides guidance to credit institutions and foreign bank branches on provision of loans to agricultural and rural development in accordance with the Government’s Decree No. 55/2015/ND-CP, on credit policies for agricultural and rural development, which is amended and supplemented under Decree No. 116/2018/ND-CP and Decree No. 156/2025/ND-CP.

2. For contents not stipulated in this Circular, credit institutions and foreign bank branches must comply with other relevant legal documents.

Article 2. Subjects of application

1. Credit institutions and foreign bank branches that provide agricultural and rural development loans prescribed in Clause 1, Article 2 of Decree No. 55/2015/ND-CP, which is amended and supplemented under Decree No. 116/2018/ND-CP and Decree No. 156/2025/ND-CP (below referred to as credit institutions), excluding the Vietnam Bank for Social Policies and the Vietnam Development Bank.

2. Borrowers prescribed in Clauses 2 and 3, Article 2 of Decree No. 55/2015/ND-CP, which is amended and supplemented under Decree No. 116/2018/ND-CP and Decree No. 156/2025/ND-CP (below referred to as borrowers).

3. Other state management agencies, organizations and individuals related to the implementation of this Circular.

Article 3. Debt rescheduling for borrowers facing difficulties due to objective force majeure circumstances

1. In case a borrower faces difficulties due to an objective force majeure circumstance specified in Clause 12, Article 3 and Clause 1, Article 12 of Decree No. 55/2015/ND-CP, which is amended and supplemented under Decree No. 116/2018/ND-CP and Decree No. 156/2025/ND-CP as specifically determined on a case-by-case basis by the credit institution and the borrower (below referred to as objective force majeure circumstance), the credit institution shall consider deciding on debt rescheduling for the balance of principals and/or interests while keeping the loan category unchanged for the loans with rescheduled payment terms of principals and/or interests as the loan category classified according to current regulations at the latest time before debt rescheduling under this Circular at the request of the borrower and on the basis of the credit institution's financial capacity and meeting the following requirements:

a/ Loan principals arise before or during the occurrence of the specific objective force majeure circumstance;

b/ The balance of principals and/or interests for each payment period of the rescheduled debt is not yet due or becomes overdue for up to 10 (ten) days from the due date under the signed contract or agreement.

c/ He/She/It is evaluated by the credit institution as facing difficulties and being unable to  make scheduled payment of its/his/her loan principals and/or interests as agreed due to the specific objective force majeure circumstance but able to fully pay loan principals and/or interests within the rescheduled payment term;

d/ The debt rescheduling for borrowers under this Circular is not limited in the number of rescheduling times but the rescheduled payment terms for the same specific objective force majeure circumstance shall not exceed:

i/ 12 months from the due date of the balance of each principal and interest with rescheduled payment terms for short-term loans;

ii/ 36 months from the due date of the balance of each principal and interest with rescheduled payment terms for medium- and long-term loans;

The due date of each rescheduled debit balance at this Point is based on the payment term and period agreed upon at the latest time before the first time the debt rescheduling is carried out in accordance with this Circular for the same specific objective force majeure circumstance.

2. A loan that has been rescheduled under other laws may be considered by the credit institution for rescheduling under this Circular if it satisfies the provisions of this Circular.

Article 4. Grace period 

For borrowers borrowing loans for planting, caring for or replanting perennial trees, credit institutions and clients may agree with each other on a grace period for both the principal and/or interest in conformity with the development stage of perennial trees. The grace period is the time period calculated from the time credit institutions start disbursing loans until borrowers start paying the principal and/or interest as agreed in credit contracts.

Article 5. Maximum deduction rate for collaterals

The maximum deduction rate for collaterals of agricultural and rural development loans shall be equal to the maximum deduction rate for collaterals as specified in the Government’s regulation on rates and methods of deduction for making up risk provisions, and use of provisions for handling risks in operations of credit institutions and foreign bank branches.

Article 6. Responsibilities of credit institutions

1. Credit institutions shall determine and clearly state purposes of agricultural and rural development loans in loan agreements and credit contracts.

2. Credit institutions shall issue internal regulations to ensure uniform implementation throughout the system regarding:

a/ Debt rescheduling under this Circular, which must have the following contents:

i/ Criteria for determining borrowers and the debit balance of debts eligible for rescheduling under this Circular;

ii/ Order, procedures, assignment, decentralization, tasks and responsibilities of each person or division in carrying out debt rescheduling under this Circular, adhering to the principle that the person or division that decides on the debt rescheduling is not the person or division that approves the credit extension, except cases in which the credit extension is approved by the Board of Directors, Members’ Council, Chief Executive Officer or parent bank (for foreign bank branches). In case the credit extension or debt rescheduling is approved by a council, the chairperson of the council for approval of debt rescheduling must not be the chairperson of the council for approval of credit extension and at least 2/3 (two-thirds) of members of the council for approval of debt rescheduling must not be members of the council for approval of credit extension;

iii/ Frequency of review and evaluation of solvency of borrowers after debt rescheduling; monitoring, inspection, control and supervision of debt rescheduling in accordance with this Circular;

b/ Provision of loans for association activities in agricultural production under Clause 4, Article 14 of Decree No. 55/2015/ND-CP, which is amended and supplemented under Decree No. 116/2018/ND-CP and Decree No. 156/2025/ND-CP;

c/ Dossiers, order and procedures for request of debt freezing in accordance with Clause 3, Article 12 of Decree No. 55/2015/ND-CP which is amended and supplemented under Decree No. 116/2018/ND-CP and Decree No. 156/2025/ND-CP.

3. Credit institutions shall:

a/ Decide on debt rescheduling in accordance with this Circular and conduct internal inspection and control, ensuring strict supervision, safety, and prevention and stoppage of the abuse of debt rescheduling for self-seeking purposes;

b/ Ensure the completeness, legality, and validity of dossiers, data, and eligibility of borrowers requesting for debt freezing.

4. Pursuant to this Circular and relevant legal regulations, within 10 (ten) working days after the credit institution issues, amends or supplements its internal regulations as specified in Clause 2 of this Article:

a/ The credit institution shall send its internal regulations to the State Bank of Vietnam (the Credit Institutions Supervision Department), except those specified at Point b of this Clause;

b/ Credit institutions subject to the micro-prudential inspection and supervision of a regional branch of the State Bank of Vietnam shall send their internal regulations to the regional branch of the State Bank of Vietnam.

5. Credit institutions shall send to the State Bank of Vietnam reports on the balance of credit granted for agricultural and rural development according to regulations on statistical reporting applicable to credit institutions and foreign bank branches; and quarterly reports (before the 15^th of the month following the reporting quarter) on the situation of debt rescheduling in accordance with the Appendix to this Circular.

Article 7. Responsibilities of units of the State Bank of Vietnam

1. Responsibilities of the Department of Credits for Economic Sectors:

a/ To monitor, urge, and review report templates of credit institutions (excluding people’s credit funds) in accordance with this Circular;

b/ To act as the focal point to advise the Governor of the State Bank of Vietnam in considering and handling requests for debt freezing as specified in Articles 12, 14, 15, and 15a of Decree No. 55/2015/ND-CP, which is amended and supplemented under Decree No. 116/2018/ND-CP and Decree No. 156/2025/ND-CP;

c/ To assume the prime responsibility for, and coordinate with relevant units in, advising the Governor of the State Bank of Vietnam on addressing problems arising in the course of implementation of this Circular.

2. Responsibilities of the Inspectorate and the Credit Institutions Supervision Department of the State Bank of Vietnam:

To inspect and supervise credit institutions in implementing this Circular within the ambit of its functions and tasks.

3. Responsibilities of Regional Branches of the State Bank of Vietnam:

a/ To monitor, urge, and review report templates of people’s credit funds and branches of credit institutions in their localities as specified in this Circular;

b/ To coordinate with the Department of Credits for Economic Sectors in implementing the order and procedures for requesting debt freezing as specified in Articles 12, 14, 15, and 15a of Decree No. 55/2015/ND-CP, which is amended and supplemented under Decree No. 116/2018/ND-CP and Decree No. 156/2025/ND-CP;

c/ To inspect and supervise people’s credit funds and branches of credit institutions that are subject to their inspection and supervision in their localities in implementing this Circular.

Article 8. Implementation provisions

1. This Circular shall take effect on November 15, 2025.

2. The following Circulars shall cease to be effective on the effective date of this Circular:

a/ The Governor of the State Bank of Vietnam’s Circular No. 10/2015/TT-NHNN, guiding the implementation of a number of contents of the Government’s Decree No. 55/2015/ND-CP of June 9, 2015, on credit policies for agricultural and rural development;

b/ The Governor of the State Bank of Vietnam’s Circular No. 25/2018/TT-NHNN, amending and supplementing a number of articles of Circular No. 10/2015/TT-NHNN, guiding the implementation of a number of contents of the Government’s Decree No. 55/2015/ND-CP of June 9, 2015, on credit policies for agricultural and rural development.

3. Heads of units of the State Bank of Vietnam, credit institutions, and foreign bank branches shall organize the implementation of this Circular.-

For the Governor of the State Bank of Vietnam

Deputy Governor

NGUYEN NGOC CANH

*The Appendix to this Circular is not translated.