Decision 12/2026/QD-TTg amend Decision 03/2011/QD-TTg on Regulation on loan guarantees for SMEs' loans

DECISION

Amending and supplementing a number of articles of the Regulation on loan guarantees for small- and medium-sized enterprises borrowing loans from commercial banks promulgated together with the Prime Minister’s Decision No. 03/2011/QD-TTg of January 10, 2011

Pursuant to the Law No. 63/2025/QH15 on Organization of the Government;

Pursuant to the Law No. 89/2025/QH15 on State Budget;

Pursuant to the Law No. 59/2020/QH14 on Enterprises, as amended and supplemented by the Law No. 76/2025/QH15;

Pursuant to the Law No. 32/2024/QH15 on Credit Institutions, as amended and supplemented by the Law No. 96/2025/QH15;

Pursuant to the Government’s Decree No. 29/2025/ND-CP, defining the functions, tasks, powers and organizational structure of the Ministry of Finance; the Government’s Decree No. 166/2025/ND-CP, amending and supplementing a number of articles of the Government’s Decree No. 29/2025/ND-CP of February 24, 2025, defining the functions, tasks, powers and organizational structure of the Ministry of Finance;

Pursuant to the Government’s Decree No. 95/2025/ND-CP prescribing the organization and operations of the Vietnam Development Bank;

Pursuant to the Government’s Decree No.  46/2021/ND-CP on the financial management regime and the assessment of the operational efficiency of the Vietnam Development Bank; the Government’s Decree No. 266/2025/ND-CP amending and supplementing a number of articles of the Government’s Decree No. 46/2021/ND-CP of March 31, 2021 on the financial management regime and the assessment of the operational efficiency of the Vietnam Development Bank;

Pursuant to the Government’s Decree No.  32/2017/ND-CP on the State investment credit; the Government’s Decree No.  78/2023/ND-CP amending and supplementing a number of articles of the Government’s Decree No.  32/2017/ND-CP of March 31, 2017 on the State investment credit;

At the proposal of the Minister of Finance;

The Prime Minister promulgates the Decision amending and supplementing a number of articles of the Regulation on loan guarantees for small- and medium-sized enterprises borrowing loans from commercial banks promulgated together with the Prime Minister’s Decision No. 03/2011/QD-TTg of January 10, 2011.

Article 1. To amend and supplement  a number of articles of the Regulation on loan guarantees for small- and medium-sized enterprises borrowing loans from commercial banks promulgated together with the Prime Minister’s Decision No. 03/2011/QD-TTg of January 10, 2011 (below referred to as the “Regulation”), specifically as follows:

1. To amend and supplement Article 9 of the Regulation as follows:

“Article 9. Guarantee Fee

1. The guarantee fee shall comprise:

a) Appraisal fee for the loan guarantee application dossier: 500,000 VND per dossier, payable to the Vietnam Development Bank together with the loan guarantee application dossier;

b) Loan guarantee fee: 0.5% per annum, calculated on the guaranteed amount.

2. All guarantee fees collected shall be fully accounted for as income of the Vietnam Development Bank.

3. The Vietnam Development Bank shall consider and decide on the write-off of guarantee fees in respect of enterprises that have undergone bankruptcy or dissolution and after the liquidation and disposal of all assets of such enterprises in accordance with laws. The Vietnam Development Bank shall provide guidance on the dossier, order, and procedures, and shall bear responsibility for its decision on the waiver of guarantee fees.”.

2. To amend and supplement Article 20 of the Regulation as follows:

“Article 20. Mandatory guaranteed debt and debt repayment to the Vietnam Development Bank

1. Upon performing the guarantee obligation, the Vietnam Development Bank shall require the guaranteed party to acknowledge the debt and enter into a mandatory guaranteed debt agreement with the Vietnam Development Bank.

2. Upon signing the mandatory guaranteed debt agreement, the guaranteed party shall become the mandatory guaranteed debtor at the Vietnam Development Bank.

3. The mandatory guaranteed debt agreement prescribed in Clause 1 of this Article shall include the following contents:

a) Interest rate of the mandatory guaranteed debt: To be determined based on the interest rate of the State investment credit at the Vietnam Development Bank at the time of signing the mandatory guaranteed debt agreement; the interest rate on overdue mandatory guaranteed debt shall not exceed 150% of the on-time interest rate, with the specific rate to be considered and determined by the Vietnam Development Bank;

b) Term of the mandatory guaranteed debt: The specific term shall be considered and determined by the Vietnam Development Bank based on the financial situation, business plan, and repayment capacity of the mandatory guaranteed debtor;

c) Collateral for the mandatory guaranteed debt: The Vietnam Development Bank shall carry out a revaluation of the collateral. After the revaluation, if the value of the collateral for the project or plan of the mandatory guaranteed debt is lower than the book value of the principal and interest of the mandatory guaranteed debt at the time of signing the mandatory guaranteed debt agreement, the Vietnam Development Bank shall, based on the financial situation, operations, and debt repayment capacity of the guaranteed party, appraise and decide on the supplementation of loan collateral measures in accordance with the law provisions;

d) Other matters related to the mandatory guaranteed debt as considered and agreed upon by the Vietnam Development Bank with the mandatory guaranteed debtor, and as specifically prescribed in the mandatory guaranteed debt agreement.

4. The mandatory guaranteed debtor shall fully repay the principal and any accrued interest to the Vietnam Development Bank in accordance with the signed mandatory guaranteed debt agreement.

5. Based on the assessment of the financial situation, operations, business plan, and debt repayment capacity of the mandatory guaranteed debtor, the Vietnam Development Bank shall consider and decide on the waiver or reduction of interest on the mandatory guaranteed debt. The State budget shall not provide interest or management fee subsidies for the entire outstanding balance of the mandatory guaranteed debt in the event that the Vietnam Development Bank and the mandatory guaranteed debtor agree to apply the provisions on the waiver or reduction of interest on the mandatory guaranteed debt. The Vietnam Development Bank shall provide guidance on the dossier, order, and procedures for the waiver or reduction of interest on the mandatory guaranteed debt.

6. The handling of risks related to mandatory guaranteed debts shall be conducted in accordance with the credit risk management mechanism of the Vietnam Development Bank promulgated by the Prime Minister.”.

3. To amend and supplement Article 21 of the Regulation as follows:

“Article 21. Provisioning and use of reserves for risks of mandatory guaranteed debts

The provisioning and use of risk reserves to manage risks related to mandatory guaranteed debts shall be implemented in accordance with the financial management regime and the evaluation of operational efficiency of the Vietnam Development Bank and the credit risk management mechanism of the Vietnam Development Bank promulgated by the competent authorities.”.  

4. To amend and supplement Clause 1, Clause 2 of Article 23 of the Regulation as follows:

“1. The Vietnam Development Bank shall:

a) Fully implement and bear legal responsibility for the contents prescribed in this Regulation and other relevant law provisions;

b) Coordinate with commercial banks to monitor, inspect, and supervise the use of borrowed funds by the guaranteed party in accordance with the purposes prescribed in the credit agreement;

c) Periodically conduct inspections, supervision, and follow-up to recover mandatory guaranteed debts in accordance with the signed mandatory guaranteed debt agreements;

d) Clearly identify the causes and responsibilities of collectives and individuals in the course of performing guarantee obligations in cases that the Vietnam Development Bank has to repay on behalf of the debtor and for non-performing debts arising during the supervision of mandatory guaranteed debts.

2. The Ministry of Finance shall: Assume the prime responsibility for and coordinate with relevant ministries and sectors in amending, supplementing, and perfecting the guarantee mechanism for small- and medium-sized enterprises to borrow from commercial banks, and submit it to the Prime Minister for promulgation.”.

5. To amend Point b and add Point c of Clause 3 of Article 23 of the Regulation as follows:

“b) Coordinate with the Ministry of Finance in amending, supplementing, and perfecting the guarantee mechanism for small- and medium-sized enterprises to borrow from commercial banks;

c) Provide in writing the average lending interest rate in US dollars of domestic commercial banks during the same period within 15 working days from the effective date of this Decision for the Ministry of Finance to provide for the Vietnam Development Bank.”.

6. To add Clause 4 of Article 23 of the Regulation as follows:

“4. Ministries and ministerial-level agencies shall:

Perform the inspection, examination, and supervision over the operations of the Vietnam Development Bank (including credit guarantee activities for small- and medium-sized enterprises) in accordance with the functions and tasks assigned by the Government and the law provisions.”.

Article 2. Transitional provisions 

1. For mandatory guaranteed debt agreements signed prior to the effective date of this Decision, the Vietnam Development Bank and the mandatory guaranteed debtor shall continue to perform in accordance with the commitments and agreements set forth in the signed agreement. In the event of amendments or supplements to the commitments and agreements related to interest rates and collateral measures already signed, the Vietnam Development Bank and the mandatory guaranteed debtor shall agree and jointly implement:

a) To adjust the interest rate of the mandatory guaranteed debt on the outstanding balance of the mandatory guaranteed debt in Vietnamese Dong to the interest rate of State investment credit at the time this Decision takes effect. For the outstanding balance of the mandatory guaranteed debt in US dollars, to adjust the interest rate to the average lending interest rate in US dollars of domestic commercial banks during the same period;

b) Based on the assessment of the financial situation, operations, business plan, and debt repayment capacity of the mandatory guaranteed debtor, the Vietnam Development Bank shall consider and decide on the waiver or reduction of interest on the mandatory guaranteed debt. The State budget shall not provide interest or management fee subsidies for the entire outstanding balance of the mandatory guaranteed debt in the event that the Vietnam Development Bank and the mandatory guaranteed debtor agree to apply the provisions on the waiver or reduction of interest on the mandatory guaranteed debt. The Vietnam Development Bank shall provide guidance on the dossier, order, and procedures for the waiver or reduction of interest on the mandatory guaranteed debt;

c) To revalue the collateral for mandatory guaranteed debts with secured assets in accordance with the law provisions. If the value of the collateral for the project or plan of the mandatory guaranteed debt after revaluation is lower than the book value of the principal and interest of the mandatory guaranteed debt at the time of revaluation, the Vietnam Development Bank shall, based on the financial situation and debt repayment capacity of the guaranteed party, appraise and decide on the supplementation of loan collateral measures in accordance with the law provisions. 

2. For commitments and agreements related to guarantee fees that have already arisen, the Vietnam Development Bank and the party liable for the guarantee fees shall perform in accordance with the agreed commitments and agreements. The Vietnam Development Bank shall consider and decide on the waiver of guarantee fees in accordance with the principles set forth in Clause 1, Article 1 of this Decision.

Article 3. Effect 

1. This Decision takes effect from May 15, 2026.

2. After this Decision takes effect, the determination of the interest rate on mandatory guaranteed debt in US dollars under Clause 1, Article 2 of this Decision shall be implemented as follows:

a) No later than 15 working days from the effective date of this Decision, the State Bank of Vietnam shall issue a written notice to the Ministry of Finance providing the average lending interest rate in US dollars of domestic commercial banks during the same period, for the Ministry of Finance to provide for the Vietnam Development Bank;

b) No later than 3 working days after receiving the written notice from the State Bank of Vietnam specified in Point a of this Clause, the Ministry of Finance shall issue a written notice to the Vietnam Development Bank conveying the average lending interest rate in US dollars of domestic commercial banks during the same period, as provided by the State Bank of Vietnam;

c) No later than 3 working days after receiving the written notice from the Ministry of Finance specified in Point b of this Clause, the Vietnam Development Bank shall determine the interest rate for the outstanding balance of mandatory guaranteed debt in US dollars in accordance with Point a, Clause 1, Article 2 of this Decision.

3. The Vietnam Development Bank shall cease the implementation of new loan guarantee activities for small- and medium-sized enterprises under the provisions of the Decision No. 03/2011/QD-TTg of January 10, 2011, as of the effective date of this Decision.

4. The Ministers, Heads of ministerial-level agencies, Heads of agencies under the Government, Chairpersons of the People’s Committees of provinces and centrally-run cities; Chairperson of the Board of Directors, General Director of the Vietnam Development Bank; and relevant organizations and individuals shall implement this Decision./.