Vietnamese
On May 20, 2022, the State Bank of Vietnam issues the Circular No. 03/2022/TT-NHNN guiding commercial banks to implement interest rate support according to the Government's Decree No. 31/2022/ND-CP dated May 20, 2022 on interest rate support from the State budget for loans of enterprises, cooperatives, business households.
In accordance with the Article 3 of the Circular 03, by the payment deadline of each interest payment term, commercial banks may provide interest rate support to customers by one of the following methods:
- Directly reducing the customer's loan interest amount equal to the loan interest amount provided with interest rate support.
- Collecting the entire loan interest from the customer in the period and then refund the customer the loan interest amount provided with interest rate support on the same day of interest collection. In cases where the collection of loan interest in the period is performed after the working hours of banks, the refund may be done on the next day.
Besides, Article 5 of this Circular also prescribes that the total amount of commercial banks providing interest rate support and requesting the state budget to cover interest rate support in each year must not exceed the interest rate support limit announced in such year.
Commercial banks provide interest rate support to clients in the order prioritizing the time the interest is paid within the announced interest rate support limit, whichever comes first.
- In case the remaining interest rate support amount is not enough to support interest payment obligations at the same time of debt repayment, the commercial banks shall provide interest rate support in the order that the clients who have signed the loan agreements should be supported first, and officially announce that on the website.
