Official Dispatch No. 1081/NHNN-CSTT dated February 09, 2010 of the State Bank of Vietnam implementing mechanism of interest rate support

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Official Dispatch No. 1081/NHNN-CSTT dated February 09, 2010 of the State Bank of Vietnam implementing mechanism of interest rate support
Issuing body: State Bank of VietnamEffective date:
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Official number:1081/NHNN-CSTTSigner:Nguyen Dong Tien
Type:Official DispatchExpiry date:Updating
Issuing date:09/02/2010Effect status:
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Fields:Finance - Banking , Policy
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Effect status: Known

 

STATE BANK OF VIETNAM
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SOCIALIST REPUBLIC OF VIET NAM
Independence - Freedom - Happiness

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No. 1081/NHNN-CSTT
Ref: implementing mechanism of interest rate support
Hanoi, February 09, 2010
 
To: Commercial banks
As proposed by some commercial banks, State Bank of Vietnam would like to give out its opinion on giving interest rate support to the borrowers who have balance on deposit account as provided for at point b, paragraph 2 Article 1 of Circular No. 21/2009/TT-NHNN dated 09/10/2009 as follows:
1. Commercial bank shall calculate the total balance of deposit account in Vietnamese Dong and foreign currency and perform interest rate support to the loan outstanding minus (-) such balance of the deposit account of borrowers from lending commercial banks and other commercial banks at the time of signing credit facility. The borrowers shall be responsible for making report to the commercial bank of balance of their deposit account in VND, foreign currency at other credit institutions and be responsible for legality and accuracy of the report.

2. Balance of deposit account in VND, foreign currency of borrowers includes: demand deposit and time deposit, time savings deposit, demand savings deposit and other kinds of savings deposit; does not include balance of specialized deposit account, security deposit, frozen deposit in accordance with provisions of applicable laws. For balance of deposit account in foreign currency, it shall be converted into VND in accordance with the buying rate announced by the commercial bank at the time of determining balance of deposit account.

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