Official Dispatch No. 2028/NHNN-TTGSNH dated March 11, 2011 of the State Bank of Vietnam on the network development of CIs in 2011

To:

- Manager of State Bank s branches in provinces, cities

- Credit Institutions

In the past time, several units have sent written request to the State Bank for explaining some contents relating to the grant of license to transaction offices, savings funds, ATMs and points of transactions of credit institutions (CIs). In this regard, the Governor of the State Bank (SBV) would like to provide his opinion as follows:

In line with provisions in Article 30 of the Law on CIs, depending on the type of operation, upon the availability of the written approval from the SBV, the CIs shall be authorized to establish their overseas branches, representative offices, non-productive units and commercial presence (excluding transaction departments, transaction offices, saving funds, ATMs and points of transaction).

At present, the SBV is prompting the preparation of a Circular guiding the network development of CIs in conformity with the above provisions. During the time period where that Circular has not been issued yet, the network development of CIs shall be implemented in accordance with the Official Dispatch No.1511/NHNN-TTGSNH dated 25 February 2011. Accordingly, the SBV shall temporarily cease granting license to transaction departments, transaction offices, saving funds, ATMs and points of transactions of the CIs.

The SBV hereby would like to notify SBV s branches in provinces, cities and CIs for information and implementation.