On February 21, 2024, the State Bank of Vietnam (SBV) issued Decision No. 253/QD-NHNN revising the License of the Co-operative Bank of Vietnam (Co-opBank).
Accordingly, the SBV has approved of a revision of the substances and the operational scope as written in Article 2 of Co-opBank’s License, specifically as follows:
“Article 2. Substances, operational scope
Co-opBank is permitted to perform the following operations:
(i) For member credit funds: Receiving deposits for capital circulation, providing loans to the member credit funds to circulate capital in line with the Regulations on capital circulation; Providing loans to the member credit funds to resolve temporary liquidity shortages; Opening payment accounts, providing means of payment to the member credit funds; Initiating, developing and applying new products and services to the activities of the member people’s credit funds’, meeting the demands of the members of the people’s credit funds and serving the public interests in their locations.
(ii) For customers who are non-member people’s credit funds: Receiving demand and term deposits, savings and other deposits; Extending credit in the following forms: Providing loans to customers who are non-member people’s credit funds after having given priority to meeting the demands for capital circulation of the member people’s credit funds; Discounting, rediscounting of negotiable instrumentsand other valuable paper instruments; Provinding banking guarantees, credit card issuance; Opening payment accounts for customers.
(iii) Performing other operations of a commercial bank: Providing payment services in the domestic market: providing payment options; performing the services of payment by cheque, payment orders, encashment orders, letters of credit, bank cards, cash in and cash out; Opening accounts: Opening accounts at the SBV, other credit institutions and foreign banks’ branches; Internal payment, participating in the national inter-bank payment system; Providing the services of cash management, banking and finance consultancy, asset preservation and safe keeping; Providing consultancy services in the fields of corporate finance, M&A, and investment; Participating in the biddings for the State Treasury bills, and the trading of negotiable instruments, the Government bonds, the SBV bills and other valuable papers in the money market; Trading of corporate and the Government bonds; Issuing certificates of deposits, promissory notes, bills and bonds to mobilize capital in accordance with the Law on Credit Institutions, the Securities Law, the Government regulations and the SBV’s guidance; Borrowing from the SBV in the form of refinancing under the Law on the State Bank of Vietnam and the SBV’s guidance; Borrowing, lending, depositing and receiving deposits of other credit institutions, foreign banks’ branches, domestic and international financial institutions in line with the applicable laws and the SBV’s guidance; Contributing capital, purchasing shares in accordance with the provisions of law and the SBV's guidance; Being a trustee and/or a trustor, acting as an agent in relation to banking operations, insurance and asset management in line with the applicable laws and the SBV’s guidance.
This Decision took effect from the date of signing and is an integral part of License No. 166/GP-NHNN dated June 4, 2013.
Le Hang