Press release on the issuance of Circular No.45/2018/TT-NHNN
On December 28th 2018, the Governor of the State Bank of Vietnam (SBV) issued Circular No.45/2018/TT-NHNN guiding credit institutions in providing loans with guarantees of the Credit Guarantee Fund in accordance with the provisions of the Government's Decree No. 34/2018/ND-CP dated March 8th, 2018 on the establishment, organization and operations of the Credit Guarantee Fund for small and medium-sized enterprises (SMEs) (hereinafter referred to as Circular 45/2018/TT-NHNN), which replaces Circular No. 05/2015/TT-NHNN dated May 4th, 2015.
The need for the issuance of the Circular:
Circular No. 45/2018/TT-NHNN was issued to implement the tasks of the SBV stipulated in Article 59 of Decree No.34/2018/ND-CP dated March 8th, 2018 of the Government on the establishment, organization and operations of the Credit Guarantee Fund for SMEs.
Circular No.45/2018/TT-NHNN includes the following main substances:
1. Provisions on the coordination between the lenders and the Credit Guarantee Fund in the process of providing guarantees and lendings, such as: The sequences of coordination among the parties in receiving, appraising, lending and disbursing a loan with guarantee of the Credit Guarantee Fund; Rights and obligations of the guarantor and the guarantee recipient; The coordination and the procedures of inspecting and supervising the process of utilizing the loans, the assets formed from the loans and repayment of the loans; The coordination of transferring and handling with the collaterals…
2. Provisions on the principles of lending with guarantees of the Credit Guarantee Fund, such as: lending in Vietnamese dongs for investment projects, production and business plans of customers, which have been appraised and agreed by the Credit Guarantee Fund to guarantee the obligation of principal repayment or the interest payment, or both principal and the interest payment, in accordance with the applicable legal provisions on lending by credit institutions to customers.
3. Provisions on lending rates with guarantees of the Credit Guarantee Fund, such as: the Lender and the customer shall agree on the lending interest rate for a short, medium or long-term loan of the customer whose loan is guaranteed by the Credit Guarantee Fund, ensuring that the lending interest rate is not higher than the normal lending interest rate of the same term, for the same sector, in the same field provided by the lender, in accordance with current applicable regulations of the SBV and other relevant laws.
This Circular takes effect from February 12th, 2019.
Translated by VA