Press Release on issuance of Circular No.29/2018/TT-NHNN
Hanoi, November 30, 2018 – The Governor of the State Bank of Vietnam (SBV) issued Circular No.29/2018/TT-NHNN guiding the confirmation and management of deposits of multi-level marketing enterprises (Circular 29).
The issuance of Circular 29 aims at guiding a number of substances regarding the confirmation and management of deposits of multi-level marketing enterprises as stipulated in Decree No.40/2018/ND-CP of the Government dated March 12, 2018 on the management of multi-level marketing businesses; thereby, making favorable conditions for multi-level marketing enterprises, commercial banks, foreign bank branches (receiving the deposits) and other institutions and individuals involved in the implementation of the deposits; at the same time, enhancing the efficiency and effectiveness of the state management in this field.
Circular 29 is composed of 11 Articles with the main regulations focusing on: (1) Depositing and confirming deposits of enterprises; (2) Management of the deposits; (3) Interest rates of the deposits; (4) Withdrawal of the deposits; (5) Resolution of the deposited amounts of money; and (6) Responsibilities of the banks receiving deposits and other relevant entities.
Circular 29 takes effect from January 18th, 2019.
Translated by Le Hang