Press release on issuance of Circular No. 06/2023/TT-NHNN
Hanoi, June 28, 2023 – The Governor of the State Bank of Vietnam (SBV) has issued Circular No. 06/2023/TT-NHNN amending and supplementing a number of Articles of Circular No. 39/2016/TT-NHNN dated December 31, 2016 regulating the lending operations of the credit institutions and the foreign bank branches.
The issuance of Circular No. 06/2023/TT-NHNN is aimed to further improve the legal frameworks regulating the lending operations of the credit institutions in line with the 2010 Law on Credit Institutions, the 2015 Civil Code, the 2020 Law on Investment, and other applicable provisions of law related to lending operations; help to ensure the safety and the efficiency in the lending operations of the credit institutions, in alignment with the practical situations of the market, the policy of digital transformation in the banking sector, and the requirements of the state management.
A number of key amendments as compared to Circular No. 39/2016/TT-NHNN are as follows:
1. The new Circular amends and supplements the regulation on certain capital demands not allowed for lending by the credit institutions. This regulation is aimed to ensure the safety and the efficiency, reduce the risks arising from the lending operations of the credit institutions.
2. Circular No. 06/2023/TT-NHNN supplements a provision on lending through electronic means, and amends and supplements a number of Articles and Clauses related to the lending through electronic means in order to improve the legal framework for this area, facilitate the digital transformation and promote technological applications in the lending operations; ensure the safety and the efficiency in line with the policy of digital transformation in the banking sector.
3. The new Circular also amends a number of provisions as stated at Circular No. 39/2016/TT-NHNN to ensure alignment with the applicable laws and the current lending practices of the credit institutions.
The new Circular will take effect on September 01, 2023.
Translated by LK.