Decision No. 118/1999/QĐ-TTg On lending in foreign currency for certain key projects

Pursuant to …;

Regarding foreign currency loans for certain key projects

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PRIME MINISTER

Pursuant to the Government Organization Law dated September 30, 1992;

Based on the Law on Credit Organizations No. 02/1997/QH10 dated December 12, 1997;

Considering the proposal of the State Bank of Vietnam (document No. 212/CV-NHNN1 dated March 16, 1999 and No. 307/CV-NHNN1 dated April 13, 1999), the opinion of the Ministry of Planning and Investment (document No. 2183 BKH/TC-TT dated April 9, 1999), and the Ministry of Finance (document No. 1673 TC/TCNH dated April 12, 1999),

Pursuant to …;

Article 1. Allow domestic commercial banks to use four hundred million US dollars (400 million USD) from foreign currency capital mobilization sources to provide medium and long-term loans for certain key state projects in 1999.

Article 2. The recipients of foreign currency loans are key projects determined by the Prime Minister.

Article 3. The loan term, interest rate, and other provisions not specified in this Decision shall be implemented according to the regulations on medium and long-term loans of the State Bank of Vietnam.

Article 4. Domestic commercial banks directly providing foreign currency loans or participating in syndicated foreign currency loans for a project must report to the Prime Minister for specific approval if the loan amount exceeds fifteen percent of the bank's own capital.

Article 5. Enterprises with foreign currency loan projects must have plans and responsibilities to repay foreign currency loans from the project's foreign currency revenue; they are not required to guarantee the loan with collateral assets.

Article 6. The State Bank of Vietnam directs domestic commercial banks to promptly meet the foreign currency capital needs of enterprises for investment in project implementation and support foreign currency for debt repayment for projects without foreign currency revenue.

Article 7. The Ministry of Finance guarantees foreign currency loans from domestic commercial banks for enterprises to invest in projects as decided by the Prime Minister; the guarantee format of the Ministry of Finance shall be carried out according to the regulations on guaranteeing foreign loans.

Article 8. The Ministry of Planning and Investment selects foreign currency loan projects, implements project appraisal procedures according to investment management and construction regulations, reports to the Prime Minister for approval and investment decision.

Article 9. Projects already decided by the Prime Minister to borrow foreign currency from domestic commercial banks such as Phu My 2.1 Tail Gas, Nam Con Son Gas, Noi Bai International Airport Terminal 1, and Can Don Hydropower Project shall also comply with the provisions of this Decision.

Article 10. This Decision shall take effect from the date of signing.

Article 11. Ministers, Heads of ministerial-level agencies, Heads of agencies under the Government, Chairmen of People's Committees of provinces and centrally governed cities are responsible for implementing this Decision./.