Decision No. 20/2017/QĐ-TTg on the operation of microfinance programs and projects of political organizations, socio-political organizations, and non-governmental organizations.

Pursuant to …;

Regulations on the activities of microfinance programs and projects of political organizations, political-social organizations, and non-governmental organizations. ;

Pursuant to the Civil Code dated November 24, 2015;

Pursuant to the Law on Government Organization dated June 19, 2015;

Pursuant to the State Budget Law dated June 25, 2015;

Pursuant to the Law on the State Bank of Vietnam dated June 16, 2010;

Pursuant to the Law on Credit Institutions dated June 16, 2010;

At the proposal of the Governor of the State Bank of Vietnam;

PART I

GENERAL PROVISIONS

Article 1. Scope of Regulation

This Decision stipulates the activities of microfinance programs and projects of political organizations, political-social organizations, and non-governmental organizations.

Article 2. Applicability

1. Political organizations, political-social organizations, and non-governmental organizations.

2. Ministries, ministerial-level agencies, government agencies, provincial/municipal People's Committees, organizations, and individuals related to the activities of microfinance programs and projects of political organizations, political-social organizations, and non-governmental organizations.

Article 3. Explanation of Terms

In this Decision, the following terms shall be understood as follows:

1. Microfinance activities include lending in Vietnamese dong to microfinance customers, accepting mandatory savings deposits from microfinance customers, and voluntary savings deposits from microfinance customers.

2. Microfinance customers are individuals belonging to poor households, near-poor households, newly escaped poverty households, average-income households, low-income individuals, and micro-enterprises.

4. Non-governmental organizations include domestic non-governmental organizations and foreign non-governmental organizations.

5. Domestic non-governmental organizations are social associations, social funds, charitable funds, and other types of social organizations established by individuals or organizations for regular operations with the purpose of development support, not for profit, in accordance with their charters and Vietnamese laws.

6. Foreign non-governmental organizations are non-governmental organizations, social funds, private funds, and other types of social and non-profit organizations established under foreign laws and permitted to operate under Vietnamese laws.

7. Mandatory savings are amounts that microfinance customers must deposit according to the regulations of microfinance programs and projects.

8. Voluntary savings are amounts that microfinance customers voluntarily deposit into microfinance programs and projects.

Implementation capital for microfinance is assigned capital, granted capital, or assigned funds to prepare and implement microfinance programs and projects.

10. The manager or director of a microfinance program or project is the Head of the Management Board or Director or equivalent position, responsible for the operation of the microfinance program or project in accordance with this Decision.

Chapter II

REGISTRATION, WITHDRAWAL OF REGISTRATION CERTIFICATE, AND IMPLEMENTATION OF MICROFINANCE PROGRAMS AND PROJECTS

Article 4. Conditions for registering microfinance programs and projects

1. Political organizations, political-social organizations, and non-governmental organizations must register in accordance with this Decision when implementing microfinance programs and projects.

2. Political organizations, political-social organizations, and non-governmental organizations shall be issued a Registration Certificate for microfinance programs and projects (hereinafter referred to as the Registration Certificate) if they meet the following conditions:

a) Having legitimate implementation capital for microfinance in accordance with the law;

b) Having an organizational structure for microfinance programs and projects in accordance with Article 10 of this Decision;

c) The manager or director of the microfinance program or project must have at least a bachelor's degree in one of the fields of economics, banking, finance, accounting, business administration, or at least one year of experience in banking activities or microfinance activities;

d) Having internal regulations to implement microfinance programs and projects;

đ) Receiving approval from the Ministry of Foreign Affairs and the Ministry of Home Affairs for the implementation of microfinance programs and projects by non-governmental organizations licensed by these ministries;

e) Receiving approval from the competent People's Committee at the provincial/municipal level or the People's Committee at the district/county level or the People's Committee at the commune/village level authorized by the provincial/municipal People's Committee (hereinafter referred to as the competent People's Committee) for the implementation of microfinance programs and projects in their respective areas.

Article 5. Documents for registering microfinance programs and projects

1. The registration document for microfinance programs and projects according to Model No. 01 issued together with this Decision.

2. Documents on the establishment and operation of political organizations, socio-political organizations, and non-governmental organizations.

3. Explanatory documents regarding the source of funds for implementing microfinance programs and projects.

4. Organizational structure, management, and control framework proposed for microfinance programs and projects.

5. Curriculum vitae of the proposed managers and administrative staff and proof that they meet the requirements stipulated at point c, Clause 2, Article 4 of this Decision.

6. Draft internal regulations as prescribed in Article 11 of this Decision.

Article 6. Authority to issue and revoke the Registration Certificate

1. The State Bank of Vietnam (Bank Inspection and Supervision Agency) shall issue and revoke the Registration Certificate for microfinance programs and projects operating in two or more provinces or centrally-administered cities and those directly implemented by foreign non-governmental organizations.

2. The State Bank of Vietnam branch shall issue and revoke the Registration Certificate for microfinance programs and projects operating within one province or centrally-administered city.

Article 7. Procedures for issuing and revoking the Registration Certificate

1. Political organizations, socio-political organizations, and non-governmental organizations shall submit the documents specified in Article 5 of this Decision directly (or through postal service) to:

a) The State Bank of Vietnam (Bank Inspection and Supervision Agency) for microfinance programs and projects as specified in Clause 1, Article 6 of this Decision;

b) The State Bank of Vietnam branch for microfinance programs and projects as specified in Clause 2, Article 6 of this Decision.

2. Within five working days from the date of receipt of the documents, the State Bank of Vietnam or the State Bank of Vietnam branch shall issue a confirmation letter stating that all necessary documents have been received. In case of incomplete or invalid documents, the State Bank of Vietnam or the State Bank of Vietnam branch shall issue a request for supplementation of the documents.

3. Within five working days from the date of receiving complete and valid documents, the State Bank of Vietnam branch shall issue a proposal requesting the State Bank of Vietnam to seek opinions from the Ministry of Foreign Affairs, the Ministry of Home Affairs, and the competent People's Committees regarding the implementation of microfinance programs and projects.

Within five working days from the date of receipt of the proposal from the State Bank of Vietnam branch or within five working days from the date of receipt of the documents of microfinance programs and projects of non-governmental organizations as specified in Clause 1, Article 6 of this Decision, the State Bank of Vietnam shall issue a document:

a) Seeking opinions from the Ministry of Foreign Affairs and the Ministry of Home Affairs on the implementation of microfinance programs and projects and the areas where these programs and projects will be carried out by non-governmental organizations authorized by the Ministry of Foreign Affairs and the Ministry of Home Affairs.

b) Seeking opinions from the competent People's Committees on the implementation of microfinance programs and projects in their respective areas.

Within ten working days from the date of receipt of the opinion-seeking document from the State Bank of Vietnam, the Ministry of Foreign Affairs, the Ministry of Home Affairs, and the competent People's Committees must provide written approval or disapproval regarding the implementation of microfinance programs and projects. If they disapprove, they must specify the reasons. Failure to provide an opinion within the specified period shall be deemed as approval.

4. For cases where the documents submitted by political organizations, socio-political organizations, and non-governmental organizations already include permits from the Ministry of Foreign Affairs, the Ministry of Home Affairs, and the competent People's Committees, the State Bank of Vietnam shall not seek additional opinions as stipulated in Clause 3 of this Article.

5. Within twenty working days (or ten working days for cases as specified in Clause 4 of this Article) from the date of receipt of complete and valid documents from political organizations, socio-political organizations, and non-governmental organizations:

a) The State Bank of Vietnam shall review and issue the Registration Certificate according to Model No. 02 issued together with this Decision for microfinance programs and projects as specified in Clause 1, Article 6 of this Decision;

b) The State Bank of Vietnam branch shall review and issue the Registration Certificate according to Model No. 02 issued together with this Decision for microfinance programs and projects as specified in Clause 2, Article 6 of this Decision.

In case of refusal to issue the Registration Certificate, the State Bank of Vietnam or the State Bank of Vietnam branch shall send a letter to political organizations, socio-political organizations, and non-governmental organizations specifying the reasons.

6. Within 180 days from the date of receipt of the Registration Certificate, political organizations, socio-political organizations, and non-governmental organizations must implement the microfinance programs and projects. After this period, if these organizations do not implement the programs and projects, the Registration Certificate will become invalid.

7. The State Bank of Vietnam or the State Bank of Vietnam branch shall issue a document to revoke the Registration Certificate in the following cases:

a) The registration documents for microfinance programs and projects contain false information;

b) The expiration date of the microfinance programs and projects as specified in the Registration Certificate has passed;

c) Microfinance programs and projects engage in serious violations of this Decision and related laws;

d) Political organizations, socio-political organizations, and non-governmental organizations voluntarily terminate the activities of microfinance programs and projects;

đ) Political organizations, socio-political organizations, and non-governmental organizations cease operations.

8. Political organizations, socio-political organizations, and non-governmental organizations must immediately cease operations from the effective date of the document revoking the Registration Certificate.

Article 8. Implementation of microfinance programs and projects

1. At least 30 days before implementing a microfinance program or project, political organizations, socio-political organizations, and non-governmental organizations must:

a) Have an organizational structure as prescribed in Article 10 of this Decision;

b) Provide a document assigning, providing capital for microfinance implementation; appoint managers and executives; issue internal regulations of the microfinance program or project;

c) Have an office, necessary means and equipment to ensure convenience and safety for the activities of the microfinance program or project.

2. Publicly announce at the headquarters of the microfinance program or project and on mass media or local radio about the content, scope, area, and target customers of the microfinance program or project at least three working days before the start date.

Article 9. Changes in information in the Registration Certificate

1. In case a microfinance program or project expands its operational area beyond the registered province or city, political organizations, socio-political organizations, and non-governmental organizations must resubmit the Registration Certificate to the State Bank of Vietnam and its branch and register the microfinance program or project according to the provisions of Clause 2 of Article 4, Articles 5 and 6, and Clause 1 of Article 7 of this Decision.

2. In case there is a change in the implementation capital, office, manager, executive, operational area within one province or centrally governed city, target customers, or content of a microfinance program or project: Within fifteen working days from the date of change, political organizations, socio-political organizations, and non-governmental organizations must report to the State Bank of Vietnam (Bank Inspection and Supervision Department) for microfinance programs or projects specified in Clause 1 of Article 6 of this Decision; and to the State Bank branch for microfinance programs or projects specified in Clause 2 of Article 6 of this Decision.

Article 10. Organizational Structure of Microfinance Programs and Projects

1. Microfinance programs and projects operating in one province or centrally governed city must have the following organizational structure:

a) In case the implementation capital for microfinance is 3 billion VND or more, the microfinance program or project must have at least:

(i) A management board with functions and responsibilities for managing and directing the operation of the microfinance program or project. The Head of the Management Board or equivalent position is responsible for the operation of the microfinance program or project in the area; responsible for assigning tasks to members of the Management Board in managing and directing the microfinance program or project;

(ii) A risk management department with functions to manage risks in microfinance operations including: Head of the department or equivalent position and at least one employee. The number of employees should be appropriate to the number of microfinance customers and the scale of microfinance operations;

(iii) A lending department with functions to implement lending activities including: Head of the department or equivalent position and at least one employee. The number of employees should be appropriate to the number of microfinance customers and the scale of microfinance operations;

(iv) A financial accounting department equipped with a safe, iron cabinet, or secure money management facilities, documents, and invoices;

(v) An oversight department with functions to inspect and control all activities of the microfinance program or project including: Head of the department or equivalent position and at least one dedicated employee. The number of employees should be appropriate to the number of microfinance customers and the scale of microfinance operations; the Head of the Oversight Department is a dedicated position and does not hold any other job positions. Dedicated oversight officers do not hold any other job positions.

b) In case the implementation capital for microfinance is less than 3 billion VND, the microfinance program or project must have:

(i) A Director or equivalent position responsible for the operation of the microfinance program or project in the area;

(ii) A management and direction department with at least one employee responsible for risk management, one employee responsible for lending, one employee responsible for financial accounting, and one dedicated oversight officer. Dedicated oversight officers do not hold any other job positions.

2. Microfinance programs and projects operating in two or more provinces or centrally governed cities must have the following organizational structure:

a) In case the implementation capital for microfinance is 3 billion VND or more, the microfinance program or project must have:

(i) A management board as prescribed in point a (i) of Clause 1 of this Article, a risk management department as prescribed in point a (ii) of Clause 1 of this Article, and an oversight department as prescribed in point a (v) of Clause 1 of this Article for all operational areas of the microfinance program or project;

(ii) A lending department as prescribed in point a (iii) of Clause 1 of this Article and a financial accounting department as prescribed in point a (iv) of Clause 1 of this Article in each province or centrally governed city.

b) In case the implementation capital for microfinance is less than 3 billion VND, the microfinance program or project must have:

(i) A Director or equivalent position as prescribed in point b (i) of Clause 1 of this Article, at least one employee responsible for risk management, and one dedicated oversight officer for all operational areas of the microfinance program or project. Dedicated oversight officers do not hold any other job positions;

(ii) At least one employee responsible for lending and one employee responsible for financial accounting in each province or centrally governed city.

3. The organizational structure, functions, and responsibilities of the Management Board, Directors, departments, and employees prescribed in Clauses 1 and 2 of this Article shall be stipulated in writing by political organizations, socio-political organizations, and non-governmental organizations.

4. The Director, Head of Management Board or equivalent position, Heads of departments, and staff responsible for risk management, lending, financial accounting, and dedicated internal auditors as specified in Clauses 1 and 2 of this Article must have at least a bachelor's degree in one of the fields of economics, banking, finance, accounting, business administration, or at least one year of experience in banking activities or microfinance operations.

Article 11. Internal regulations

1. Political organizations, socio-political organizations, domestic non-governmental organizations; Directors, Project Management Board Heads of foreign non-governmental organizations must issue internal regulations according to Clause 2 of this Article. Annually, internal documents must be reviewed, amended, and supplemented to ensure effective program and project management.

2. Internal regulations of microfinance programs and projects include:

a) Internal regulations on the organization and operation of the Management Board, specifying the functions, tasks, and authorities of the Head of the Management Board or equivalent position, each member of the Management Board; regulations on the tasks and authorities of the Director and the delegation of authority in managing and operating microfinance programs and projects;

b) Internal regulations on the organization and operation of the risk management department, clearly defining the tasks and authorities of the Head of the department or equivalent position, members, and the delegation of authority in managing risks related to microfinance activities;

In cases where there is only a staff member responsible for risk management, the microfinance program or project shall specifically define the tasks and authorities of the staff member responsible for risk management in managing risks of the program or project;

c) Internal regulations on the organization and operation of the lending department, clearly defining the tasks and authorities of the Head of the department or equivalent position, members, and the delegation of authority in loan appraisal, approval, loan disbursement, monitoring loan usage, loan classification, debt recovery, record keeping, and storage of documents and materials related to lending and debt collection;

In cases where there is only a staff member responsible for lending, the microfinance program or project shall specifically define the tasks and authorities of the staff member responsible for lending activities of the program or project;

d) Internal regulations on the organization and operation of the financial accounting department, clearly defining the tasks and authorities of the Head of the department or equivalent position, members, and the delegation of authority in financial accounting work, record keeping, and storage of documents and materials related to financial accounting;

In cases where there is only a staff member responsible for financial accounting, the microfinance program or project shall specifically define the tasks and authorities of the staff member responsible for financial accounting of the program or project;

đ) Internal regulations on the organization and operation of the control department, clearly defining the tasks and authorities of the Head of the department or equivalent position, members, and the delegation of authority to each member in controlling the activities of the microfinance program or project;

In cases where there is only a dedicated internal auditor, the microfinance program or project shall specifically define the tasks and authorities of the dedicated internal auditor in controlling the activities of the program or project;

e) Internal regulations on lending and loan management; internal regulations on mandatory savings; internal regulations on microfinance clients and other internal regulations related to operational activities, inspection, control, supervision, delegation, and authorization for the activities of the microfinance program or project;

3. Within sixty days from the date of issuance or amendment of internal regulations, political organizations, socio-political organizations, and non-governmental organizations must submit the issued, amended, or supplemented internal regulations to the State Bank of Vietnam (Bank Inspection and Supervision Authority) for microfinance programs and projects as specified in Clause 1 of Article 6 of this Decision, and to the State Bank branch for microfinance programs and projects as specified in Clause 2 of Article 6 of this Decision.

Chapter III

ACTIVITIES OF MICROFINANCE PROGRAMS AND PROJECTS

Article 12. Scope of Operation and Duration

1. Political organizations, political-social organizations, and non-governmental organizations may implement microfinance programs and projects within their operational scope and determine the duration of such programs and projects.

2. The scope of operation and duration shall be registered and specified in the Certificate of Registration issued to the microfinance program or project.

Article 13. Content of Activities

1. Microfinance programs and projects' fundraising activities shall be conducted in the following forms:

a) Receiving financial grants, non-repayable and repayable aid from governments, organizations, and individuals both domestically and internationally;

b) Accepting mandatory savings deposits and voluntary savings deposits from microfinance customers. The total amount of voluntary savings deposits shall not exceed 30% of the total capital granted to the microfinance program or project;

c) Borrowing from credit institutions, financial organizations, and entities both domestically and internationally in accordance with the law.

2. Microfinance programs and projects' lending activities shall be carried out as follows:

a) Lending to microfinance customers based on the principles:

(i) Independence in lending operations and responsibility for lending decisions;

(ii) An agreement between the microfinance program/project and the microfinance customer ensuring safety as prescribed by law. The content of the lending agreement between the microfinance program/project and the microfinance customer must be documented, including at least the rights and responsibilities of the lender and borrower; purpose of loan usage; loan term; loan amount; repayment term for principal and interest; interest rate and collateral form;

(iii) Loan interest rates consistent with legal provisions, specific conditions of the microfinance program/project, microfinance plan, covering operating costs, growth, and not aimed at profit-making objectives.

b) Lending Conditions:

(i) Microfinance customers must have civil legal capacity and civil conduct capacity as stipulated by civil law;

(ii) Lending to microfinance customers must be secured by mandatory savings deposits and/or guarantees from groups of microfinance customers;

(iii) Legal purpose of loan usage.

c) The maximum loan amount for a single microfinance customer shall not exceed fifty million Vietnamese dong.

3. Other activities of microfinance programs and projects include:

a) Acting as an agent to lend funds entrusted by organizations, individuals, and microfinance programs/projects of political organizations, political-social organizations, and non-governmental organizations to microfinance customers, without profit-making objectives;

b) Opening deposit accounts at commercial banks;

c) Acting as an agent to provide insurance products to microfinance customers in accordance with the law;

d) Advising, supporting, and training microfinance customers on knowledge related to loan usage, production, business, living conditions, society, environment, and other knowledge aimed at enhancing production and business efficiency, material and spiritual living standards of microfinance customers.

Article 14. Financial regime, accounting, bookkeeping, and reporting

1. Political organizations, political-social organizations, and non-governmental organizations shall implement the financial regime, accounting, and financial reporting for microfinance programs and projects in accordance with the regulations of the Ministry of Finance and related laws.

2. The activities of microfinance programs and projects shall be independently accounted and recorded separately from other activities of political organizations, political-social organizations, and non-governmental organizations.

3. Every six months before the deadlines of January 31 and July 31, political organizations, political-social organizations, and non-governmental organizations shall submit reports on their operational status according to Model No. 03 issued together with this Decision as follows:

a) For microfinance programs and projects specified in Clause 1, Article 6 of this Decision: State Bank of Vietnam (Supervisory Authority); Ministry of Finance; Ministry of Foreign Affairs for foreign non-governmental organizations or Ministry of Home Affairs for domestic non-governmental organizations; People's Committee of the province or centrally-administered city where the microfinance program or project operates;

b) For microfinance programs and projects specified in Clause 2, Article 6 of this Decision: Branch of State Bank; People's Committee with authority, Department of Finance of the province or centrally-administered city where the microfinance program or project operates.

Chapter IV

TRANSITION TO MICROFINANCE ORGANIZATIONS

Article 15. Cases of transition to microfinance organizations

1. Domestic political organizations, political-social organizations, and non-governmental organizations shall convert microfinance programs and projects into microfinance organizations under one of the following circumstances:

a) Voluntary conversion;

b) Total assets of at least 75 billion VND;

c) Total outstanding loans to microfinance clients of at least 50 billion VND.

2. Conditions, documents, and procedures for converting microfinance programs and projects into microfinance organizations shall be carried out in accordance with the regulations of the State Bank of Vietnam regarding licensing, organization, and operation of microfinance organizations.

Article 16. Time limit for implementation of conversion

1. The time limit for implementing conversion for microfinance programs and projects subject to conversion as stipulated in Points b and c, Clause 1, Article 15 of this Decision shall be as follows:

a) Microfinance programs and projects must be converted into microfinance organizations within a maximum period of 24 months from the date this Decision takes effect for microfinance programs and projects operating prior to the effective date of this Decision;

b) Microfinance programs and projects must be converted into microfinance organizations within a maximum period of 24 months from the latest report on operational status as stipulated in Clause 3, Article 14 of this Decision for microfinance programs and projects subject to conversion after the effective date of this Decision.

2. Within a maximum period of 12 months after the deadline stipulated in Clause 1 of this Article, domestic political organizations, political-social organizations, and non-governmental organizations that do not implement the conversion into microfinance organizations must cease operations or reduce the scale of microfinance programs and projects so they do not fall under the conversion cases stipulated in Points b and c, Clause 1, Article 15 of this Decision.

3. Domestic political organizations, political-social organizations, and non-governmental organizations have the responsibility to ensure that microfinance programs and projects comply with the conversion requirements set forth in this Decision and relevant laws.

Chapter V

STATE MANAGEMENT OF THE OPERATIONS OF MICROFINANCE PROGRAMS AND PROJECTS

Article 17. Tasks, powers, and responsibilities of the State Bank of Vietnam

1. Implement inspection, supervision, and handling of violations related to the activities of microfinance programs and projects to ensure that such programs and projects operate safely and comply with regulations as follows:

a) The State Bank of Vietnam (Bank Inspection and Supervision Agency) for microfinance programs and projects specified in Clause 1, Article 6 of this Decision;

b) Branches of the State Bank, the Inspection and Supervision Department of the State Bank in Hanoi City and the Inspection and Supervision Department of the State Bank in Ho Chi Minh City for microfinance programs and projects specified in Clause 2, Article 6 of this Decision. Annually, before February 15th, branches of the State Bank shall be responsible for compiling and reporting to the State Bank of Vietnam on the registration status and operation of microfinance programs and projects specified in Clause 2, Article 6 of this Decision according to Form No. 04 issued together with this Decision.

2. Establish foreign exchange management regulations for the foreign currency capital of microfinance programs and projects in accordance with the provisions of the law.

Article 18. Tasks, powers, and responsibilities of the Ministry of Finance

1. Carry out state management over finance for microfinance programs and projects within its functions and tasks as prescribed by law, including issuing guiding documents on financial systems, accounting, and financial reports for microfinance programs and projects specified in Clause 1, Article 14 of this Decision.

2. Take the lead and coordinate with the State Bank of Vietnam and relevant agencies and organizations in developing tax policies and financial support policies for microfinance programs and projects.

Article 19. Tasks, powers, and responsibilities of the Ministry of Foreign Affairs, the Ministry of Home Affairs, the Ministry of Planning and Investment, and People's Committees of provinces and cities

1. The Ministry of Foreign Affairs and the Ministry of Home Affairs shall cooperate with the State Bank of Vietnam to inspect, supervise, and handle violations at the request of the State Bank of Vietnam concerning non-governmental organizations licensed by the Ministry of Foreign Affairs and the Ministry of Home Affairs during the implementation of microfinance programs and projects.

2. The Ministry of Planning and Investment shall cooperate with the State Bank of Vietnam to inspect, supervise, and handle violations at the request of the State Bank of Vietnam concerning the management and use of foreign non-governmental funds, official development assistance (ODA) funds, and preferential loans during the implementation of microfinance programs and projects.

3. People's Committees of provinces and cities shall cooperate with the State Bank of Vietnam and branches of the State Bank to inspect, supervise, and handle violations at the request of the State Bank of Vietnam concerning microfinance programs and projects within their jurisdictions.

Article 20. Responsibilities of political organizations, socio-political organizations, and non-governmental organizations with microfinance programs and projects

1. Bear responsibility for all financial obligations of microfinance programs and projects; ensure that microfinance programs and projects comply with the provisions of this Decision.

2. Not distribute profits or use profits from the operations of microfinance programs and projects for non-microfinance activities in any form.

3. Direct and supervise microfinance programs and projects to publicly disclose information about interest rates, mandatory savings deposit regulations, loan products, customer information, and other information in microfinance activities in accordance with laws protecting consumer rights.

Chapter VI

IMPLEMENTING PROVISIONS

Article 21. Transitional Provisions

1. For microfinance programs and projects operating prior to the effective date of this Decision, within 150 days from the effective date of this Decision, political organizations, socio-political organizations, and non-governmental organizations shall submit to the State Bank of Vietnam (Bank Inspection and Supervision Agency) for microfinance programs and projects specified in Clause 1, Article 6 of this Decision; branches of the State Bank for microfinance programs and projects specified in Clause 2, Article 6 of this Decision the following documents:

a) Microfinance program and project registration forms according to Form No. 01 issued together with this Decision;

b) Reports on the operational status of microfinance programs and projects according to Form No. 03 issued together with this Decision.

2. Within 10 working days from the date of receiving complete valid documents as stipulated in Clause 1 of this Article, the State Bank of Vietnam (Bank Inspection and Supervision Agency) shall examine and issue Registration Certificates for microfinance programs and projects specified in Clause 1, Article 6 of this Decision; branches of the State Bank shall examine and issue Registration Certificates for microfinance programs and projects specified in Clause 2, Article 6 of this Decision.

3. Loan agreements signed by domestic non-governmental organizations, foreign non-governmental organizations, and microfinance customers before the effective date of this Decision may continue to be implemented according to the terms agreed upon until the expiration of the loan contract. Any amendments or supplements to the loan agreement can only be made if they comply with the provisions of this Decision.

4. Within 180 days from the effective date of this Decision, for microfinance programs and projects without a Director, Management Board, or departments as specified in Clause 1 and Clause 2, Article 10 of this Decision, political organizations, socio-political organizations, and non-governmental organizations must develop a resolution plan, implement it themselves, and submit the resolution plan to the State Bank of Vietnam (Bank Inspection and Supervision Agency) for microfinance programs and projects specified in Clause 1, Article 6 of this Decision; branches of the State Bank for microfinance programs and projects specified in Clause 2, Article 6 of this Decision.

The minimum contents of the resolution plan must include the following:

a) The current status regarding managers and executives and relevant departments;

b) Plans and measures to ensure that within a maximum period of no more than 18 months from the date this Decision takes effect, there will be sufficient Directors, Management Boards, and relevant departments as stipulated in Clause 1 and Clause 2 of Article 10 of this Decision.

5. Within 360 days from the date this Decision takes effect, microfinance programs and projects with managers and executives who do not meet the standards prescribed in Point c, Clause 2, Article 4 of this Decision must develop a resolution plan, implement it themselves, and submit the resolution plan to the State Bank of Vietnam (Bank Inspection and Supervision Department) for microfinance programs and projects specified in Clause 1 of Article 6 of this Decision; to the State Bank branch for microfinance programs and projects specified in Clause 2 of Article 6 of this Decision.

The minimum contents of the resolution plan must include the following:

a) The current situation where managers and executives do not meet the standards prescribed in Point c, Clause 2, Article 4 of this Decision;

b) Plans and measures to ensure that within a maximum period of 18 months from the date this Decision takes effect, there will be sufficient managers and executives who meet the standards prescribed in Point c, Clause 2, Article 4 of this Decision.

6. Within 360 days from the date this Decision takes effect, political organizations, socio-political organizations, and non-governmental organizations must issue or amend and supplement internal regulations for microfinance programs and projects that have not yet established such regulations or have established them but do not comply with the provisions of Article 11 of this Decision, and submit these regulations to the State Bank of Vietnam, the State Bank branch, and competent state agencies as stipulated in Clause 3 of Article 11 of this Decision.

7. Microfinance programs and projects of political organizations, socio-political organizations, and non-governmental organizations established and operating before the date this Decision takes effect, which have received voluntary savings deposits from customers who are not microfinance clients or have received voluntary savings deposits from microfinance clients exceeding the ratio prescribed in Point b, Clause 1, Article 13 of this Decision, shall be handled as follows:

a) Not allowed to accept additional voluntary savings deposits;

b) Within 180 days from the date this Decision takes effect, they must develop and implement a resolution plan and submit the resolution plan to the State Bank of Vietnam (Bank Inspection and Supervision Department) for microfinance programs and projects specified in Clause 1 of Article 6 of this Decision; to the State Bank branch for microfinance programs and projects specified in Clause 2 of Article 6 of this Decision.

The minimum contents of the resolution plan must include the following:

(i) Total number of microfinance clients; total number of non-microfinance clients with voluntary savings deposits;

(ii) Remaining term of the shortest and longest voluntary savings deposit;

(iii) Total balance of voluntary savings deposits of microfinance clients; total balance of voluntary savings deposits of non-microfinance clients;

(iv) Plans and measures to ensure that within the maximum remaining term of the longest voluntary savings deposit, the prescribed ratio is maintained.

Article 22. Effectiveness

This Decision takes effect from August 1, 2017.

Article 23. Implementation Organization

The Minister, Heads of ministerial-level agencies, Heads of government-affiliated agencies, Chairpersons of provincial and centrally-administered city People's Committees, and Heads of related agencies and organizations are responsible for implementing this Decision./.