Decision No. 230/2005/QD-TTg on the pilot shareholding reform of the Vietnam Bank for Foreign Trade

DECISION OF THE PRIME MINISTER

Regarding the pilot shareholding reform of the Vietnam Bank for Foreign Trade

PRIME MINISTER

Pursuant to the Law on Organization of the Government dated December 25, 2001;

Pursuant to the Enterprise Law dated June 12, 1999;

Pursuant to the State Enterprise Law dated November 26, 2003;

WHEREAS, the Law on the State Bank of Vietnam dated December 12, 1997 and the Law Amending and Supplementing Certain Provisions of the Law on the State Bank of Vietnam dated June 17, 2003;

Pursuant to the Law on Credit Institutions dated December 12, 1997 and the Law Amending and Supplementing Certain Provisions of the Law on Credit Institutions dated June 17, 2004;

Pursuant to Decree No. 187/2004/NĐ-CP dated November 16, 2004 of the Government on the conversion of state-owned companies into joint-stock companies;

Considering the proposal of the Governor of the State Bank of Vietnam and the Minister of Finance,

DECISION:

Clause 4 of Article 6Pilot shareholding reform of the Vietnam Bank for Foreign Trade

1. Objectives, requirements, and forms of shareholding reform

a) Objectives of shareholding reform:

- To enhance management capacity and modernize banking technology to improve business efficiency and capital utilization.

- To strengthen financial capacity to ensure safe operation and development of the Vietnam Bank for Foreign Trade.

- To increase competitiveness of the Vietnam Bank for Foreign Trade under conditions of international economic integration.

- To maintain the Vietnam Bank for Foreign Trade as one of the leading banks in the Vietnamese banking system.

b) Requirements of shareholding reform:

- To diversify ownership forms to enhance management capacity and operational efficiency of the Vietnam Bank for Foreign Trade.

- The shareholding reform of the Vietnam Bank for Foreign Trade must ensure safety, not cause significant fluctuations in the banking system's operations, and guarantee the operational effectiveness of the Vietnam Bank for Foreign Trade.

- To ensure the state's controlling role in the activities of the Vietnam Bank for Foreign Trade and maximize state interests.

- To conduct the process openly and transparently according to market principles.

- To mobilize capital from all strata of the population and economic sectors both domestically and internationally.

c) Forms of shareholding reform

Maintain the current state-owned capital at the Vietnam Bank for Foreign Trade based on revalued value, issue shares to attract additional capital according to the following principles:

- The state holds controlling shares of the Vietnam Bank for Foreign Trade. Share sales will be conducted in multiple stages with the state's capital proportion gradually decreasing but not falling below 51% of the bank's charter capital.

- Ensure that the Vietnam Bank for Foreign Trade's capital adequacy ratio meets the minimum international standards.

d) Charter capital level: The Governor of the State Bank of Vietnam shall submit to the Prime Minister for decision within the shareholding reform plan.

đ) Investment targets and share purchase limits:

- Domestic and foreign investors as prescribed by law.

- Each legal entity may hold no more than 10% of the charter capital; each individual may hold no more than 5% of the charter capital of the Vietnam Bank for Foreign Trade.

- Each foreign investor may hold no more than 10% of the charter capital, and the total shares held by all foreign investors may not exceed 30% of the charter capital of the Vietnam Bank for Foreign Trade.

2. Contents of the shareholding reform of the Vietnam Bank for Foreign Trade

a) Determination of enterprise value and analysis of the Vietnam Bank for Foreign Trade's business operations.

- The method for determining the enterprise value of the Vietnam Bank for Foreign Trade shall be decided by the State Bank in coordination with the Ministry of Finance based on the proposal of an international consulting organization and existing legal regulations.

- The date for determining the enterprise value is December 31, 2005.

- Analysis and evaluation of the Vietnam Bank for Foreign Trade's business operations.

- Development of plans to increase capital and organize share issuance.

- The Vietnam Bank for Foreign Trade is permitted to hire international consultants to implement the shareholding reform of the Vietnam Bank for Foreign Trade in accordance with the above contents.

b) Schedule for share sales.

- In 2006, the Vietnam Bank for Foreign Trade will sell shares in multiple tranches, each not exceeding 10% of the charter capital to increase capital while ensuring that the state's share of the charter capital of the Vietnam Bank for Foreign Trade does not fall below 70%.

- From 2007 to 2010, the Vietnam Bank for Foreign Trade will continue to sell shares to increase its charter capital but must ensure that the state's share of the charter capital of the Vietnam Bank for Foreign Trade does not fall below 51%.

12/2025/TT-BNNMT dated June 19, 2025 issued by the Minister of Agriculture and EnvironmentDivision of responsibilities

1. Vietnam Bank for Foreign Trade

a) Submit to the State Bank of Vietnam and the Ministry of Finance for approval to hire international consultants to carry out the shareholding reform of the Vietnam Bank for Foreign Trade;

b) Implement and execute the entire shareholding reform process of the Vietnam Bank for Foreign Trade in accordance with the provisions of Decree No. 187/2004/NĐ-CP dated November 16, 2004 of the Government on converting state-owned enterprises into joint-stock companies;

c) Develop and report to the State Bank of Vietnam the shareholding reform plan of the Vietnam Bank for Foreign Trade to be submitted to the Prime Minister for approval.

2. State Bank of Vietnam

a) Take the lead and coordinate with the Ministry of Finance to decide on the specific consulting organizations.

b) Bear primary responsibility for organizing, supervising, and directing the implementation of the Prime Minister's Decision on the shareholding reform of the Vietnam Bank for Foreign Trade.

c) Perform other tasks as stipulated in Decree No. 187/2004/NĐ-CP dated November 16, 2004 of the Government on converting state-owned enterprises into joint-stock companies.

3. Ministry of Finance

a) Coordinate with the State Bank of Vietnam to decide on international consulting organizations for the shareholding reform of the Vietnam Bank for Foreign Trade.

b) Decide on the cost of hiring international consulting organizations.

c) Perform other tasks as stipulated in Decree No. 187/2004/NĐ-CP dated November 16, 2004 of the Government on converting state-owned enterprises into joint-stock companies.

Article 3. The Standard Measurement Quality Control Department shall be responsible for organizing and guiding the implementation of the Regulations adopted herein.

The Governor of the State Bank of Vietnam, Ministers of Finance, Planning and Investment, Labor, Invalids and Social Affairs, Home Affairs, Heads of relevant agencies, the Steering Committee for Enterprise Reform and Development, and the Board of Directors of the Vietnam Bank for Foreign Trade are responsible for implementing this Decision./.