Circular No. 37/2024/TT-NHNN on special loans

CIRCULAR

REGULATIONS ON SPECIAL LOANS

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On the basis of Law on Credit Institutions dated January 18, 2024;

Decree No. "4. The purchase and sale of corporate bonds between credit institutions under special control and supporting credit institutions, and the mandatory transferor shall implement according to the restructuring plan of credit institutions under special control approved by the competent authority."

Article 1.

The Governor of the State Bank of Vietnam issues this Circular to regulate special loans.

PART I

GENERAL PROVISIONS

Article 1. Scope of Regulation

1. This Circular regulates special loans granted by the State Bank of Vietnam (hereinafter referred to as the State Bank) and other credit institutions to credit institutions.

2. This Circular does not regulate:

a) Special loans granted by the Deposit Insurance Corporation of Vietnam to credit institutions and special loans granted by the State Bank to the Deposit Insurance Corporation of Vietnam;

b) Special loans granted by the State Bank for loans with an interest rate of 0%/year and unsecured loans as stipulated in Clause 4, Article 193 of the Law on Credit Institutions No. 32/2024/QH15 (hereinafter referred to as the Law on Credit Institutions).

Article 2. Applicability

1. Credit institutions.

2. Other organizations and individuals related to the granting of special loans by the State Bank and other credit organizations to credit organizations.

Article 3. Explanation of Terms

In this Circular, the following terms are understood as follows:

1. Lender of special loanis the State Bank and other credit organizations providing special loans to credit organizations.

2. Obligatory transfereeis the entity receiving mandatory transfer of a credit institution under special control as provided for in Section 4 Chapter X of the Law on Credit Institutions or the entity receiving transfer as provided for in Clause 39, Article 4 of the Law on Credit Institutions 2010.

3. Special borroweris the credit organization borrowing special loans from the State Bank and other credit organizations.

4. Extension of the term of special loanis the extension of the loan period beyond the agreed special loan term or the term specified in the Decision on Special Loan.

5. Guidelines for payment of depositsis a document issued or approved by the State Bank during the handling of credit institutions under special control, which includes provisions on the payment of deposits from special loans by credit institutions under special control.

6. Interest receivableis the right to demand payment of the principal balance of interest arising from credit contracts and agreements of credit organizations with customers (excluding customers who are credit organizations).

7. is the State Bank branch in the region where the credit institution's main office, foreign bank branch, or foreign representative office is located.is the State Bank branch of the province or centrally administered city where the special borrower's main office is located.

8. Mandatory transfer plan pursuant to Law on Credit Institutions 2010is the plan prescribed in Clause 38, Article 4 of Law on Credit Institutions No. 47/2010/QH12 amended and supplemented by Law No. 17/2017/QH14 (hereinafter referred to as the Law on Credit Institutions 2010).

9. Mandatory transfer plan pursuant to Law on Credit Institutions 2024is one of the restructuring plans prescribed in Clause 29, Article 4 and Section 4 Chapter X of the Law on Credit Institutions.

10. Recovery planis one of the restructuring plans prescribed in Clause 29, Article 4 and Section 2 Chapter X of the Law on Credit Institutions.

11. Merger, consolidation, or full share transfer planis one of the restructuring plans prescribed in Clause 29, Article 4 and Section 3 Chapter X of the Law on Credit Institutions.

12. Right to claim debtis the right of credit organizations to demand payment of the principal balance arising from credit contracts and agreements with customers (excluding customers who are credit organizations).

13. Decision on Special Loanis the Decision of the Governor of the State Bank regarding the granting of special loans to credit institutions.

14. Term of special loanis the period calculated from the day following the disbursement date of the special loan by the special lender to the day when the special borrower must repay the principal and interest of the special loan according to the Decision on Special Loan (in case of special loans granted by the State Bank) or according to the agreement between the special lender and the special borrower (in case of special loans granted by other credit institutions).

15. Supporting credit organizationis a credit institution as prescribed in Clause 39, Article 4 of the Law on Credit Institutions.

16. Guidelines for special loansis a document issued by the State Bank to guide credit institutions under special control, entities receiving mandatory transfer, and relevant units of the State Bank in implementing special loans according to the mandatory transfer plan pursuant to the Law on Credit Institutions 2010 that has been approved.

Article 4. Special Loan Cases

1. The State Bank shall provide special loans from its central bank functions related to currency issuance in the following cases:

a) Providing special loans to credit institutions experiencing mass withdrawals, including commercial banks, cooperative banks, people's credit funds, and microfinance organizations for the purpose of paying out deposits to depositors;

b) Special loans to credit institutions under special control that are commercial banks, cooperative banks, finance companies, microfinance organizations to implement approved recovery plans;

c) Special loans to commercial banks under special control to implement mandatory transfer plans pursuant to the Law on Credit Institutions 2024 that have been approved;

d) Special loans to commercial banks under special control to support recovery through mandatory transfer plans pursuant to the Law on Credit Institutions 2010 that have been approved.

2. The Vietnam Cooperative Bank shall provide special loans in the following cases:

a) Providing special loans to people's credit funds experiencing mass withdrawals for the purpose of paying out deposits to depositors;

b) Providing special loans to people's credit funds under special control to implement approved recovery plans.

3. Other credit institutions (excluding the Vietnam Cooperative Bank) shall provide special loans in the following cases:

a) Providing special loans to credit institutions experiencing mass withdrawals, including commercial banks, cooperative banks, people's credit funds, and microfinance organizations for the purpose of paying out deposits to depositors;

b) Special loans to credit institutions under special control that are commercial banks, cooperative banks, finance companies, microfinance organizations to implement approved recovery plans;

c) Special loans to commercial banks under special control to implement mandatory transfer plans pursuant to the Law on Credit Institutions 2024 that have been approved.

Article 5. Principles for special loans and handling of special loans

1. For special loans prescribed in point a, Clause 1, Article 4 of this Circular:

a) The content regarding the handling of previously borrowed special loans in the recovery plan, merger plan, consolidation plan, transfer plan of all shares or capital contributions, and mandatory transfer plan under the Law on Credit Institutions 2024 (hereinafter referred to as the restructuring plan) of the borrower must comply with the provisions on term, interest rate, collateral, collateral conditions, repayment of special loans in Articles 22, 23, 24, and 25 of this Circular, except for the provision in point b of this clause;

b) In cases where the amendment or supplementation of previously borrowed special loans includes a zero percent annual interest rate or no collateral, it shall be implemented according to the provisions of Clause 4, Article 193 of the Law on Credit Institutions.

2. For special loans prescribed in points b and c, Clause 1, Article 4 of this Circular:

a) Special lending shall be carried out in accordance with the provisions of Chapter III of this Circular and the approved recovery plan and mandatory transfer plan under the Law on Credit Institutions 2024 of the borrower;

b) In cases where the amendment or supplementation of special loan content includes a zero percent annual interest rate and no collateral, such amendments or supplements shall be implemented according to the provisions of Clause 4, Article 172, and Clause 7, Article 183 of the Law on Credit Institutions.

3. For special loans prescribed in point d, Clause 1, Article 4 of this Circular:

a) Special lending shall be carried out according to the approved mandatory transfer plan under the Law on Credit Institutions 2010 and any guidance documents for special lending (if any); for the procedures of the State Bank's special lending, signing special lending contracts, accepting pledges, accepting collateral for special loans, disbursing special loans not specified in the approved mandatory transfer plan under the Law on Credit Institutions 2010 or any guidance documents for special lending, they shall be implemented according to the provisions of Articles 26 and 27 of this Circular;

b) Amendments or supplements to the content of special loans may only be made if the amended or supplemented content complies with the provisions of Chapter III of this Circular, except for the case stipulated in point c of this clause;

c) In cases where the amendment or supplementation of special loan content includes a zero percent annual interest rate and no collateral, such amendments or supplements shall be implemented according to the provisions of Clause 7, Article 183 of the Law on Credit Institutions.

4. For special loans prescribed in Clauses 2 and 3, Article 4 of this Circular, the amount of special loans, purpose of using the borrowed funds, collateral for special loans, interest rate for special loans, term of special loans, signing special lending contracts, accepting collateral (if any), disbursement, repayment of special loans, waiver or reduction of interest on special loans, handling of already granted special loans (including extension of the term of special loans, interest rates for overdue principal of special loans), and other related contents shall be implemented according to the internal regulations of the special lender, agreements between the special lender and the borrower, in compliance with the provisions of the law on special lending and the approved recovery plan and mandatory transfer plan under the Law on Credit Institutions 2024 of the borrower (if any).

5. For special loans provided by the State Bank, the currency for lending and repayment is the Vietnamese Dong.

6. Special loans shall be prioritized for repayment according to the provisions of Clause 1, Article 194 of the Law on Credit Institutions.

7. In cases where a borrower has to repay multiple special loans from multiple special lenders, if the borrower does not have sufficient resources to fully repay all special loans, the repayment shall be made proportionally according to the outstanding balance (including both principal and interest) of each special lender at the time of repayment.

8. The acceptance and handling of collateral for special loans shall be carried out according to the provisions of this Circular and the legal provisions on guaranteeing the fulfillment of obligations.

Article 6. Transfer of refinancing loans at the State Bank to special loans for credit unions borrowing from the Vietnam Rural Credit Bank

1. From the date a credit institution is placed under special supervision, its re-lending loan at the State Bank shall be converted into a special loan:

a) In cases where the balance of refinancing loans is still within the term, the principal debt balance of refinancing loans shall be transferred to the principal debt balance of special loans, and the interest debt balance of refinancing loans shall be transferred to the interest debt balance of special loans;

b) In cases where the balance of refinancing loans has exceeded the term, the overdue principal debt balance of refinancing loans shall be transferred to the overdue principal debt balance of special loans, and the overdue interest debt balance of refinancing loans (including accrued interest on the refinancing funds that credit institutions are required to repay according to regulations but have not been repaid on time) shall be transferred to the overdue interest debt balance of special loans;

c) Apart from the factors specified in points a and b of this clause, the remaining factors of special loans shall continue to be implemented under the refinancing loan mechanism of refinancing loans.

2. From the date when the credit union is placed under special supervision, the principal and interest balances of the credit union's loans at the Vietnam Rural Credit Bank shall be transferred to the principal and interest balances of special loans and shall continue to be implemented under the lending mechanism of the Vietnam Rural Credit Bank for credit unions.

3. The conversion of re-lending loans at the State Bank into special loans shall be regulated in the document of the State Bank placing the credit institution under special supervision.

Article 7. Authority to sign documents in the application dossier for special loans, the application dossier for extension of the term of special loans, the application dossier for amendment and supplementation of the Decision on special loans, and the special loan agreement

The authority to sign documents in the application dossier for special loans, the application dossier for extension of the term of special loans, the application dossier for amendment and supplementation of the Decision on special loans, and the special loan agreement of the special borrower is the legal representative or authorized representative (hereinafter referred to as the lawful representative) of the special borrower. In case of signature by an authorized representative, the application dossier for special loans, the application dossier for extension of the term of special loans, the application dossier for amendment and supplementation of the Decision on special loans, and the special loan agreement must include an authorization document established in accordance with the provisions of the law.

Article 8. Procedure for the State Bank to amend and supplement the Decision on special loans

1. After being authorized to decide to amend and supplement the content of special loans (including amendments and supplements in the case of handling special loans already borrowed in restructuring plans or mandatory transfer plans approved under the Law on Credit Institutions in 2010), in cases where it is necessary to amend and supplement the Decision on special loans, the special borrower shall submit four sets of application dossiers to the Special Supervisory Board requesting the State Bank to amend and supplement the Decision on special loans.

The application documents include:

a) A request for amendment and supplementation of the Decision on special loans, clearly stating the proposed amendments and supplements, the basis and reasons for the request, and a commitment to comply with the legal provisions on special loans;

b) Relevant documents related to the request for amendment and supplementation of the Decision on special loans (if any).

2. Within a maximum period of two working days from the date of receipt of the complete application dossier as stipulated in Clause 1 of this Article, in cases where the Special Supervisory Board proposes to amend and supplement the Decision on special loans, the Special Supervisory Board shall send two sets of application dossiers to the State Bank (Department of Monetary Policy); in cases where the recovery plan of the special borrower is approved or amended and supplemented by the State Bank branch, the Special Supervisory Board shall send an additional set of application dossiers to the State Bank branch.

When submitting the application dossier, the Special Supervisory Board shall attach a specific recommendation letter regarding the amendments and supplements to the Decision on special loans.

3. Within a maximum period of three working days from the date of receipt of the complete application dossier of the special borrower and the recommendation letter of the Special Supervisory Board as stipulated in Clauses 1 and 2 of this Article, the State Bank branch shall issue a written opinion to the Department of Monetary Policy agreeing or disagreeing with the request of the special borrower as stipulated in Clause 1 of this Article; in cases of disagreement, the reasons must be clearly stated.

4. Within a maximum period of two working days from the date of receipt of the complete application dossier and the opinions as stipulated in Clauses 1, 2, and 3 of this Article, the Department of Monetary Policy shall submit the application dossier and opinions to the Banking Inspection and Supervision Agency for comments. In cases where the request for amendment and supplementation of the Decision on special loans includes contents about collateral for special loans being negotiable instruments, the Department of Monetary Policy shall submit the application dossier of the special borrower to the State Bank Trading Department for comments.

5. Within a maximum period of five working days from the date of receipt of the request document with comments from the Department of Monetary Policy as stipulated in Clause 4 of this Article, the Banking Inspection and Supervision Agency shall issue a written opinion to the Department of Monetary Policy on the following matters:

a) Agreeing or disagreeing with the request of the special borrower, in cases of disagreement, the reasons must be clearly stated, except for the provision in point b of this clause;

b) Comments on the proposal of the State Bank branch as stipulated in Clause 3 of this Article (in cases where the recovery plan of the special borrower is approved or amended and supplemented by the State Bank branch).

6. Within a maximum period of five working days from the date of receipt of the request document with comments from the Department of Monetary Policy as stipulated in Clause 4 of this Article, the State Bank Trading Department shall issue a written opinion to the Department of Monetary Policy on the amendment and supplementation of the Decision on special loans concerning the collateral for special loans being negotiable instruments.

7. In cases where the opinions of the relevant units are incomplete as stipulated in this Article, within a maximum period of two working days from the date of receipt of the opinions, the Department of Monetary Policy shall send a document requesting the relevant unit to supplement the opinion. Within a maximum period of five working days from the date of receipt of the request document from the Department of Monetary Policy, the requested unit shall submit a supplementary opinion document.

8. Within a maximum period of five working days from the date of receipt of all opinions of the units specified in Clauses 3, 5, 6, and 7 of this Article, the Monetary Policy Department shall synthesize, propose, and submit to the Governor of the State Bank of Vietnam for consideration and decision on amending and supplementing the Decision on special loans.

9. Within a maximum period of thirty working days from the date of receipt of the complete application file of the special borrower and the opinion of the Special Supervisory Board as stipulated in Clauses 1 and 2 of this Article, the State Bank of Vietnam shall issue a Decision to amend and supplement the Decision on special loans; in case it disagrees with the request of the special borrower, the State Bank of Vietnam shall send a document to the special borrower specifying the reasons.

Chapter II

THE STATE BANK OF VIETNAM PROVIDES SPECIAL LOANS TO

CREDIT ORGANIZATIONS THAT ARE SUBJECT TO

Article 9. Purpose of Using Special Loan Funds

1. In cases where the special borrower is a credit institution not under special supervision, the special borrower may only use the special loan funds to pay individual depositors at the special borrower.

2. In cases where the special borrower is a credit institution under special supervision, the special borrower may only use the special loan funds to pay individual depositors at the special borrower; the use of special loan funds to pay corporate depositors shall be decided by the Governor of the State Bank of Vietnam for each specific special borrower based on the proposal of the Special Supervisory Board.

3. The recipients specified in Clauses 1 and 2 of this Article do not include:

a) Related parties of the special borrower as defined in Clause 24, Article 4 of the Law on Credit Institutions and the guidance of the State Bank of Vietnam on related parties of credit institutions;

b) Managers and operators of the special borrower as defined in Clauses 25 and 26, Article 4 of the Law on Credit Institutions, except those appointed, designated, or appointed by competent state authorities;

c) Related parties of individuals or organizations who are managers, operators, shareholders contributing capital or holding more than 5% of the charter capital or voting shares of the special borrower as defined in Clause 24, Article 4 of the Law on Credit Institutions and the guidance of the State Bank of Vietnam on related parties of individuals and organizations (if applicable).

4. The subjects specified in Points a, b, and c of Clause 3 of this Article shall be determined from the date:

a) The special borrower reports to the State Bank in writing when it is subject to withdrawal of funds according to Clause 1, Article 191 of the Law on Credit Organizations;

b) The State Bank issues a document placing the special borrower under special supervision (in cases where the special borrower is placed under special supervision before the date specified in point a of this clause).

5. In cases where the special borrower is a credit institution under special supervision and there are instructions for paying deposits, the recipients eligible for payment, ineligible recipients, and the amount of deposits to be paid shall be carried out according to the provisions of Clauses 1, 2, and 3 of this Article and the instructions for paying deposits.

Article 10. Amount of Special Loans

The State Bank of Vietnam shall consider and decide on the amount of special loans based on the situation of the credit institution's ability to pay as requested by the special borrower.

Article 11. Term of Special Loans, Extension of Term of Special Loans

1. The State Bank shall examine and decide on the term of special loan, ensuring it is less than twelve months.

2. The State Bank of Vietnam shall consider extending the term of special loans based on the situation of the special borrower's ability to pay or the plan to handle the special loan already borrowed in the restructuring plan being submitted to the State Bank of Vietnam (if any); the extension period for each time shall be less than twelve months.

Article 12. Interest Rates

1. The special loan interest rate, the extended term special loan interest rate shall be the rediscount rate applied by the State Bank for secured loans collateralized with negotiable securities (hereinafter referred to as the State Bank's pledge loan interest rate) on the date of disbursing the special loan, the date of extending the term of the special loan.

2. The overdue principal interest rate for special loans shall be 130% of the nearest-term special loan interest rate within the special loan period.

3. No interest rate shall be applied to overdue interest.

Article 13. Collateral for Special Loans

1. Special loans must have collateral in the following priority order:

a) Pledge: State Bank promissory notes; government bonds (including: treasury bills, treasury bonds, central government construction bonds, national reconstruction bonds, government bonds issued by the Vietnam Development Bank (formerly the Development Support Fund) designated for issuance by the Prime Minister); government-guaranteed bonds payable at 100% of their face value and interest upon maturity; local government bonds included in the list of negotiable securities used in transactions with the State Bank;

b) Pledge of bonds issued by commercial banks held by the State with more than 50% of the charter capital (excluding those commercial banks that have been compulsorily purchased);

c) Pledge of bonds issued by credit institutions not under special supervision (except for commercial banks specified in point b of this clause), and bonds issued by other enterprises.

2. In cases where the borrower has fully utilized the collateral specified in Clause 1 of this Article, the borrower may use the following assets as collateral for special loans, extension of the special loan term, and such loans will not be subject to the provisions of Clauses 4 and 5 of this Article:

a) Mortgage of claims;

b) Mortgage of receivable interest.

3. Value of collateral:

a) The value of the collateral assets specified in Clause 1 of this Article shall be determined according to Appendix IV issued together with this Circular;

b) The converted value of each item of collateral shall be calculated using the following formula:

Where:

TS: Converted value of each item of collateral;

GT: Value of each item of collateral determined according to Appendix IV attached hereto;

TL: Conversion ratio of collateral corresponding to each item of collateral.

c) The conversion ratio of collateral (TL) shall be determined as follows:

(i) For negotiable securities specified in point a of Clause 1 of this Article, TL shall be the minimum ratio between the value of the negotiable securities and the amount of the secured loan collateralized with negotiable securities provided by the State Bank to credit institutions according to the regulations of the State Bank during each period;

(ii) For collateral specified in points b and c of Clause 1 and Clause 2 of this Article, TL shall be 120%;

d) At the time of requesting a special loan, extending the term of a special loan, credit institutions must ensure that the total converted value of eligible collateral is not less than the amount requested for the special loan, the request for extension of the special loan term.

4. In cases where the collateral specified in point c of Clause 1 of this Article does not meet the conditions stipulated in Clause 2 of Article 14 of this Circular, leading to the total converted value of eligible collateral being lower than the outstanding principal balance of the special loan, the borrower must supplement or replace the collateral so that the total converted value of eligible collateral is not less than the outstanding principal balance of the special loan.

5. The supplementation or replacement of collateral specified in Clause 4 of this Article shall be carried out as follows:

a) Within ten working days from the date when the total converted value of eligible collateral is lower than the outstanding principal balance of the special loan, the borrower must submit a written request for supplementary or replacement of collateral (with approval from the Special Supervisory Board in cases where the borrower is a specially supervised credit institution), accompanied by a list of collateral proposed for supplementation and a list of collateral proposed for replacement according to Appendix IIIA attached to this Circular, and send it to the State Bank branch;

b) Within a maximum of five working days from the date of receipt of the borrower's written request and the list of collateral as specified in point a of this clause, the State Bank branch shall implement or coordinate with relevant units to implement procedures for supplementary or replacement of collateral so that the total converted value of eligible collateral is not less than the outstanding principal balance of the special loan; in cases of replacement, it must ensure that the removal of ineligible collateral can only be carried out after sufficient eligible collateral has been supplemented.

Article 14. Conditions for Collateral Assets

1. Valuable papers specified in points a and b, Clause 1, Article 13 of this Circular must satisfy all of the following conditions:

a) Issued in Vietnamese dong;

b) Being deposited at the State Bank, including direct deposit at the State Bank or deposit in the customer account of the State Bank at the Vietnam Securities Depository and Central Counterparty Corporation;

c) Not being valuable papers issued by the borrower (for valuable papers specified in point b, Clause 1, Article 13 of this Circular);

d) The remaining term of the negotiable instrument is not shorter than the term of the special loan.

2. In addition to the conditions stipulated in Clause 1 of this Article, bonds specified in point c, Clause 1, Article 13 of this Circular must also satisfy all of the following conditions:

a) Currently listed in accordance with the law;

b) Having collateral assets and the value of collateral assets according to the internal assessment results of credit institutions at the time closest to the time of submitting the loan application for special loans, the extension application for special loans, or the time of assessing collateral assets according to the internal regulations of credit institutions during the period of special loans shall not be lower than the face value of the bond;

3. The credit granted under the contract, the credit agreement generating the right to claim debt, and the receivable interest specified in Clause 2, Article 13 of this Circular must be credit secured by assets.

Article 15. Repayment of Special Loans

1. When the special loan becomes due, the special borrower must repay the entire principal and interest on the special loan to the State Bank.

2. The repayment shall be made in one lump sum on the due date of the special loan, including cases where the term of the special loan has been extended.

3. The special borrower may repay the principal and interest of the special loan ahead of schedule; the special borrower is not required to pay a prepayment fee.

4. The special borrower must repay the debt in the following cases:

a) In the case where the special borrower has funds recovered from the right to claim debt or receivable interest as collateral for the special loan (hereinafter referred to as recovered funds), within five working days at the beginning of the month, the special borrower must repay the principal of this special loan in the order of promissory notes with remaining debts signed earliest, the amount of repayment equals the total amount of recovered funds generated in the immediately preceding month;

b) In the case where the special borrower does not supplement or replace collateral assets as prescribed in Clause 4 and Clause 5, Article 13 of this Circular, within five working days following the deadline for supplementing or replacing collateral assets as prescribed in Clause 4 and Clause 5, Article 13 of this Circular, the special borrower must repay the minimum principal of the special loan equal to the difference between the outstanding principal balance of the special loan and the total converted value of the collateral assets meeting the conditions;

5. In the event of misuse of special loan funds for purposes other than those intended, within seven working days from the date the State Bank issues a notification of violation of the provisions in point d, Clause 2, and point k, Clause 4, Article 34 of this Circular (hereinafter referred to as the date the State Bank issues a notification), the special borrower must repay the debt:

a) The amount of the special loan found to have been used for unauthorized purposes;

b) The amount of interest arising on the misused special loan funds at a rate of 130% of the pledge loan interest rate of the State Bank on the date the State Bank issues a notification, from the date the special borrower receives disbursement of the misused special loan funds until the date the special borrower repays the misused special loan funds;

6. In the case where the special borrower fails to repay the debt as stipulated in Clause 1 of this Article and does not obtain an extension of the special loan term, or the special borrower fails to repay the debt as stipulated in Clause 5 of this Article, the State Bank will handle it as follows:

a) In the case where the special borrower fails to repay the debt as stipulated in Clause 1 of this Article and does not obtain an extension of the special loan term, the State Bank transfers the outstanding balance of the special loan to overdue monitoring, applies the interest rate stipulated in Clause 2, Article 12 of this Circular to the unpaid principal of the special loan that should be paid but has not yet been paid (hereinafter referred to as unpaid principal) according to the State Bank's method of calculating and accounting for income and expenditure in the activity of receiving deposits and lending between the State Bank and credit institutions;

b) Deduct from the special borrower's account at the State Bank to recover the amount the special borrower should pay (including unpaid principal and payable interest) within ten working days from the date of notifying the special borrower about the deduction from the account to recover the debt; if the full amount the special borrower should pay is not recovered, the State Bank continues to monitor and deduct from the special borrower's account until the debt is fully recovered;

c) Require the special borrower to transfer ownership of the collateral asset, which is valuable paper specified in point a, Clause 1, Article 13 of this Circular, to the State Bank;

d) Implement measures prescribed by law to process the collateral asset specified in Clause 1, Article 13 of this Circular to recover the debt;

đ) Recover the principal and interest of the special loan from the money the special borrower recovers from processing collateral assets specified in point b, c, Clause 1 and Clause 2, Article 13 of this Circular;

e) Recover the principal and interest of the special loan from other sources of the special borrower (if any).

7. In the case where the special borrower fails to repay the debt as stipulated in Clause 4 of this Article, the State Bank will handle it as follows:

a) Apply an interest rate of 130% of the pledge loan interest rate of the State Bank on the last day of the repayment period for the unpaid principal, during the period from the day following the end of the repayment period to the day the special borrower repays the unpaid principal.

b) Deduct from the special borrower's account at the State Bank to recover the amount that the special borrower must pay (including the outstanding principal not yet repaid and the interest prescribed in point a of this clause) within five working days from the date the special borrower fails to repay the special loan (in the case where the special borrower is a credit institution not subject to special supervision and falls under the micro-prudential inspection and supervision of the State Bank branch) or within five working days from the date of receipt of the notification document from the Banking Inspection and Supervision Authority (in the case where the special borrower is a credit institution not subject to special supervision and falls under the micro-prudential inspection and supervision of the Banking Inspection and Supervision Authority) regarding the special borrower's failure to repay the debt as stipulated in Clause 4 of this Article;

c) Recover the principal and interest of the special loan from other sources of the borrower (if any).

Article 16. Procedures for the State Bank to consider and decide on granting special loans to credit institutions not subject to special supervision

1. When there is a need for a special loan, a credit institution not subject to special supervision shall prepare a request file, including:

a) A special loan request letter, specifying: name of the credit institution; Vietnamese dong account number opened at the State Bank branch (if any); reasons for requesting a special loan due to mass withdrawals; the amount requested for the special loan (not exceeding the total value of the collateral assets listed in point đ of this clause), term, interest rate, collateral assets proposed for the special loan; purpose of using the special loan funds to pay deposits to individual depositors; commitment to use the loan funds for the intended purpose and comply with the special loan regulations;

b) Report on the situation of mass withdrawals, specifying: the situation of payment capacity, risk of loss of payment capacity or loss of payment capacity due to mass withdrawals; whether the credit institution has a remediation plan approved according to Article 143 and Article 158 of the Law on Credit Institutions; if there is an approved remediation plan, specify the implementation period of the remediation plan, measures already applied and planned to be applied to address the situation of mass withdrawals, the content of the special loan measures by the State Bank in the remediation plan (if any); explanation of the amount and term of the special loan requested;

c) Data on Vietnamese dong deposits according to Appendix I issued together with this Circular;

d) Data on sources of capital and use of Vietnamese dong capital according to Appendix II issued together with this Circular;

đ) List of collateral assets for the special loan as set out in Appendix IIIA issued together with this Circular;

e) Resolution of the Board of Directors approving the request for a special loan from the State Bank (in the case of a joint-stock credit institution requesting a special loan with a value within the approval authority of the Board of Directors according to Clause 10 of Article 70 of the Law on Credit Institutions); Resolution of the Board of Directors (in the case of a Vietnam Rural Credit Bank or people's credit fund), Resolution of the Board of Members (in the case of a limited liability company) approving the request for a special loan from the State Bank;

2. The credit institution shall submit the request file specified in Clause 1 of this Article:

a) In the case of being under the micro-prudential inspection and supervision of the Banking Inspection and Supervision Authority, the credit institution shall submit two sets of request files to the State Bank: one set to the Banking Inspection and Supervision Authority and one set to the Monetary Policy Department;

b) In the case of being under the micro-prudential inspection and supervision of the State Bank branch, the credit institution shall submit two sets of request files to the State Bank: one set to the State Bank branch and one set to the Monetary Policy Department;

3. Within a maximum of five working days from the date of receipt of the complete request file as specified in Clauses 1 and 2 of this Article, the Banking Inspection and Supervision Authority or the State Bank branch shall provide comments in writing to the Monetary Policy Department on the following contents:

a) Comments on the situation of the credit institution being subjected to mass withdrawals and the contents that the State Bank has required the credit institution to implement to address the situation of mass withdrawals; the operational status and payment capacity of the credit institution; whether the State Bank is implementing early intervention or not implementing early intervention for the credit institution;

b) Whether the credit institution has an approved remediation plan; the content of the special loan measures by the State Bank in the remediation plan (if any);

c) Based on the information provided by the credit institution in the list of collateral assets and responsible for providing such information according to point đ of Clause 1 of this Article, provide comments on the consistency of the information about collateral assets in the list of collateral assets with the provisions of Article 14 of this Circular; whether the credit institution has fully utilized the collateral assets prescribed in Clause 1 of Article 13 of this Circular in the case where the credit institution requests to use the collateral assets prescribed in Clause 2 of Article 13 of this Circular;

d) Propose to grant or not to grant a special loan to the credit institution; in the case of proposing to grant a special loan, provide specific comments on the necessity of the special loan, the amount, term, interest rate, collateral assets, and purpose of using the loan funds; in the case of proposing not to grant a special loan, clearly state the reasons;

4. In the case where the credit institution submits the request file as specified in point b of Clause 2 of this Article, within a maximum of two working days from the date of receipt of the complete request file as specified in Clause 1 of this Article and the opinion document of the State Bank branch as specified in Clause 3 of this Article, the Monetary Policy Department shall send a document seeking comments from the Banking Inspection and Supervision Authority along with the credit institution's request file and the opinion document of the State Bank branch;

5. Within a maximum of three working days from the date of receipt of the request document with comments from the Monetary Policy Department as specified in Clause 4 of this Article, the Banking Inspection and Supervision Authority shall provide specific comments in writing to the Monetary Policy Department on the proposal of the State Bank branch at point d of Clause 3 of this Article.

6. In case the Collateral Asset List of the credit institution contains negotiable instruments, within a maximum period of two working days from the date of receiving all the application documents as stipulated in Clause 1 of this Article, the Monetary Policy Department shall send the Collateral Asset List to the State Bank of Vietnam Trading Office for comments.

7. Within a maximum period of five working days from the date of receiving the request document with comments from the Monetary Policy Department as stipulated in Clause 6 of this Article, based on the information provided in the Collateral Asset List by the credit institution and bearing responsibility as stipulated in Point d Clause 1 of this Article, the State Bank of Vietnam Trading Office shall provide comments in writing to the Monetary Policy Department regarding the contents concerning collateral assets being negotiable instruments in the Collateral Asset List of the credit institution: type of negotiable instrument; negotiable instrument code; issuing organization; depository organization; principal repayment method; interest payment method; interest rate; issuance date; maturity date; face value; value; converted value of the negotiable instrument.

8. In case the comments of the units are not complete as prescribed in this Article, within a maximum period of two working days from the date of receiving the comments document, the Monetary Policy Department shall send a document requesting the relevant unit to supplement the comments. Within a maximum period of three working days from the date of receiving the request document from the Monetary Policy Department, the requested unit shall submit a supplementary comments document.

9. Within a maximum period of five working days from the date of receiving all the comments documents of the units as stipulated in Clauses 3, 5, 7, and 8 (if applicable) of this Article, the Monetary Policy Department shall compile, propose, and submit to the Governor of the State Bank of Vietnam for consideration and decision on special loans for credit institutions under special control; in case of disagreement with granting special loans, the State Bank of Vietnam shall send a document to the credit institution specifying the reasons.

Article 17. Procedure for the State Bank of Vietnam to consider and decide on special loans for credit institutions under special control.

1. When there is a need for a special loan, a credit institution under special control shall submit four sets of application documents to the Special Control Board requesting the State Bank of Vietnam to grant a special loan.

The application documents include:

a) A special loan request letter, clearly stating: name of the credit institution; Vietnamese currency account number opened at the State Bank of Vietnam branch (if any); reason for requesting a special loan due to mass withdrawals, amount of special loan requested (not exceeding the total converted value of the collateral assets listed in Point d Clause 1 of this Article), term, interest rate, proposed collateral for the special loan; purpose of using the special loan funds to pay deposits to depositors (specifying whether the depositors are individuals and/or organizations); whether the credit institution has an approved restructuring plan; commitment to use the loan funds for the intended purpose and comply with the regulations on special loans;

b) Report on the situation of mass withdrawals, specifying: the situation of payment capacity, risk of loss of payment capacity or loss of payment capacity due to mass withdrawals; whether the credit institution has a remediation plan approved according to Article 143 and Article 158 of the Law on Credit Institutions; if there is an approved remediation plan, specify the implementation period of the remediation plan, measures already applied and planned to be applied to address the situation of mass withdrawals, the content of the special loan measures by the State Bank in the remediation plan (if any); explanation of the amount and term of the special loan requested;

c) Data on Vietnamese dong deposits according to Appendix I issued together with this Circular;

d) Data on sources of capital and use of Vietnamese dong capital according to Appendix II issued together with this Circular;

d) The Collateral Asset List according to Appendix IIIA issued together with this Circular;

e) Resolution of the Board of Directors approving the request for a special loan from the State Bank (in the case of a joint-stock credit institution requesting a special loan with a value within the approval authority of the Board of Directors according to Clause 10 of Article 70 of the Law on Credit Institutions); Resolution of the Board of Directors (in the case of a Vietnam Rural Credit Bank or people's credit fund), Resolution of the Board of Members (in the case of a limited liability company) approving the request for a special loan from the State Bank;

2. Within a maximum period of three working days from the date of receiving all the application documents as stipulated in Clause 1 of this Article, if recommending a special loan for the credit institution, the Special Control Board shall forward two sets of application documents to the State Bank of Vietnam (Monetary Policy Department); in case the credit institution falls under the micro-prudential supervision and inspection scope of the State Bank of Vietnam branch, the Special Control Board shall additionally forward one set of application documents to the State Bank of Vietnam branch.

When submitting the application files, the Special Control Board shall attach a specific opinion of the Special Control Board on the following contents:

a) Specific opinion on the credit institution being subject to mass withdrawals; operational status and payment capacity of the credit institution;

b) Whether the credit institution has an approved remediation plan; content of the special loan measures in the remediation plan (if any); whether the credit institution has an approved restructuring plan;

c) Specific opinion on whether the credit institution has fully utilized the collateral assets as stipulated in Clause 1 of Article 13 of this Circular in cases where the credit institution requests to utilize the collateral assets as stipulated in Clause 2 of Article 13 of this Circular;

d) Recommendation for a special loan for the credit institution, specific opinion on the necessity of the special loan, amount, term, interest rate, collateral, purpose of using the loan funds (in cases where the proposal involves paying deposits to organizational depositors, the Special Control Board shall provide specific opinions on not using the special loan funds to pay deposits to organizational depositors that would affect the stability of the credit institution's operations).

3. Within a maximum period of two working days from the date of receiving all the application documents and comment documents as stipulated in Clauses 1 and 2 of this Article, the State Bank of Vietnam branch shall provide comments in writing to the Monetary Policy Department on the following contents:

a) Specific opinion on the credit institution being subject to mass withdrawals; operational status and payment capacity of the credit institution;

b) Whether the credit institution has an approved remediation plan (in cases where the credit institution must submit an approved remediation plan to the State Bank of Vietnam branch as required); content of the special loan measures in the remediation plan (if any); whether the credit institution has an approved restructuring plan (in cases where the restructuring plan for the credit institution requesting a special loan falls within the authority of the State Bank of Vietnam branch);

c) Based on the information provided in the Collateral Asset List by the credit institution and bearing responsibility as stipulated in Point d Clause 1 of this Article, provide comments on the consistency of the collateral asset information in the Collateral Asset List with the provisions of Article 14 of this Circular;

d) Propose to grant or not to grant a special loan to the credit institution; in the case of proposing to grant a special loan, provide specific comments on the necessity of the special loan, the amount, term, interest rate, collateral assets, and purpose of using the loan funds; in the case of proposing not to grant a special loan, clearly state the reasons;

4. Within a maximum period of two working days from the date of receiving all the application documents, comment documents as stipulated in Clauses 1 and 2 of this Article, and the comment document as stipulated in Clause 3 of this Article (in cases where the credit institution falls under the micro-prudential supervision and inspection scope of the State Bank of Vietnam branch), the Monetary Policy Department shall submit the application documents and the comment documents to the Banking Inspection and Supervision Authority for comments. In case the Collateral Asset List of the credit institution contains negotiable instruments, the Monetary Policy Department shall send the Collateral Asset List to the State Bank of Vietnam Trading Office for comments.

5. Within a maximum period of seven working days from the date of receipt of the document requesting comments as stipulated in Clause 4 of this Article, the Banking Inspection and Supervision Authority shall provide comments in writing to the Monetary Policy Department on the following contents:

a) Specific opinions on the situation of a credit institution being subject to mass withdrawals; the operational status and liquidity of the credit institution (in cases where the credit institution requests special loans under the micro-prudential supervision of the Banking Inspection and Supervision Authority);

b) Whether the credit institution has a remediation plan that has been approved (in cases where the credit institution must submit a remediation plan approved by the Banking Inspection and Supervision Authority as prescribed); the content of the special loan measures in the remediation plan (if applicable); whether the credit institution has a restructuring plan that has been approved (except for cases where the restructuring plan of the credit institution requesting special loans falls within the approval authority of the State Bank branch);

c) Based on the information provided in the Collateral Asset List by the credit institution and responsible for according to the provisions of Point d Clause 1 of this Article, provide opinions on the appropriateness of the collateral asset information in the Collateral Asset List with the provisions of Article 14 of this Circular (except for cases where the credit institution requests special loans under the micro-prudential supervision of the State Bank branch);

d) Propose whether to grant special loans to credit institutions under the micro-prudential supervision of the Banking Inspection and Supervision Authority; in cases where special loans are proposed, provide specific opinions on the necessity of granting special loans, the amount, term, interest rate, collateral assets, and purpose of using the special loan funds; in cases where special loans are not proposed, clearly state the reasons;

đ) Specific opinions on the proposal of the State Bank branch as stipulated in Point d Clause 3 of this Article (in cases where the credit institution requests special loans under the micro-prudential supervision of the State Bank branch);

6. Within a maximum period of seven working days from the date of receipt of the document requesting comments as stipulated in Clause 4 of this Article, based on the information provided in the Collateral Asset List by the credit institution and responsible for according to the provisions of Point đ Clause 1 of this Article, the State Bank Trading Department shall provide comments in writing to the Monetary Policy Department on the contents regarding securities collateral in the Collateral Asset List of the credit institution: type of security; security code; issuer; custodian; payment method for principal and interest; interest rate; issuance date; maturity date; face value; value; converted value of the security.

7. In cases where the comments of the units are incomplete as prescribed in this Article, within a maximum period of two working days from the date of receipt of the comment document, the Monetary Policy Department shall send a document requesting related units to supplement their comments. Within a maximum period of three working days from the date of receipt of the request document from the Monetary Policy Department, the requested unit shall send a supplementary comment document.

8. Within a maximum period of five working days from the date of receipt of complete comment documents of the units as stipulated in Clause 3 (in cases where the credit institution is under the micro-prudential supervision of the State Bank branch), Clause 5, Clause 6, and Clause 7 (if applicable) of this Article, the Monetary Policy Department shall compile, propose, and submit to the Governor of the State Bank for consideration and decision on the State Bank granting special loans; in cases where it does not agree to grant special loans, the State Bank shall send a document to the credit institution and clearly state the reasons.

Article 18. Procedure for the State Bank to consider and decide on extending the term of special loans for credit institutions not subject to special supervision

1. When there is a need to extend the term of a special loan, at least 40 working days before the due date for repayment, the special borrower shall submit two sets of application files for extending the term of the special loan to the State Bank (Department of Monetary Policy). In cases where the special borrower falls under the micro-prudential supervision and inspection of the State Bank branch, the special borrower shall additionally submit one set of application files for extending the term of the special loan to the State Bank branch.

The application documents include:

a) A request for extension of the term of the special loan, specifying: the name of the credit institution, the account number in Vietnamese dong opened at the State Bank branch, reasons, amount requested for extension (not exceeding the total value of the collateral assets listed in point d clause of this article), term, interest rate, collateral assets proposed for extension; commitment to comply with the provisions of the law on special lending;

b) Report on the situation of the special borrower's ability to pay; measures taken by the special borrower to address the situation of mass withdrawals, including measures in the remediation plan approved according to Article 143, Article 158 of the Law on Credit Institutions; measures planned to address the situation of mass withdrawals and repay the special loan; explanation of the amount, term requested for extension of the term of the special loan;

c) Data on sources of capital and the use of Vietnamese dong capital according to Appendix II issued together with this Circular;

d) List of collateral assets according to Appendix IIIA issued together with this Circular.

đ) Resolution of the Board of Directors approving the request for extension of the term of the special loan from the State Bank (in cases where the special borrower is a joint-stock company requesting an extension of the term of the special loan within the amount approved by the Board of Directors according to Clause 10, Article 70 of the Law on Credit Institutions); Resolution of the Board of Directors (in cases where the special borrower is the Vietnam Cooperative Joint Stock Commercial Bank, people's credit funds), Resolution of the Board of Members (in cases where the special borrower is a limited liability company) approving the request for extension of the term of the special loan from the State Bank.

2. Within a maximum of three working days from the date of receipt of the complete application file as stipulated in Clause 1 of this Article, the State Bank branch shall provide written comments to the State Bank (Department of Monetary Policy) on the following contents:

a) The operation status and payment capacity of the special borrower; measures taken by the special borrower to address the situation of mass withdrawals; whether the State Bank is implementing early intervention or not implementing early intervention for the special borrower;

b) Based on the information provided in the list of collateral assets by the special borrower and responsible for providing such information as stipulated in point d clause 1 of this Article, provide comments on the consistency of the information about collateral assets in the list of collateral assets with the provisions of Article 14 of this Circular; whether the special borrower has fully utilized the collateral assets specified in Clause 1 of Article 13 of this Circular in cases where the special borrower requests to use the collateral assets specified in Clause 2 of Article 13 of this Circular;

c) Propose to extend the term of the special loan or not extend the term of the special loan for the special borrower; if proposing to extend the term of the special loan, provide specific comments on the reasons for the proposal, amount, term, interest rate, collateral assets; if proposing not to extend the term of the special loan, clearly state the reasons;

3. Within a maximum of two working days from the date of receipt of the complete application file as stipulated in Clause 1 of this Article, and the comment document as stipulated in Clause 2 of this Article (in cases where the special borrower falls under the micro-prudential supervision and inspection of the State Bank branch), the Department of Monetary Policy shall submit the application file and the comment document (if any) to the Banking Inspection and Supervision Authority for comments. If the list of collateral assets of the special borrower includes negotiable instruments, the Department of Monetary Policy shall submit the list of collateral assets to the State Bank Trading Department for comments.

4. Within a maximum of seven working days from the date of receipt of the request document with comments from the Department of Monetary Policy as stipulated in Clause 3 of this Article, the Banking Inspection and Supervision Authority shall provide written comments to the Department of Monetary Policy on the following contents:

a) The operation status and payment capacity of the special borrower; measures taken by the special borrower to address the situation of mass withdrawals; whether the State Bank is implementing early intervention or not implementing early intervention for the special borrower (in cases where the special borrower requests an extension and falls under the micro-prudential supervision and inspection of the Banking Inspection and Supervision Authority);

b) Based on the information provided in the list of collateral assets by the special borrower and responsible for providing such information as stipulated in point d clause 1 of this Article, provide comments on the consistency of the information about collateral assets in the list of collateral assets with the provisions of Article 14 of this Circular; whether the special borrower has fully utilized the collateral assets specified in Clause 1 of Article 13 of this Circular in cases where the special borrower requests to use the collateral assets specified in Clause 2 of Article 13 of this Circular (except in cases where the special borrower requests an extension and falls under the micro-prudential supervision and inspection of the State Bank branch);

c) Propose to extend the term of the special loan or not extend the term of the special loan for the special borrower falling under the micro-prudential supervision and inspection of the Banking Inspection and Supervision Authority; if proposing to extend the term of the special loan, provide specific comments on the reasons for the proposal, amount, term, interest rate, collateral assets; if proposing not to extend the term of the special loan, clearly state the reasons;

d) Provide comments on the proposal of the State Bank branch as stipulated in point c clause 2 of this Article for the special borrower falling under the micro-prudential supervision and inspection of the State Bank branch.

5. Within a maximum period of seven working days from the date of receipt of the document requesting comments as provided for in Clause 3 of this Article, the State Bank Trading Department shall provide comments in writing to the Monetary Policy Department based on the information in the Collateral Asset List provided by the special borrower and responsible for as stipulated in Point d, Clause 1 of this Article, regarding the contents concerning collateral assets being negotiable instruments in the Collateral Asset List of the special borrower: type of negotiable instrument; negotiable instrument code; issuing organization; depository organization; principal and interest payment method; interest rate; issuance date; maturity date; face value; value; negotiable instrument conversion value.

6. In case the comments of the units are not complete as required under this Article, within a maximum period of three working days from the date of receipt of the comment document, the Monetary Policy Department shall send a document requesting the relevant unit to supplement its comments. Within a maximum period of seven working days from the date of receipt of the request document from the Monetary Policy Department, the requested unit shall submit a supplementary comment document.

7. Within a maximum period of seven working days from the date of receipt of the complete comment documents of the units as provided for in Clause 2 (in case the special borrower falls under the micro-prudential supervision and inspection objects of the State Bank branch), Clause 4, Clause 5, and Clause 6 (if applicable) of this Article, the Monetary Policy Department shall compile, propose, and submit to the Governor of the State Bank for consideration and decision on extending the loan term for the special borrower; in case of disagreement with extending the loan term for the special borrower, the State Bank shall issue a document to the special borrower and specify the reasons.

Article 19. Procedure for the State Bank to consider and decide on extending the loan term for a specially supervised credit institution.

1. When there is a need to extend the special loan term before having an approved restructuring plan or changing the restructuring plan but it has not been approved, the special borrower must submit four sets of application documents for extending the special loan term to the Special Supervisory Board at least forty working days prior to the debt repayment due date.

The application documents include:

a) A request for extension of the special loan term, specifying: name of the credit institution, Vietnamese currency account number opened at the State Bank branch, reason, amount requested for extension (not exceeding the total conversion value of the collateral assets listed in Point d, Clause 1 of this Article), term, interest rate, proposed collateral; whether the special borrower has an approved restructuring plan or not; commitment to comply with the laws on special loans;

b) Report on the ability to pay of the special borrower; measures taken by the special borrower to address the run on deposits, including measures in the approved resolution plan under Article 143 and Article 158 of the Law on Credit Institutions; proposed measures to address the run on deposits and repay the special loan; restructuring plan for the special loan already borrowed that is currently being submitted to the State Bank (if any); explanation of the amount and term requested for extension of the special loan term;

c) Data on sources of capital and the use of Vietnamese dong capital according to Appendix II issued together with this Circular;

d) Collateral Asset List according to Appendix IIIA issued together with this Circular;

đ) Resolution of the Board of Directors approving the request for extension of the term of the special loan from the State Bank (in cases where the special borrower is a joint-stock company requesting an extension of the term of the special loan within the amount approved by the Board of Directors according to Clause 10, Article 70 of the Law on Credit Institutions); Resolution of the Board of Directors (in cases where the special borrower is the Vietnam Cooperative Joint Stock Commercial Bank, people's credit funds), Resolution of the Board of Members (in cases where the special borrower is a limited liability company) approving the request for extension of the term of the special loan from the State Bank.

2. Within a maximum period of three working days from the date of receipt of the complete application documents as provided for in Clause 1 of this Article, if recommending an extension of the special loan term for the special borrower, the Special Supervisory Board shall forward two sets of application documents to the State Bank (Monetary Policy Department); in case the special borrower falls under the micro-prudential supervision and inspection objects of the State Bank branch, the Special Supervisory Board shall additionally forward one set of application documents to the State Bank branch.

When submitting the application files, the Special Control Board shall attach a specific opinion of the Special Control Board on the following contents:

a) The operation situation and ability to pay of the special borrower; measures taken by the special borrower to address the run on deposits; specific opinion on whether the special borrower has exhausted the collateral assets as stipulated in Clause 1, Article 13 of this Circular in the case where the special borrower requests to use the collateral assets as stipulated in Clause 2, Article 13 of this Circular;

b) The special borrower does not have an approved restructuring plan or has changed the restructuring plan but it has not been approved; restructuring plan for the special loan already borrowed that is currently being submitted to the State Bank (if any);

c) Recommendation for extending the special loan term for the special borrower, reasons for recommendation; specific opinion on the amount, interest rate, term, and collateral;

3. Within a maximum period of three working days from the date of receipt of the complete application documents and comment documents as provided for in Clause 1 and Clause 2 of this Article, the State Bank branch shall provide comments in writing to the Monetary Policy Department on the following contents:

a) The operation situation and ability to pay of the special borrower; measures taken by the special borrower to address the run on deposits;

b) Whether the special borrower has an approved restructuring plan or not; restructuring plan for the special loan already borrowed that is currently being submitted to the State Bank (if any) in the case where the restructuring plan falls under the approval authority of the State Bank branch;

c) Based on the information in the Collateral Asset List provided by the special borrower and responsible for as stipulated in Point d, Clause 1 of this Article, provide comments on the appropriateness of the information about the collateral assets in the Collateral Asset List with the provisions of Article 14 of this Circular;

d) Propose to extend the special loan term or not to extend the special loan term for the special borrower; in case proposing to extend the special loan term, provide specific opinions on the amount, term, interest rate, and collateral; in case proposing not to extend the special loan term, clearly state the reasons.

4. Within a maximum period of two working days from the date of receiving complete application files and the documents specified in Clauses 1 and 2 of this Article, and the document specified in Clause 3 of this Article (in case the special borrower is subject to micro-prudential supervision by the State Bank branch), the Monetary Policy Department shall send the application file and relevant documents for comments from the Banking Supervision Authority. In case the list of collateral assets of the special borrower includes negotiable instruments, the Monetary Policy Department shall send the list of collateral assets for comments from the State Bank Trading Department.

5. Within a maximum period of seven working days from the date of receipt of the document requesting comments as stipulated in Clause 4 of this Article, the Banking Inspection and Supervision Authority shall provide comments in writing to the Monetary Policy Department on the following contents:

a) The operational situation and payment capacity of the special borrower; measures taken by the special borrower to address the issue of mass withdrawals (in case the special borrower is subject to micro-prudential supervision by the Banking Supervision Authority).

b) Whether the special borrower has an approved restructuring plan, and whether there is a specific handling plan for the special loan already borrowed under the restructuring plan being submitted to the State Bank (except in cases where the restructuring plan falls within the approval authority of the State Bank branch).

c) Based on the information provided in the list of collateral assets by the special borrower and their responsibility as stipulated in Point d, Clause 1 of this Article, provide comments on the consistency of the collateral asset information in the list with the provisions of Article 14 of this Circular (except in cases where the special borrower is subject to micro-prudential supervision by the State Bank branch).

d) Propose extending the term of the special loan or not extending the term of the special loan for the special borrower who is subject to micro-prudential supervision by the Banking Supervision Authority; if proposing to extend the term of the special loan, provide specific comments on the amount, term, interest rate, and collateral; if proposing not to extend the term of the special loan, clearly state the reasons.

đ) Provide comments on the proposal of the State Bank branch as specified in Clause 3, Point d of this Article for the special borrower who is subject to micro-prudential supervision by the State Bank branch.

6. Within a maximum period of seven working days from the date of receiving the document requesting comments from the Monetary Policy Department as specified in Clause 4 of this Article, based on the information provided in the list of collateral assets by the special borrower and their responsibility as stipulated in Point d, Clause 1 of this Article, the State Bank Trading Department shall provide written comments to the Monetary Policy Department regarding the contents of the collateral assets that are negotiable instruments in the list of collateral assets of the special borrower: type of negotiable instrument; negotiable instrument code; issuing organization; custodian organization; principal and interest repayment method; interest rate; issuance date; maturity date; face value; value; converted value of the negotiable instrument.

7. In case the comments from the units are incomplete according to the provisions of this Article, within a maximum period of three working days from the date of receipt of the comments, the Monetary Policy Department shall send a document requesting related units to supplement their comments. Within a maximum period of seven working days from the date of receipt of the request from the Monetary Policy Department, the requested unit shall submit a supplementary comment document.

8. Within a maximum period of seven working days from the date of receiving complete comments from the units as specified in Clause 3 (in case the special borrower is subject to micro-prudential supervision by the State Bank branch), Clause 5, Clause 6, and Clause 7 (if applicable) of this Article, the Monetary Policy Department shall compile, propose, and submit to the Governor of the State Bank for consideration and decision on extending the term of the special loan for the special borrower; in case of disagreement with extending the term of the special loan, the State Bank shall send a document to the special borrower stating the reasons.

Article 20. Signing special loan contracts; accepting pledges and mortgages of collateral assets; disbursing special loans

1. Signing the special loan contract, accepting pledge, mortgage of collateral assets:

a) Within a maximum period of two working days from the date of receiving the Decision on Special Loan, based on this Decision and relevant laws, the Director of the State Bank branch shall sign the special loan contract, including the content of accepting pledge, mortgage of collateral assets.

In case the collateral asset is a claim or receivable interest as stipulated in Clause 2, Article 13 of this Circular, the special borrower shall manage and retain credit files generating the claim or receivable interest according to the guidance of the State Bank branch (for special borrowers that are credit institutions not under special control) or the Special Control Board (for special borrowers that are credit institutions under special control).

b) In case the special loan has collateral assets as negotiable instruments, within one working day from the date of signing the special loan contract, the State Bank branch shall send the signed special loan contract to the State Bank Trading Department.

Within two working days from the date of receiving the signed special loan contract, the State Bank Trading Department shall record and accept the pledge of collateral assets as negotiable instruments listed in the attached collateral asset list of the signed special loan contract and notify the State Bank branch in writing about the completion of recording and accepting these negotiable instruments.

2. Disbursing the special loan to credit institutions not under special control:

a) When there is a need for disbursement of the special loan capital, the special borrower shall send a disbursement request document to the State Bank branch, specifying the amount, time, and reasons for the request.

b) The State Bank branch shall disburse the special loan based on the signed special loan contract and the disbursement request document from the special borrower.

c) The State Bank branch shall only disburse the special loan after completing the procedures for accepting collateral assets.

3. Disbursing the special loan to credit institutions under special control:

a) When there is a need for special loan disbursement, the special borrower submits a request for disbursement to the Special Supervisory Board, clearly stating the amount, time, and reasons for requesting disbursement.

b) Based on the special borrower's need for special loan funds, the Special Supervisory Board examines and provides comments on the disbursement proposal document of the special borrower. In case of agreement, within two working days from the date of receipt of the disbursement proposal document, the Special Supervisory Board shall issue a document clearly stating the amount and disbursement time along with the special borrower's disbursement proposal document to be sent to the State Bank branch.

c) Based on the signed special loan contract, within two working days from the date of receiving all documents from the Special Supervisory Board as stipulated in point b clause of this article and the notification document of the State Bank Trading Department as stipulated in point c clause 1 of Article 1 of this Circular (if applicable), the State Bank branch shall disburse the special loan.

d) The State Bank branch shall only disburse the special loan after completing the procedures for receiving collateral assets.

Chapter III

THE STATE BANK PROVIDES SPECIAL LOANS

FOR IMPLEMENTING RESTRUCTURING PLANS

Article 21. Purpose of Special Loan Usage

The special borrower may use the special loan funds to carry out banking activities and other business operations as prescribed in the License, in accordance with the recovery plan and the mandatory transfer plan under the Law on Credit Institutions 2024.

Article 22. Amount and Term of Special Loans

1. The State Bank shall examine and decide on the amount and term of the special loan based on the financial status of the credit institution requesting the special loan, the objectives and implementation period of the recovery plan and the mandatory transfer plan under the Law on Credit Institutions 2024, support measures, projected financial plans, and business plans of the credit institution requesting the special loan as set forth in the recovery plan and the mandatory transfer plan under the Law on Credit Institutions 2024.

2. The term of the special loan shall not exceed the implementation period of the recovery plan and the mandatory transfer plan under the Law on Credit Institutions 2024.

Article 23. Interest Rate

1. The interest rate for the special loan shall be equal to the interest rate for pledged loans of the State Bank at the time of special loan disbursement.

2. The overdue principal interest rate for special loans shall be 130% of the nearest-term special loan interest rate within the special loan period.

3. No interest rate shall be applied to overdue interest.

Article 24. Collateral Assets, Conditions for Collateral Assets

1. Collateral assets include the assets specified in Clause 1, Point a Clause 2 of Article 13 of this Circular.

2. Conditions for collateral assets

a) Collateral assets as defined in Point a Clause 1 of Article 13 of this Circular must meet all conditions stipulated in Points a and b Clause 1 of Article 14 of this Circular;

b) Collateral assets as defined in Point b Clause 1 of Article 13 of this Circular must meet all conditions stipulated in Points a, b, and c Clause 1 of Article 14 of this Circular;

c) Collateral assets as defined in Point c Clause 1 of Article 13 of this Circular must meet all conditions stipulated in Points a, b, and c Clause 1 of Article 14 of this Circular and must be secured by assets;

d) For collateral assets that are claims, credit facilities under contracts, or credit agreements generating claims, such claims must be credit facilities denominated in Vietnamese dong, secured by assets, classified into Group 1 (standard assets) according to the State Bank's regulations on classifying credit institutions' assets, excluding restructured loans as defined by the State Bank.

3. Value of Collateral Assets

a) The value of the collateral assets specified in Clause 1 of this Article shall be determined according to Appendix IV issued together with this Circular;

b) At the time of requesting a special loan, the credit institution must ensure that the total value or the total converted value (in cases where the recovery plan or the mandatory transfer plan includes converted values) of the eligible collateral assets is not less than the amount requested for the special loan.

4. Supplementing and Replacing Collateral Assets

a) If there are collateral assets that do not meet the conditions stipulated in Clause 2 of this Article, leading to the total value or the total converted value of the eligible collateral assets being lower than the principal balance of the special loan, then the special borrower must supplement or replace the collateral assets so that the total value or the total converted value of the eligible collateral assets is not less than the principal balance of the special loan;

b) The monitoring and evaluation of the conditions of collateral assets, the procedures for supplementing or replacing collateral assets (including supplementing collateral assets to continue disbursing special loan funds) shall be carried out according to the recovery plan and the mandatory transfer plan under the Law on Credit Institutions 2024 of the special borrower.

Article 25. Repayment of Special Loans

1. When the special loan becomes due according to the schedule set forth in the recovery plan or mandatory transfer plan under the Law on Credit Institutions 2024 which has been approved, the special borrower must repay the entire principal and interest of the special loan to the State Bank.

2. The special borrower may repay the principal and/or interest of the special loan ahead of schedule; the special borrower shall not be required to pay any prepayment fee.

3. In cases where additional or replacement collateral is not supplemented or substituted as prescribed in Clause 4, Article 24 of this Circular, the special borrower must repay the principal with a minimum amount equal to the difference between the outstanding principal balance of the special loan and the total value or converted total value of the eligible collateral; the repayment period shall be carried out according to the recovery plan or mandatory transfer plan under the Law on Credit Institutions 2024 of the special borrower.

4. In cases where the special loan funds are found to have been misused, the special borrower must repay the debt as follows:

a) The amount to be repaid includes the amount of the special loan that was improperly used and the accrued interest on such improperly used amount at an interest rate of 130% of the secured loan interest rate of the State Bank;

b) The repayment period and method for determining the amount of interest to be paid shall be carried out according to the recovery plan or mandatory transfer plan under the Law on Credit Institutions 2024 of the special borrower.

5. In cases where the special borrower fails to repay the debt as prescribed in Clause 1, Clause 3, or Clause 4 of this Article, the State Bank shall handle it as follows:

a) If the special borrower fails to repay the loan as stipulated in Clause 1 of this Article, the State Bank will transfer the outstanding balance of the special loan to overdue status and apply the interest rate prescribed in Clause 2, Article 23 of this Circular to the overdue principal of the special loan in accordance with the State Bank's regulations on calculation and accounting of interest income and expenditure in its deposit and lending activities with credit institutions;

b) If the special borrower fails to repay the loan as stipulated in Clause 3 of this Article, the State Bank will apply an interest rate of 130% of the secured loan interest rate of the State Bank from the day following the end of the deadline for supplementing or replacing collateral until the day when the special borrower repays the unpaid principal;

c) Deduct from the special borrower’s account at the State Bank to recover the amount the special borrower must pay (including unpaid principal and accrued interest) within five working days from the date of notification to the special borrower regarding the deduction from the account to recover the debt; if the full amount owed is not recovered, the State Bank will continue to monitor and deduct from the special borrower’s account until the debt is fully recovered;

d) Require the special borrower to transfer ownership of the collateral specified in point a, Clause 1, Article 13 of this Circular to the State Bank;

e) Implement measures prescribed by law to process the collateral specified in Clause 1, Article 13 of this Circular to recover the debt;

f) Recover the principal and interest of the special loan from the proceeds obtained by the special borrower from processing the collateral specified in points b and c, Clause 1 and Clause 2, Article 13 of this Circular;

g) Recover the principal and interest of the special loan from other sources of the special borrower (if any);

6. For special loans used to pay off debts or purchase other assets of credit institutions providing support, in cases where the special borrower does not repay the loan as stipulated in Clauses 1, 3, or 4 of this Article, in addition to the measures prescribed in Clause 5 of this Article, the State Bank, credit institutions providing support, and the mandatory transferee shall take the following measures:

a) Credit institutions providing support and the mandatory transferee shall lend or purchase assets from the special borrower, and implement other measures to ensure the special borrower has sufficient funds to repay the special loan to the State Bank; the implementation period of these measures shall be carried out according to the recovery plan or mandatory transfer plan under the Law on Credit Institutions 2024 of the special borrower;

b) The State Bank shall deduct from the account of credit institutions providing support or the mandatory transferee, which are domestic credit institutions, at the State Bank to recover the special loan in cases where credit institutions providing support or the mandatory transferee fail to comply with the provisions of point a of this clause; the deduction shall be made from the next working day following the end of the deadline for implementing the measures prescribed in point a of this clause until the debt is fully recovered.

Article 26. Procedure for the State Bank to provide special loans to implement recovery plans and mandatory transfer plans that have been approved

1. After the mandatory transfer plan under the Law on Credit Institutions 2024, the mandatory transfer plan under the Law on Credit Institutions 2010 (hereinafter referred to as the mandatory transfer plan), and the recovery plan have been approved, when there is a need for special loans, the credit institution under special control shall submit four sets of loan application documents to the Special Supervisory Board.

The application documents include:

a) A special loan request letter, specifying: name of the credit institution; Vietnamese currency account number opened at the State Bank branch (if any); amount, purpose of using the special loan, collateral, interest rate, term, repayment of the special loan; commitment to use the loan for its intended purpose, compliance with the special loan regulations, and other special loan requests consistent with the approved recovery plan and mandatory transfer plan.

b) List of collateral for the special loan according to Appendix IIIB issued together with this Circular.

2. Within a maximum period of two working days from the date of receipt of complete application documents as stipulated in Clause 1 of this Article, the Special Supervisory Board shall send two sets of application documents to the State Bank (Department of Monetary Policy) for credit institutions requesting special loans; in cases where the special loan request is for implementing the recovery plan within the approval authority of the State Bank branch, the Special Supervisory Board shall additionally send one set of application documents to the State Bank branch.

When submitting the application documents, the Special Supervisory Board shall attach a specific recommendation letter regarding the amount, purpose of using the special loan, collateral, interest rate, term, and repayment of the special loan.

3. Within a maximum period of three working days from the date of receipt of complete application documents and the opinion letters as stipulated in Clauses 1 and 2 of this Article, the State Bank branch shall issue a written opinion to the Department of Monetary Policy on the following matters:

a) Based on the application documents of the credit institution as stipulated in Clause 1 of this Article, provide an opinion on the consistency of the application documents with the special loan content in the approved recovery plan.

b) Recommend whether to grant or not to grant a special loan to the credit institution; if recommending to grant a special loan, provide specific opinions on the amount, purpose of using the special loan, collateral, interest rate, term, and repayment of the special loan; if recommending not to grant a special loan, clearly state the reasons.

4. Within a maximum period of two working days from the date of receipt of complete application documents, opinion letters as stipulated in Clauses 1, 2 of this Article, and the opinion letter as stipulated in Clause 3 of this Article (in cases where the recovery plan falls within the approval authority of the State Bank branch), the Department of Monetary Policy shall submit the application documents and relevant opinion letters for comments from the Banking Inspection and Supervision Authority. In cases where the collateral list of the credit institution includes negotiable instruments, the Department of Monetary Policy shall submit the collateral list of the credit institution for comments from the State Bank Trading Department.

5. Within a maximum period of five working days from the date of receipt of the request document with comments from the Department of Monetary Policy as stipulated in Clause 4 of this Article, the Banking Inspection and Supervision Agency shall issue a written opinion to the Department of Monetary Policy on the following matters:

a) Based on the application documents as stipulated in Clause 1 of this Article, provide an opinion on the consistency of the application documents with the special loan content in the approved recovery plan and mandatory transfer plan (except in cases where the recovery plan falls within the approval authority of the State Bank branch);

b) Recommend whether to grant or not to grant a special loan to the credit institution; if recommending to grant a special loan, provide specific opinions on the amount, purpose of using the special loan, collateral, interest rate, term, and repayment of the special loan; if recommending not to grant a special loan, clearly state the reasons (except in cases where the recovery plan falls within the approval authority of the State Bank branch);

c) Opinion on the proposal of the State Bank branch as specified in point b, Clause 3 of this Article (in cases where the recovery plan falls within the approval authority of the State Bank branch).

6. Within a maximum period of five working days from the date of receipt of the opinion letter from the Department of Monetary Policy as stipulated in Clause 4 of this Article, based on the information provided in the collateral list by the credit institution and responsible as stipulated in point b, Clause 1 of this Article, the State Bank Trading Department shall issue a written opinion to the Department of Monetary Policy on the contents of the collateral being negotiable instruments in the collateral list of the credit institution: type of negotiable instrument; negotiable instrument code; issuing organization; custodian organization; method of principal and interest payment; interest rate; issuance date; maturity date; face value; value; converted value of the negotiable instrument.

7. In cases where the comments of the units are incomplete as prescribed in this Article, within a maximum period of two working days from the date of receipt of the comment document, the Monetary Policy Department shall send a document requesting related units to supplement their comments. Within a maximum period of three working days from the date of receipt of the request document from the Monetary Policy Department, the requested unit shall send a supplementary comment document.

8. Within a maximum period of five working days from the date of receipt of complete opinion letters from the units as stipulated in Clause 3 (in cases where the recovery plan falls within the approval authority of the State Bank branch), Clause 5, Clause 6, and Clause 7 (if applicable) of this Article, the Department of Monetary Policy shall compile, propose, and submit to the Governor of the State Bank for consideration and decision on granting a special loan to the credit institution.

9. Within a maximum period of thirty-five working days from the date of receipt of complete loan application documents of the borrower as stipulated in Clause 1 of this Article and the opinion letter of the Special Supervisory Board as stipulated in Clause 2 of this Article, the State Bank shall issue a Decision on granting a special loan; in cases where it does not agree to grant a special loan, the State Bank shall issue a letter to the credit institution stating the reasons.

Article 27. Signing special loan contracts; receiving pledges and mortgages for collateral; disbursing special loans

1. The signing of special loan contracts, receiving pledges and mortgages for collateral, and disbursing special loans shall be carried out in accordance with the provisions of Clause 1 and Clause 3 of Article 20 of this Circular, except for the provisions of Clause 2 of this Article.

2. In cases where the collateral is a claim, the preservation and retention of credit files generating claims shall be implemented according to the recovery plan and the mandatory transfer plan already approved by the special borrower.

3. During the term of the special loan, if the outstanding balance of the special loan is lower than the maximum outstanding balance of the special loan according to the recovery plan and the mandatory transfer plan already approved, the special borrower may be granted additional special loan funds; the granting of additional special loan funds shall be carried out in accordance with the provisions of Clause 3 of Article 20 of this Circular and according to the recovery plan and the mandatory transfer plan already approved.

Chapter IV

SPECIAL LOANS OF OTHER CREDIT ORGANIZATIONS

Article 28. Procedures for granting special loans and extending the term of special loans for credit institutions subject to mass withdrawals

1. When there is a need for special loans as specified in point a, Clause 2, and point a, Clause 3 of Article 4 of this Circular, the credit institution shall submit the application file to another credit institution.

The application documents include:

a) Internal documents of the other credit institution regarding the granting of special loans to credit institutions;

b) A document from the Special Supervisory Board sent to the other credit institution, including opinions on the special loan request of the credit institution subject to mass withdrawals, its operational situation, and its payment capacity (in case the requesting credit institution is under special supervision).

2. Within a maximum period of five working days from the date of receipt of the complete application file as stipulated in Clause 1 of this Article, if it is possible to grant a special loan, the other credit institution shall submit the application file to the State Bank branch (if the requesting credit institution is within the micro-prudential supervision scope of the State Bank branch) or the Banking Inspection and Supervision Authority (if the requesting credit institution is within the micro-prudential supervision scope of the Banking Inspection and Supervision Authority) for their opinions on the following matters:

a) Opinions on the situation of the credit institution requesting a special loan subject to mass withdrawals;

b) Content of the special loan measures of the other credit institution in the recovery plan, restructuring plan already approved by the credit institution requesting the special loan (if any).

3. If necessary, the Banking Inspection and Supervision Authority shall seek the opinion of the State Bank branch before issuing a response to the other credit institution.

4. The other credit institution shall consider and decide on the special loan request of the credit institution.

5. When there is a need to extend the term of a special loan as specified in point a, Clause 2, and point a, Clause 3 of Article 4 of this Circular:

a) The special borrower shall submit the application file to the special lender.

The application file includes: internal documents of the special lender regarding the granting of special loans to credit institutions; a document from the Special Supervisory Board requesting the special lender to consider extending the term of the special loan (in case the special borrower is a credit institution under special supervision), including information on the operational situation and payment capacity of the special borrower, measures taken by the special borrower to address the mass withdrawal issue, and the plan for handling the special loan already borrowed as part of the restructuring plan being submitted to the State Bank (if applicable);

b) The special lender shall consider and decide on extending the term of the special loan for the special borrower.

Article 29. Procedures for special loans and extension of terms for special loans to implement recovery plans and mandatory transfer plans that have been approved

1. When there is a need for special loans or extension of terms for special loans as stipulated in point b, Clause 2, point b, c, Clause 3, Article 4 of this Circular, the credit institution shall submit the application file to another credit institution.

The application documents include:

a) Internal documents of the other credit institution regarding the granting of special loans to credit institutions;

b) A document from the Special Supervisory Board requesting another credit institution to provide special loans or extend the term of special loans; specifying the measures for special loans from another credit institution under the recovery plan or mandatory transfer plan according to the Law on Credit Institutions 2024 approved by the borrower.

2. Another credit institution shall decide to provide special loans or extend the term of special loans in accordance with its internal regulations on providing special loans to credit institutions and consistent with the recovery plan or mandatory transfer plan according to the Law on Credit Institutions 2024 approved by the borrower.

Chapter V

IMPLEMENTING PROVISIONS

Article 30. Responsibilities of the Borrower of Special Loans

1. Provide complete, timely, and accurate documents regarding special loans to the lender of special loans; bear legal responsibility for the accuracy and legality of the provided documents; be responsible for complying with legal provisions governing credit activities concerning contracts and credit agreements that generate claims or receivable interest as collateral for special loans (except when the claim or receivable interest is purchased from a supporting credit institution or the transferee in a mandatory transfer).

2. Be responsible for:

a) The collateral for special loans must meet all conditions specified in Article 14 or Article 24 of this Circular as required by the State Bank;

b) Use the collateral specified in Clause 2, Article 13 of this Circular only after exhausting the collateral specified in Clause 1, Article 13 of this Circular (in cases where special loans are requested as stipulated in point a, Clause 1, Article 4 of this Circular).

3. Use special loan funds for their intended purpose, repay special loans in accordance with this Circular, the approved restructuring plan, and the signed special loan agreement; provide complete, timely, and accurate documents proving the proper use of special loan funds as required by the entity responsible for supervising the use of special loan funds as specified in Clause 3, Article 32, Clause 1, Article 33, and Clauses 2 and 4, Article 34 of this Circular.

4. During the period of the special loan, the borrower of the special loan shall have the responsibility:

a) Not to use the collateral for the special loan for other purposes;

b) Monitor and evaluate the conditions of the collateral for special loans; supplement or replace the collateral; preserve and retain credit files generating claims or receivable interest as collateral for special loans as prescribed in this Circular.

5. Report to the Special Supervisory Board (for cases where the borrower of special loans is a specially supervised credit institution) or the State Bank branch (for cases where the borrower of special loans is a non-specially supervised credit institution subject to micro-prudential supervision by the State Bank branch) or the Banking Inspection and Supervision Authority (for cases where the borrower of special loans is a non-specially supervised credit institution subject to micro-prudential supervision by the Banking Inspection and Supervision Authority):

a) When the collateral does not meet the conditions specified in Clause 4, Article 13, or point a, Clause 4, Article 24 of this Circular, or when the collateral specified in Clause 1, Article 13 of this Circular has been fully utilized;

b) The amount recovered from debt as stipulated in point a, Clause 4, Article 15 of this Circular within three working days from the date of debt recovery;

c) Repayment of the special loan within two working days from the date of repayment;

d) Timely report on issues arising related to the special loan and propose measures to address them.

6. Dispose of the collateral in accordance with the regulations to repay the special loan to the lender of special loans.

7. Regularly report in writing within the first five working days of each month or as necessary, on the use of special loans to:

a) The State Bank branch (for cases where the State Bank provides special loans);

b) The special lender (in cases where other credit institutions provide special loans).

8. Fulfill other responsibilities as prescribed in this Circular, relevant laws, the signed special loan agreement, and the contents of special loan measures in the approved restructuring plan or mandatory transfer plan according to the Law on Credit Institutions 2010 of the borrower.

Article 31. Responsibilities of credit institutions providing support and mandatory transferees

1. Implement the responsibilities prescribed in point a, Clause 6, Article 25 of this Circular.

2. Coordinate with the Special Supervisory Board's request in implementing the provisions of Article 33 of this Circular (in cases of special loans to implement recovery plans or mandatory transfer plans).

Article 32. Responsibilities of credit institutions providing special loans

1. Examine and decide on special loans and extensions of special loan terms for credit institutions as stipulated in this Circular; report to the State Bank of Vietnam (the unit consulted according to Clause 2, Article 28 of this Circular) on approval or non-approval of special loans.

2. Issue internal regulations regarding special loans to credit institutions, including at least the following contents: examination and decision-making on special loans, extension of special loan terms, disbursement, collection of special loans, collateral, and handling of collateral.

3. In cases of special lending as provided for in clauses 2 and 3 Article 4 of this Circular:

a) The focal point for supervising the use of special loan funds by the special borrower;

b) Urging and requiring the special borrower to repay special loans in accordance with this Circular, the approved restructuring plan, and the special loan agreement signed;

c) Accepting collateral and disposing of collateral in accordance with agreements with the special borrower and relevant laws on security;

d) Within the first seven working days of the month following the month in which there is outstanding special loan debt or changes in special loans, report to the State Bank of Vietnam according to Appendix VI issued together with this Circular.

4. Fulfill other responsibilities as prescribed in this Circular and related laws.

Article 33. Responsibilities of the Special Supervisory Board

1. Serve as the focal point for monitoring the use of special loan funds by borrowers from the State Bank; if discovering that the borrower uses special loan funds for purposes other than intended, the Special Supervisory Board shall notify the State Bank in writing.

2. Serve as the focal point for monitoring the revenues of the borrower (including payments and recoveries from collateral for special loans) to recommend the recovery of special loan debts to the State Bank; urge and require the borrower to handle collateral and repay special loans as stipulated in this Circular.

3. Recommend to the Governor of the State Bank measures and methods for recovering debts from special loans made by the State Bank.

4. Based on reports from the borrower as prescribed in point a, Clause 5, Article 30 of this Circular, urge the borrower to review, supplement, and replace collateral as stipulated in this Circular.

5. Notify in writing the State Bank branch about the borrower's failure to repay special loans as prescribed in Clause 4, Article 15, and Clause 3, Article 25 of this Circular; notify in writing the State Bank Trading Department about the failure of credit institutions providing support and mandatory transferees to comply with the provisions in point a, Clause 6, Article 25 of this Circular.

6. Timely report to the Governor of the State Bank issues arising from special loans from the State Bank and propose measures to address them.

7. Perform other responsibilities as prescribed in this Circular and relevant laws.

Article 34. Responsibilities of units under the State Bank

1. Monetary Policy Department

a) Serve as the focal point for presenting to the Governor of the State Bank for consideration and decision on special loans, extension of special loan terms, amendment, and supplementation of the Decision on special loans as stipulated in this Circular;

b) Compile data on special loans from the State Bank to report regularly monthly to the Governor of the State Bank;

c) Serve as the focal point for presenting to the Governor of the State Bank or the competent authority for consideration and decision on issues related to the implementation of this Circular raised by the Special Supervisory Board as prescribed in Clause 3, Article 33 of this Circular;

2. Banking Inspection and Supervision Authority

a) Provide opinions on special loans, extension of special loan terms, amendment, and supplementation of the Decision on special loans as stipulated in this Circular;

b) For special loans from the State Bank where the borrower is a credit institution under micro-prudential supervision by the Banking Inspection and Supervision Authority and not subject to special control, the Banking Inspection and Supervision Authority shall perform responsibilities as prescribed in Article 33 of this Circular;

c) Serve as the focal point for presenting to the Governor of the State Bank for consideration and decision or to the competent authority for consideration and decision on issues raised by the Special Supervisory Board as prescribed in Clause 3, Article 33 of this Circular;

d) Supervise, inspect, and handle violations within its authority against credit institutions under micro-prudential supervision by the Banking Inspection and Supervision Authority in implementing the provisions of this Circular;

đ) In case of receiving notification from the competent authority or through inspection and supervision work revealing that credit institutions under micro-prudential supervision by the Banking Inspection and Supervision Authority have used special loan funds for purposes other than intended, the Banking Inspection and Supervision Authority shall issue a violation notice sent to the borrower, the State Bank branch, and simultaneously to the Special Supervisory Board (if applicable) and the Monetary Policy Department; the violation notice must include the borrower's misuse of special loan funds.

3. State Bank of Vietnam's Trading Department

a) Provide opinions on special loans and extension of special loan terms as stipulated in this Circular;

b) Based on the Decision on special control of credit institutions, record the transfer of refinancing loans of such credit institutions at the State Bank Trading Department as special loans; continue performing responsibilities for these special loans according to the refinancing loan mechanism;

c) Carry out accounting, pledge of collateral in the form of negotiable instruments; release collateral in the form of negotiable instruments after receiving a written notification from the State Bank branch confirming the full recovery of principal and interest of the special loan; implement the provisions in point c, d, Clause 6, Article 15, point d, đ, Clause 5, and point b, Clause 6, Article 25 of this Circular;

d) Coordinate with the State Bank branch to replace and supplement collateral as stipulated in this Circular; notify in writing the State Bank branch about the recording and pledging of additional collateral provided by the borrower;

đ) Perform other responsibilities as prescribed in this Circular.

4. State Bank Branch

a) Provide opinions on special loans, extension of special loan terms, amendment, and supplementation of the Decision on special loans as stipulated in this Circular;

b) For special loans from the State Bank where the borrower is a credit institution under micro-prudential supervision by the State Bank Branch and not subject to special control, the State Bank Branch shall perform responsibilities as prescribed in Article 33 of this Circular;

c) Based on the Decision on special control of credit institutions, record the transfer of refinancing loans of such credit institutions at the State Bank Branch as special loans; continue performing responsibilities for these special loans according to the refinancing loan mechanism;

d) Implement special loan contracts in accordance with Appendix V attached to this Circular, disburse, extend the term of special loans, collect debts for special loans as prescribed in this Circular, Decision on special loans, Decision on extending the term of special loans, and relevant laws;

đ) Serve as the point of contact for replacing and supplementing collateral assets as prescribed in this Circular; notify the State Bank of Vietnam Trading Department in writing about the completion of accepting mortgage collateral assets being claims for debt, receivable interest from the special borrower (in cases where the special borrower uses claims for debt, receivable interest to replace collateral assets being negotiable instruments);

e) Notify the special borrower in writing about the deduction from their account for debt recovery; implement the provisions at points a, b, đ, e of Clause 6, Clause 7 Article 15, points a, b, c, e, g of Clause 5 Article 25 of this Circular;

g) Coordinate with the Special Supervisory Board's request in implementing the provisions of Clause 1, 2 Article 33 of this Circular;

h) Within seven working days at the beginning of the following month when there is outstanding balance of special loans or changes in special loans at the State Bank branch, submit reports to the Banking Inspection and Supervision Authority, the Monetary Policy Department according to Appendix VI attached to this Circular;

i) Monitor, inspect, audit, and handle violations within their authority against credit institutions under the micro-prudential inspection, supervision of the State Bank branch in implementing the provisions of this Circular;

k) In case of receiving notifications from authorized agencies, the Special Supervisory Board, or through auditing and supervising activities that detect credit institutions under the micro-prudential inspection, supervision of the State Bank branch using special loans for purposes other than intended, the State Bank branch shall issue a violation notice to the special borrower, simultaneously send it to the Special Supervisory Board (if applicable), the Banking Inspection and Supervision Authority, the Monetary Policy Department; the violation notice must include the content regarding the special borrower's misuse of loan funds;

l) Notify the State Bank of Vietnam Trading Department in writing about the full recovery of principal and interest of special loans (in cases where the collateral list for special loans includes negotiable instruments);

m) Fulfill other responsibilities as prescribed in this Circular;

5. The Financial and Accounting Department:

Guide accounting entries related to the State Bank's special loans to credit institutions, including the conversion of outstanding principal and interest of refinancing loans into outstanding special loans and the acceptance of collateral for special loans;

Article 35. Transitional Provisions

1. For special loans from the State Bank with outstanding principal and interest up to the date this Circular takes effect:

a) Continue to implement the Special Loan Decision, Extension Decision for Special Loans, or special loan contracts signed before this Circular takes effect;

b) During the period without a restructuring plan or mandatory transfer plan approved under the Law on Credit Institutions 2010, the extension of the term of special loans shall be implemented in accordance with the provisions of Clauses 2, 3, and 4 of this Article;

c) From the date the restructuring plan or mandatory transfer plan under the Law on Credit Institutions 2010 is approved, the special loan shall be implemented according to the approved restructuring plan or mandatory transfer plan under the Law on Credit Institutions 2010; the procedure for amending and supplementing the Special Loan Decision shall be carried out in accordance with Article 8 of this Circular;

2. For special loans where the special borrower has requested an extension of special loans and the State Bank has received a request for extension of special loans from the Special Supervisory Board accompanied by the borrower's application for extension of special loans before this Circular takes effect:

a) The State Bank continues to use the received application and request for extension of special loans to consider and decide on the extension of the special loan term;

b) For special loans arising before the Law No. 17/2017/QH14 took effect, the extension of the term of special loans shall be implemented in accordance with the provisions of Point b Clause 1 and Clause 4 Article 27 of Circular No. 08/2021/TT-NHNN dated July 6, 2021 of the Governor of the State Bank of Vietnam on special loans to credit institutions under special supervision, which has been amended and supplemented by Circular No. 02/2022/TT-NHNN dated March 31, 2022 and Circular No. 13/2022/TT-NHNN dated October 28, 2022 (hereinafter referred to as Circular No. 08/2021/TT-NHNN);

c) For special loans with collateral arising after the Law No. 17/2017/QH14 took effect, the extension of the term of special loans with collateral shall be implemented in accordance with the provisions of Clause 1 Article 11, Article 14, Article 18 of Circular No. 08/2021/TT-NHNN and consistent with the Plan on Continuing Special Loans to the Special Borrower built by the State Bank pursuant to Resolution No. 02/NQ-CP dated January 14, 2023 (hereinafter referred to as the Plan on Continuing Special Loans);

d) For special loans without collateral arising after the Law No. 17/2017/QH14 took effect, the extension of the term of special loans without collateral shall be implemented in accordance with the provisions of Clause 1 Article 11, Article 14, Article 18 of Circular No. 08/2021/TT-NHNN (except for the provisions on collateral) and consistent with the Plan on Continuing Special Loans;

3. For special loans from the State Bank with collateral, with outstanding principal and interest up to the date this Circular takes effect, where the special borrower has not yet had an approved restructuring plan or an approved restructuring plan under the Law on Credit Institutions 2010, except for the cases stipulated in Clause 2 of this Article:

a) The State Bank shall consider extending the term for special loans based on the borrower's repayment capacity or the restructuring plan for special loans already borrowed under the restructuring plan prescribed in the Law on Credit Institutions 2010 that is being submitted to the competent state authority, in accordance with the continued special lending plan (if applicable); each extension period shall be less than 12 months. The extension of the term for special loans shall be carried out in accordance with Articles 12, 13, 14, 15, and 19 of this Circular, except for the provisions regarding the resolution of mass withdrawals and the provisions set forth in point b of this clause;

b) In cases where the borrower has submitted a restructuring plan under the Law on Credit Institutions 2010 to the competent state authority before the effective date of this Circular, the conversion ratio of collateral assets (TL) for special loans shall be 100%, the list of collateral assets for special loans according to Appendix VII issued together with this Circular, and the provisions on priority of collateral assets as stipulated in Clause 1 and Clause 2 of Article 13 of this Circular shall not apply;

c) In cases where the borrower has not yet had a mandatory transferee as prescribed in the Law on Credit Institutions, the repayment of special loans shall be carried out in accordance with Clause 7 of Article 5 and Article 15 of this Circular;

d) In cases where the borrower is currently implementing a restructuring plan or a restructuring plan under the Law on Credit Institutions 2010 that is being submitted to the competent state authority, the repayment of special loans shall be carried out in accordance with Clause 7 of Article 5, Clause 1, Clause 2, Clause 3, Point b of Clause 4, Clause 5, Clause 6, and Clause 7 of Article 15 of this Circular;

4. For special loans from the State Bank without collateral that have outstanding principal and interest balances as of the effective date of this Circular, and where the borrower has not yet had an approved restructuring plan, except for the cases specified in Clause 2 of this Article, the State Bank shall consider extending the term for special loans without collateral based on the borrower's repayment capacity or the handling plan for special loans already borrowed under the restructuring plan being submitted to the competent authority, in accordance with the continued special lending plan. The extension period and extended interest rate shall be implemented in accordance with Clause 2 of Article 11 and Article 12 of this Circular. The procedure for the State Bank to consider the extension is as follows:

a) When there is a need to extend the term for special loans without collateral, the borrower must submit three sets of application files to the Special Supervisory Board at least 40 working days before the due date for repayment;

b) The application file includes: A request for extension of the term for special loans (specifying: name of credit institution, account number in Vietnamese dong opened at the State Bank branch, reasons, amount requested for extension, duration, proposed extended interest rate; whether the borrower has an approved restructuring plan; commitment to comply with the special lending regulations) and other documents as stipulated in Points b, c, and đ of Clause 1 of Article 19 of this Circular, excluding the provisions regarding the resolution of mass withdrawals;

c) The procedures for considering and deciding on the extension of the term for special loans shall be carried out in accordance with Clauses 2, 4, 5, 7, and 8 of Article 19 of this Circular (excluding the provisions regarding collateral assets);

5. For special loans from the State Bank that only have outstanding interest balances as of the effective date of this Circular, and where the borrower has not yet had an approved restructuring plan, the collection of special loans shall be carried out in accordance with the recommendations of the Special Supervisory Board, and any instructions or guidance (if any) from the State Bank;

Article 36. Effective Date

1. This Circular takes effect from July 1, 2024.

2. As of the effective date of this Circular, the following Circulars shall cease to be in effect:

a) Circular No. 08/2021/TT-NHNN dated July 6, 2021, of the Governor of the State Bank of Vietnam on special lending to credit institutions under special supervision, except for the provisions in Clause 2 of Article 35 of this Circular;

b) Circular No. 02/2022/TT-NHNN dated March 31, 2022, of the Governor of the State Bank of Vietnam amending and supplementing certain articles of Circular No. 08/2021/TT-NHNN dated July 6, 2021, of the Governor of the State Bank of Vietnam on special lending to credit institutions under special supervision;

c) Circular No. 13/2022/TT-NHNN dated October 28, 2022, of the Governor of the State Bank of Vietnam amending and supplementing certain articles of Circular No. 08/2021/TT-NHNN dated July 6, 2021, of the Governor of the State Bank of Vietnam on special lending to credit institutions under special supervision, except for the provisions in Clause 2 of Article 35 of this Circular;

d) Circular No. 01/2023/TT-NHNN dated January 19, 2023, of the Governor of the State Bank of Vietnam on special lending without collateral to credit institutions under special supervision in urgent cases;

3. The Director of the Office, the Head of the Monetary Policy Department, the Heads of units under the State Bank; the Special Supervisory Board of credit institutions under special supervision, and credit institutions are responsible for organizing the implementation of this Circular./.