Decision No. 394/1997/QĐ-NHNN1 stipulates the provision of loans for the first designated period with a total capital of 500 billion VND to address the aftermath of Typhoon No. 5, applicable to state-owned commercial banks. The interest rate and loan term are specifically determined.
Scope of application
State-owned commercial banks: Agricultural Bank of Vietnam and Rural Development Bank, Investment and Development Bank, Vietnam Commercial Joint Stock Bank, Vietnam Foreign Trade Bank.
Key points
- The State Bank provides loans totaling 500 billion VND to state-owned commercial banks: Agricultural Bank of Vietnam and Rural Development Bank (300 billion VND), Investment and Development Bank (100 billion VND), Vietnam Commercial Joint Stock Bank (50 billion VND), Vietnam Foreign Trade Bank (50 billion VND).
- The loan term is five years, with an interest rate of 0.1% per month.
- Banks use the funds for lending according to the specified purpose and recipients.
🌐 Social impact of this document
- Positive impact: Supporting localities in addressing the aftermath of Typhoon No. 5, promoting production and business activities. Benefits for people and businesses borrowing funds to resume operations.
- Negative impact: High interest costs (0.1% per month) may impose financial burdens on banks and borrowers.
❓ Frequently asked questions
How much money do the banks receive as loans?
The Agricultural Bank of Vietnam and Rural Development Bank receives 300 billion VND, Investment and Development Bank 100 billion VND, Vietnam Commercial Joint Stock Bank 50 billion VND, Vietnam Foreign Trade Bank 50 billion VND.
What is the loan term?
The loan term is five years from the date of loan disbursement.
What is the loan interest rate?
The loan interest rate is 0.1% per month.
What do the banks use this capital for?
The banks use this capital for lending according to the specified purpose and recipients, specifically to address the aftermath of Typhoon No. 5.
When does this decision take effect?
This decision takes effect from the date of issuance.
Full text
Pursuant to …;
Regarding the first batch of designated loans to state-owned commercial banks to address the aftermath of Typhoon No. 5
GOVERNOR OF THE STATE BANK OF VIETNAM
Pursuant to the Law on Government Organization dated September 30, 1992;
Pursuant to the State Bank Law; the Banking, Credit Cooperatives, and Financial Companies Law dated May 24, 1990;
Pursuant to Decree No. 15/CP dated March 2, 1993 of the Government on the tasks, powers, and responsibilities for state management of Ministries and ministerial-level agencies;
Pursuant to Decision No. 985-TTg dated November 20, 1997 of the Prime Minister on addressing the aftermath of Typhoon No. 5, restoring and developing production in southern coastal provinces and central-southern provinces;
Pursuant to Circular No. 409-KTTH-tym dated November 22, 1997 of the Prime Minister on resolving loan funds to address the aftermath of Typhoon No. 5;
At the proposal of the Director of the Economic Research Department and the Director of the Credit Department
Pursuant to …;
Article 1. The State Bank shall provide a designated loan of 500 billion VND in the first batch to state-owned commercial banks to create working capital for localities to address the aftermath of Typhoon No. 5, specifically for the following banks.
Vietnam Agricultural and Rural Development Bank 300 billion VND.
Vietnam Investment and Development Bank 100 billion VND.
Vietnam Commercial Joint Stock Bank 50 billion VND.
Vietnam Foreign Trade Bank 50 billion VND.
Article 2. The loan term is five years from the date of disbursement, with an interest rate of 0.1% per month.
Article 3. State-owned commercial banks shall use the above funds to provide loans according to the specified purposes, objects, procedures stipulated in the Prime Minister's decisions and the State Bank's directives on providing loans to address the aftermath of Typhoon No. 5.
Article 4. Responsibilities:
1. The Credit Department and the State Bank Trading Office shall be responsible for lending to commercial banks in accordance with Articles 1 and 2 hereinabove and shall compile and report on the implementation of the loans to the Governor of the State Bank.
2. The Accounting and Finance Department shall guide the accounting and monitoring of separate accounts for loans to support the resolution of the aftermath of Typhoon No. 5 in 1997.
3. The Head of the Governor's Office, the Chief Inspector, the Heads of units under the Central State Bank, the Governors of State Bank branches in provinces and cities, and the General Directors of state-owned commercial banks shall be responsible for implementing this Decision.
Article 5. This Decision takes effect from the date of signature. Any supplements or amendments to the provisions of this Decision shall be decided by the Governor of the State Bank.
Download
The original file of this document is being updated. Please read the full text and check back later.
Relations map
Click a document to open. A red border = a relation that changes validity.
Translations
This document is available in the following languages: