Circular No. 53/2024/TT-NHNN on the restructuring of debt repayment terms by credit institutions and foreign bank branches for customers affected by the difficulties caused by Typhoon No. 3, flooding, floods, landslides after Typhoon No. 3.

CIRCULAR

Regarding the restructuring of debt repayment terms for credit institutions and foreign bank branches except for

concerning the restructuring of debt repayment terms for for customers facing difficulties HAPPY

affected and damaged by Typhoon No. 3, flooding, floods, landslides after Typhoon No. 3

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

Pursuant to the Law on Credit Institutions dated January 18, 2024;

Pursuant to Decree No. 102/2022/NĐ-CP dated December 12, 2022 of the Government stipulating the functions, tasks, powers, and organizational structure of the State Bank of Vietnam;

Pursuant to Resolution No. 143/NQ-CP dated September 17, 2024 of the Government on key tasks and solutions to promptly address the aftermath of Typhoon No. 3 (Yagi), quickly stabilize the situation of the people, accelerate the recovery of production and business activities, actively promote economic growth, and effectively control inflation; the Decision 249/2025/NĐ-CP of the Government on tasks and key solutions to promptly address the aftermath of Typhoon No. 3 (Yagi), quickly stabilize the situation of the people, vigorously restore production and business operations, actively promote economic growth, and effectively control inflation;

Pursuant to Decision No. 1510/QD-TTg dated December 4, 2024 of the Prime Minister regarding classification of assets, risk provision levels, risk provision methods, and the use of provisions to handle risks for debts of customers facing difficulties due to the impact and damage caused by Typhoon No. 3;

At the proposal of the Director of the Department of Credit for Economic Sectors;

The Governor of the State Bank of Vietnam issues this Circular stipulating the restructuring of debt repayment terms for credit institutions and foreign bank branches for customers facing difficulties due to the impact and damage caused by Typhoon No. 3, flooding, floods, and landslides after Typhoon No. 3 (hereinafter referred to as Typhoon No. 3). for for customers facing difficulties due to the impact, damage caused by Typhoon No. 3, flooding, floods, landslides after Typhoon No. 3.

PART I

GENERAL PROVISIONS

Article 1. Scope of Regulation

This Circular stipulates the restructuring of debt repayment terms for credit institutions and foreign bank branches for customers facing difficulties due to the impact and damage caused by Typhoon No. 3, flooding, floods, and landslides after Typhoon No. 3 (hereinafter referred to as Typhoon No. 3).

Article 2. Applicability

1. Credit institutions (excluding policy banks), foreign bank branches.

2. Customers of credit institutions and foreign bank branches as specified in Clause 1 of Article 4 of this Circular.

3. Other organizations and individuals related to the restructuring of debt repayment terms for customers facing difficulties due to the impact and damage caused by Typhoon No. 3.

Article 3. Application of relevant legal regulations

1. The restructuring of debt repayment terms for customers facing difficulties in repaying debts due to the impact and damage caused by Typhoon No. 3 shall be carried out in accordance with the provisions of this Circular; other contents related to the restructuring of debt repayment terms not stipulated in this Circular shall be implemented in accordance with the provisions of other relevant legal regulations.

2. Debts that have been restructured in terms of repayment periods according to other laws if they meet the provisions of this Circular, credit institutions and foreign bank branches may consider restructuring their repayment periods in accordance with the provisions of this Circular.

Chapter II

SPECIFIC PROVISIONS

Article 4. Restructuring of debt repayment terms

Credit institutions and foreign bank branches may consider deciding to restructure the repayment terms of the principal and interest of the debt based on the customer's request, the financial capacity of the credit institution or foreign bank branch, and meeting the following requirements:

1. Customers of credit institutions and foreign bank branches in the provinces and centrally administered cities: Ha Giang, Cao Bang, Lang Son, Bac Giang, Phu Tho, Thai Nguyen, Bac Kan, Tuyen Quang, Lao Cai, Yen Bai, Lai Chau, Son La, Dien Bien, Hoa Binh, Hanoi, Hai Phong, Hai Duong, Hung Yen, Vinh Phuc, Bac Ninh, Thai Binh, Nam Dinh, Ha Nam, Ninh Binh, Quang Ninh, Thanh Hoa (hereinafter referred to as 26 provinces and cities) facing difficulties due to the impact and damage caused by Typhoon No. 3, including:

a) Individual customers residing currently or working or having a place of production and business or engaging in investment, construction, and production and business activities in the 26 provinces and cities;

b) Organizations (excluding customers who are credit institutions or foreign bank branches) having headquarters, branches, representative offices, places of production and business, or engaging in investment, construction, and production and business activities in the 26 provinces and cities.

2. Having a principal balance arising before September 7, 2024 from lending or leasing activities.

3. Arising obligations to repay principal and interest during the period from September 7, 2024 to December 31, 2025.

4. The outstanding balance of the debt subject to restructuring must still be within the term or overdue by up to 10 days from the agreed payment date. Credit institutions and foreign bank branches may restructure the repayment terms for the outstanding balance of the debt that has been overdue for more than 10 days and within the period from September 7, 2024 to December 16, 2024 when initially restructuring the repayment terms according to this Circular.

5. Customers assessed by credit institutions and foreign bank branches as facing difficulties and unable to repay the principal and interest on time as agreed due to the impact and damage caused by Typhoon No. 3 but capable of fully repaying the principal and interest according to the restructured repayment schedule.

6. Credit institutions and foreign bank branches shall not restructure the repayment terms for debts that violate legal provisions.

7. The consideration of restructuring the repayment terms shall be conducted from the effective date of this Circular until December 31, 2025, without limitation on the number of times the repayment terms can be restructured.

8. The final repayment date of the outstanding balance subject to restructuring shall be determined in accordance with the level of difficulty of the customer but shall not exceed December 31, 2027.

Article 5. Classification of debts, provision for risk reserves, and monitoring of receivable interest

1. Credit institutions and foreign bank branches shall classify debts and establish risk reserve provisions for debt restructuring periods according to this Circular based on the Decision of

2. For the receivable interest of debts that have been restructured according to the provisions of this Circular and remain in the standard category (Category 1) according to the Decision of

Article 6. Responsibilities of credit institutions and foreign bank branches

1. Credit institutions and foreign bank branches are responsible for decisions on debt restructuring periods as stipulated in this Circular, implementing internal checks and controls to ensure strict supervision, safety, prevention, and blocking of any abuse of debt restructuring periods for personal gain.

2. Issuing internal regulations on debt restructuring periods according to the provisions of this Circular to be uniformly implemented throughout the system, including specific provisions on the following contents:

a) Criteria for identifying customers and outstanding balances of debts subject to restructuring periods according to the provisions of this Circular;

b) Procedures, formalities, division of labor, hierarchical levels, tasks, and responsibilities of each individual and department in implementing debt restructuring periods according to the provisions of this Circular ensuring that the decision-making individuals and departments for debt restructuring are not the same as those approving credit, except when credit approval is made by the Board of Directors, Board of Members, General Director, or Director, or the parent bank (for foreign bank branches). In cases where credit approval and debt restructuring period approval are conducted through a committee mechanism, the Chairman of the Committee for Debt Restructuring Period Approval must not be the Chairman of the Credit Approval Committee, and at least two-thirds (2/3) of the members of the Committee for Debt Restructuring Period Approval must not be members of the Credit Approval Committee;

c) Frequency of reviewing and assessing the ability of customers to repay debts after restructuring periods; monitoring, checking, controlling, and supervising the implementation of debt restructuring periods according to the provisions of this Circular.

3. Credit institutions and foreign bank branches shall submit one copy of the internal regulations prescribed in Clause 2 of this Article to the State Bank of Vietnam (the Inspection and Supervision Agency, the State Bank of Vietnam branch in the province or centrally administered city where the main office is located) in accordance with the law.

4. Credit institutions and foreign bank branches are responsible for reporting to the State Bank of Vietnam on the implementation of debt restructuring periods according to the provisions of Appendix 01 and the classification of debts and establishment of risk reserve provisions according to the provisions of Appendix 02 issued together with this Circular.

Article 7. Responsibilities of units under the State Bank of Vietnam

1. Responsibilities of the Credit Department for Economic Sectors

a) Monitoring and inspecting the implementation of debt restructuring periods according to this Circular in accordance with their functions and duties; compiling reports on the implementation of debt restructuring periods according to Clause 4 of Article 6 of this Circular;

b) Monitoring, urging, examining, and auditing the reporting forms of credit institutions (excluding people's credit funds), and foreign bank branches according to the provisions of Appendix 01 issued together with this Circular;

c) Taking the lead and coordinating with the Monetary Policy Department, the Inspection and Supervision Agency, and related units in advising the Governor of the State Bank of Vietnam on handling issues arising during the implementation process.

2. Responsibilities of the Inspection and Supervision Agency

a) Conducting inspections, audits, and supervision of credit institutions and foreign bank branches implementing this Circular in accordance with their functions and duties;

b) Monitoring, urging, examining, and auditing the reporting forms of credit institutions (excluding people's credit funds), and foreign bank branches according to the provisions of Appendix 02 issued together with this Circular.

3. Responsibilities of the State Bank Branches

a) Monitoring, urging, examining, and auditing the reporting forms of people's credit funds according to Appendices 01 and 02 issued together with this Circular; monitoring, examining, and auditing the reporting forms of branches of credit institutions within their jurisdiction according to Appendices 01 and 02 issued together with this Circular;

b) Conducting inspections, audits, and supervision of credit institutions and foreign bank branches implementing this Circular in accordance with their functions and duties.

Chapter III

IMPLEMENTING PROVISIONS

Article 8. Effective Date

This Circular takes effect from December 4, 2024.

Article 9. Implementation Organization

The Head of the Office, the Director of the Economic Credit Department, the Head of the Inspection and Supervision Agency, the Heads of Units under the State Bank of Vietnam, the Governors of the State Bank of Vietnam branches in provinces and centrally administered cities, credit institutions, and foreign bank branches are responsible for organizing the implementation of this Circular./.