Previously, the State Bank of Vietnam issued Circular 10/2023/TT-NHNN suspending the implementation of some contents of Circular 39/2016/TT-NHNN regulating lending activities of credit institutions and foreign bank branches to customers (supplemented in Circular 06/2023/TT-NHNN), effective from September 1, 2023.
In particular, the enforcement of 3 cases of loan prohibition is suspended, including:
- To pay for capital contributions, purchase, and receive transfers of capital contributions of limited liability companies and partnerships; to contribute capital, purchase, and receive transfers of shares of joint stock companies that are not listed on the stock market or have not registered for trading on the Upcom trading system.
- To pay for capital contributions under capital contribution contracts, investment cooperation contracts or business cooperation contracts to implement investment projects that do not meet the conditions for putting into business according to the provisions of law at the time the credit institution decides to lend.
- To compensate financially, except in cases where the loan fully meets the following conditions:
+ The customer has advanced his/her own capital to pay for the costs of implementing a business project, and the costs of implementing this business project have arisen within 12 months from the time the credit institution decides to lend;
+ Expenses paid and disbursed with the customer's own capital to implement the business project are expenses using the credit institution's loan capital according to the capital use plan submitted to the credit institution for consideration of medium and long-term loans to implement that business project.
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