The Prime Minister urged the State Bank to revise Circular 06.

Prime Minister Pham Minh Chinh has just issued a document urging reports on the implementation of the direction of Government leaders.

The document stated: On August 18, 2023, Deputy Prime Minister Le Minh Khai assigned the State Bank to preside over and coordinate with relevant agencies to urgently review, amend and supplement the provisions in Circular No. 06/2023/TT-NHNN dated June 28, 2023, to be completed before August 21, 2023.

Then, on August 22, 2023, Deputy Prime Minister Le Minh Khai requested the State Bank to urgently implement the above direction and report the implementation results to the Prime Minister before August 24, 2023.

Based on the proposal of the State Bank (report dated August 22), the Prime Minister requested that policy responses be faster, more timely and more effective in the spirit of openness, listening and having specific solutions to the problems and shortcomings that localities, the press, public opinion, people, businesses and commercial banks are concerned about, reflected on and proposed.

Based on relevant legal regulations, regulatory authority and actual situation, promptly and promptly review, amend and supplement the regulations in Circular No. 06, in the direction of suspending the implementation of regulations that cause difficulties and obstacles for businesses, credit institutions and people.

The Prime Minister requested that the amendment of Circular 06 must be completed by August 25.

Circular 06/2023 regulating lending activities of credit institutions and foreign bank branches to customers takes effect from September 1, 2023.

This Circular supplements the regulation that credit institutions are not allowed to lend 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.

The State Bank affirmed that this regulation only applies to investment projects that do not meet the conditions for putting into business according to the provisions of law. For investment projects that meet the conditions for putting into business according to the provisions of law, credit institutions continue to consider lending to customers to pay for capital contributions according to capital contribution contracts, investment cooperation contracts or business cooperation contracts according to regulations. However, this regulation still faces reactions from real estate investors, represented by real estate business associations.

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