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Registering for foreign loans of enterprises that are not guaranteed by the Government

AUTHORITY

Foreign Exchange Management Department - State Bank of Vietnam

PROCEDURE


Step 1:

Borrower prepares loan application documents in accordance with regulations

Step 2:

Borrower sends a dossier to Foreign Exchange Management Department - State Bank of Vietnam

Step 3:

State Bank has written confirmation or refusal to confirm loan registration

SUBMISSION OF DOSSIER

  1. Online, By Post

  1. Directly

DOSSIER

Number:

01 set of dossier

Elements:

  1. Loan registration form according to the law;

  1. A copy (countersigned by Borrower) of legitimate dossiers of both a Borrower and a Loan User in the event that Borrower is not a loan user, including establishment permit, business registration certificate, enterprise registration certificate, investment certificate or other equivalents, cooperative or cooperative federation registration certificate in accordance with laws and amendment or supplementation documents (if applicable).

  1. A copy (countersigned by Borrower) or original of written proof of borrowing purposes.

  1. A Copy and Vietnamese translation (countersigned by Borrower) of foreign loan agreements and agreements on renewal of short-term loans into mid-term or long-term loans (if applicable); or written document on fund withdrawal attached to framework agreements.

  1. A copy and Vietnamese translation (countersigned by Borrower) of written guarantee commitment (letter of guarantee, contract of guarantee or other commitments) in terms of secured loans.

  1. A copy (countersigned by Borrower) of documents of competent authority on approval of foreign loans in accordance with laws on task and authority assignment in relation to implementation of authority, responsibilities and obligations of owners of state-owned enterprises and state-owned capital invested in enterprises, if the borrower is a state-owned enterprise, unless Borrower is a commercial bank with 100% charter capital held by the State.

  1. Report on compliance with regulations of the State Bank on credit limits and safety ratios of credit institutions, foreign bank branches on the latest month-end date prior to the date of effecting foreign loan agreements and written proof of incompliance with laws on credit limits and safety ratios approved by the Prime Minister or Governor of the State Bank in accordance with laws (if applicable) in the event that Borrowers are credit institutions or foreign bank branches.

  1. An account service provider’s confirmation in some cases. 

  1. Documents or invoices indicating legally distributed Vietnam-dong profits gained from direct investments of the creditor who is the foreign investor making the capital contribution to Borrower, and a statement of account service providers on distribution and transmission of profits to the home country of the creditor are required to serve as evidence of disbursement of foreign loans in respect of foreign borrowing in Vietnam dong in accordance with prevailing regulations on conditions for foreign borrowing in Vietnam dong.

  1. Explanatory statement on demands for foreign borrowing in Vietnam dong in respect of foreign borrowing in Vietnam dong under the Governor’s permission in accordance with the State Bank’s prevailing regulations on conditions for foreign borrowing in Vietnam dong.

DURATION

  1. 12 (twelve) working days from the date of receipt of valid and sufficient dossiers of Borrower in the event that Borrower chooses to apply for such registration online;

  2. 15 (fifteen) working days from the date of receipt of valid and sufficient dossiers of Borrower in the event that Borrower chooses the conventional registration; 

  3. 45 (forty-five) working days of receipt of valid and sufficient dossiers of Borrowers in the event that loans denominated in Vietnam dong are subject to consideration and consent of Governor of the State Bank in accordance with prevailing laws and regulations on enterprises’ eligibility conditions for foreign borrowing of enterprises that are not guaranteed by the Government.

SUBJECT

Organizations

RESULT

Registration Confirmation Document

LEGAL BASIS

  • Law on the State Bank of Vietnam 2010

  • Law on Credit Institutions 2010

  • Ordinance on Foreign Exchange Control 2005

  • Decree No. 31/2021/NĐ-CP dated 26 March 2021 on elaboration of the Law on Investment

  • Decree No. 16/2017/NĐ-CP dated 17 February 2017 on stipulate the functions, tasks, powers and organizational structure of the State Bank of Vietnam

  • Decree No. 70/2014/NĐ-CP dated 17 July 2014 detailing the implementation of several provisions of the ordinance and the amended ordinance on the foreign exchange

  • Circular No. 03/2016/TT-NHNN providing several instructions on foreign exchange administration in respect of enterprise’s foreign borrowing and foreign debt repayment of enterprise issued by Governor of State Bank of Vietnam on 26 February 2016

  • Circular No. 05/2017/TT-NHNN amendments to Circular No. 03/2016/TT-NHNN providing several instructions on foreign exchange administration in respect of enterprise’s foreign borrowing and foreign debt repayment issued by Governor of State Bank of Vietnam


Last updated: 07/07/2021
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