Action plan of the banking industry to implement Resolution No. 11/NQ-CP

14:30-27/04/2022

On March 18, 2022, the State Bank of Vietnam (SBV) issued Decision No. 422/QD-NHNN promulgating the Action Plan of the banking sector for the implementation of the Government’s Resolution No. 11/NQ-CP dated January 20, 2022.

On January 30, 2022, the Government issued Resolution No. 11/NQ-CP on the Socio-economic Development and Recovery Program and implemented Resolution No. 43/2022/QH15 of the National Assembly on financial policy Key, currency supporting the Program (hereinafter referred to as Resolution No. 11).

To implement synchronously the tasks and solutions assigned by the National Assembly and the Government, contributing to the successful implementation of the goals and targets of the Program on socio-economic recovery and development for the period 2022-2023, the State Bank of Vietnam (SBV) develops an Action Plan of the Banking sector to implement Resolution No. 11 (hereinafter referred to as the Action Plan). luôn

Accordingly, the Action Plan is aimed to identify the tasks and measures as required in Resolution No.11 related to the mandate and responsibilities of the banking sector, specifically as follows:

1. Management of the monetary and credit policy and the banking operations: (i) Managing the monetary policy tools in a synchronous and flexible manner in order to contribute to maintaining the macro-economic stability, controlling the inflation, supporting the socio-economic recovery and development; (ii) Regulating credit to promptly meet the capital demand for production and business operations, controlling firmly credit in the potentially risky fields; continuing to resolve the difficulties and support the COVID-19 affected customers; (iii) Implementing the policy on supporting the businesses by lowering the interest rates by 2% for the commercial loans applied by the enterprises, cooperatives and business households during two years of 2022-2023 through the system of commercial banks; (iv) Considering to maintain stably the maximum ratio of short-term capital to be used for long and medium-term loans; (v) Continuing to waive and reduce banking payment fees.

2. Increasing the charter capital of the commercial banks where the State holds more than 50% of the shares, as well as the charter capital of Vietnam Bank for Agriculture and Rural Development (Agribank); ensuring safe and sound operations of the credit institutions by: (i) increasing the charter capital from the profits less tax and after all relevant provisioning for the 2021-2023 period for the State-owned joint stock commercial banks, and increasing Agribank’s charter capital from the state budget; (ii) closely monitoring and supervising the banking operations, ensuring prudent and safe operations; implementing measures to resolve the NPLs in the credit institution system.

3. Conducting support policies through Vietnam Bank for Social Policies.

4. Improving the legal framework; reforming the institutions and the administrative procedures, improving the investment and business environment; accelerating the capital disbursement in public investment under the SBV’s jurisdiction.

5. Coordinating with the ministries and state agencies to implement the relevant tasks and measures as required in the Action Plan.

The SBV entities, the credit institutions and the foreign bank branches are requested to strongly and actively implement the Action Plan; regularly update and assess the implementation progress; promptly resolve and emerging difficulties and obstacles during the implementation process of the Action Plan, ensuring the schedule of implementation, the accomplishment of the identified targets and the quality of the outcomes.

This Decision took effect from the date of signing.

Communication Department