1. LEGAL DOCUMENTS ARE EFFECTIVE FROM 01/08/2021

1.1. Decree No. 58/2021/ND-CP on provision of credit information service

• Name of legal document: Decree 58/2021/ND-CP dated June 10, 2021 of the Government on provision of credit information service (referred to as the “Decree No. 58/2021/ND-CP”).

• Effective date: 15/08/2021.

Some content should be noted:

• Firstly, stipulating on operating principles of provision of credit information.

Specifically, Article 4 of Decree No. 58/2021/ND-CP stipulates: “Article 4. Operating principles of provision of credit information

1. Credit information companies shall provide credit information only after receiving certificate issued by the SBV.

2. Provision of credit information must comply with regulations and law, ensure truthfulness, objectivity, and not affect legal rights and benefits of relevant organizations and individuals.

3. Agreements and commitments in provision of credit information specified under this Decree must be made into records or other equally legitimate forms as written documents as per the law.

4. Credit information companies shall only collect credit information of debtors from participating organizations when the debtors allow the participating organizations to provide their credit information according to Annex I attached hereto.

5. Principles of providing credit information products:a) Credit information companies shall provide credit information products according to Article 21 hereof;b) Credit information companies shall only provide credit information products which contain identification information of debtors to other participating organizations under consent of the debtors under Annex II attached hereto, except for cases where the organizations receive consent of the debtors according to Clause 4 of this Article;c) Credit information companies shall not provide credit information products which contain identification information of debtors to other organizations and individuals under Point dd Clause 1 Article 21 hereof.”

• Secondly, stipulating on restrictions in provision of credit information service.

Specifically, Article 6 of Decree No. 58/2021/ND-CP stipulates: “Article 6. Restrictions in provision of credit information service

1. Do not illegally collect, provide information classified as Government secret.

2. Do not intentionally deviate credit information thereby affecting legal rights and benefits of relevant organizations and individuals.

3. Do not exchange credit information, or provide credit information for the wrong individuals, for the wrong purposes or illegally.

4. Do not exploit provision of credit information for personal gain, violating benefits of the Government, or legal rights and benefits of organizations and individuals.

5. Do not obstruct legal collection and use of credit information of organizations and individuals.”

1.2. Decision No. 1172/QD-NHNN on the publication of administrative procedures to be amended, supplemented, and replaced in the field of credit information activities performed at the single-window divisions within the scope of the State of Vietnam’s management functions.

• Name of legal document: Decision No. 1172/QD-NHNN issued on 07/07/2021 by the State Bank of Vietnam on the publication of administrative procedures to be amended, supplemented, and replaced in the field of credit information activities performed at the single-window divisions within the scope of the State of Vietnam’s management functions (referred to as the “Decision No. 1172/QD-NHNN”).

• Effective date: 15/08/2021.

The content should be noted: Regulating on the list of administrative procedures to be amended and supplemented within the scope of management functions of the State Bank of Vietnam, including procedure for approving changes to the content of the Certificate of Credit Information Operations.

Specifically, Section 1, Part I Administrative procedures to be amended, supplemented and replaced within the jurisdiction of the State Bank of Vietnam (Issued together with Decision No. 1172/QD-NHNN) stipulates:

“PART I.

LIST OF ADMINISTRATIVE PROCEDURES

1. List of administrative procedures to be amended and supplemented within the scope of management functions of the State Bank of Vietnam

”

1.3. Circular No. 13/2021/TT-NHNN on amendments to Circular No. 26/2013/TT-NHNN dated December 5, 2013 of the State Bank of Vietnam on promulgation of the tariff of charges for payment services offered via the State Bank of Vietnam

• Name of legal document: Circular No. 13/2021/TT-NHNN issued on 23/08/2021 by the State Bank of Vietnam on amendments to Circular No. 26/2013/TT-NHNN dated December 5, 2013 of the State Bank of Vietnam on promulgation of the tariff of charges for payment services offered via the State Bank of Vietnam (referred to as the “Circular No. 13/2021/TT-NHNN”).

• Effective date: 01/09/2021.

The content should be noted: Amending regulations related to Charges for payment transactions performed via the IBPS is specified in Circular No. 26/2013/TT-NHNN.

Specifically, Article 1 of Circular No. 13/2021/TT-NHNN stipulates: “Article 1. Amendments certain articles of Circular No. 26/2013/TT-NHNN

Article 1a shall be added as follows:

“Article 1a:  The charges for payment services as prescribed in point 1.1, 1.2 Section 1 “Charges for payment transactions performed via the IBPS” in Part III “In-country payment service charges” in the Tariff of charges for payment services offered via the State Bank of Vietnam promulgated herewith will be reduced by 50 per cent from September 1, 2021 to June 30, 2022 inclusive.”.

2. LEGAL DOCUMENTS ARE ISSUED IN 07/2021

Circular No. 12/2021/TT-NHNN prescribing credit institutions and foreign bank branches’ trading of promissory notes, treasury bills, deposit certificates and bonds domestically issued by other credit institutions and foreign bank branches

• Name of legal document: Circular No. 12/2021/TT-NHNN issued on 30/07/2021 by the State Bank of Vietnam prescribing credit institutions and foreign bank branches’ trading of promissory notes, treasury bills, deposit certificates and bonds domestically issued by other credit institutions and foreign bank branches (referred to as the “Circular No. 12/2021/TT-NHNN”).

• Effective date: 27/10/2021.

Some contents should be noted:

• Firstly, regulating on rules for trading of financial instruments.

Specifically, Article 3 Circular No. 12/2021/TT-NHNN stipulates: “Article 3. Rules for trading of financial instruments

1. Credit institutions/FBBs are allowed to carry out the trading of financial instruments according to the contents about trading of corporate bonds and/or other financial instruments specified in their licenses issued by SBV.

2. Buyers and sellers shall assume legal responsibility for their compliance with regulations herein and relevant laws when carrying out trading of financial instruments.

3. VND (Vietnamese Dong) shall be the currency used in trading of financial instruments.

4. The financial instrument to be purchased or sold is under the lawful ownership of the seller and is not matured; the seller undertakes that the financial instrument is not in any disputes, is eligible for trading as prescribed by law, and is not undergoing any discounting or rediscounting.

5. Credit institutions/FBBs shall carry out the trading of bonds in accordance with the Law on Credit Institutions, the Law on Securities, Government’s Decrees on issuance of corporate bonds, legislative documents providing guidance on the Law on Securities, relevant laws and this Circular.

6. Credit institutions/FBBs shall only purchase promissory notes, treasury bills and deposit certificates whose remaining term to maturity is less than 12 months.  The remaining term to maturity is the length of time commencing on the date of payment for the financial instrument as prescribed in Clause 3 Article 4 hereof and ending on the maturity date of that financial instrument on which its principal and interest must be fully paid.

7. FBBs shall not be allowed to purchase convertible bonds.

8. Credit institutions/FBBs shall only carry out trading of financial instruments issued by finance companies or finance lease companies with organizations (including credit institutions/FBBs).”

• Secondly, regulating on transaction information.

Specifically, Article 3 Circular No. 12/2021/TT-NHNN stipulates: “Article 4. Transaction information

The form of transactions in financial instruments must comply with relevant laws.  An agreement on trading of financial instrument shall, inter alia, include the following contents:

1. Information about the seller and the buyer.

2. Name of the financial instrument; issuer; term, maturity date and value determined according to face value of the financial instrument.

3. Date of payment for financial instrument.

4. Payment amount for financial instrument.

5. Rights and obligations of the seller and the buyer.”

1. LEGAL DOCUMENTS ARE ISSUED IN 06/2021

Decree No. 58/2021/ND-CP on provision of credit information service

• Name of legal document: Decree 58/2021/ND-CP dated June 10, 2021 of the Government on provision of credit information service (referred to as the “Decree No. 58/2021/ND-CP”).

• Effective date: 15/08/2021.

Some content should be noted:

• Firstly, stipulating on operating principles of provision of credit information.

Specifically, Article 4 of Decree No. 58/2021/ND-CP stipulates: “Article 4. Operating principles of provision of credit information

1. Credit information companies shall provide credit information only after receiving certificate issued by the SBV.

2. Provision of credit information must comply with regulations and law, ensure truthfulness, objectivity, and not affect legal rights and benefits of relevant organizations and individuals.

3. Agreements and commitments in provision of credit information specified under this Decree must be made into records or other equally legitimate forms as written documents as per the law.

4. Credit information companies shall only collect credit information of debtors from participating organizations when the debtors allow the participating organizations to provide their credit information according to Annex I attached hereto.

5. Principles of providing credit information products:a) Credit information companies shall provide credit information products according to Article 21 hereof;b) Credit information companies shall only provide credit information products which contain identification information of debtors to other participating organizations under consent of the debtors under Annex II attached hereto, except for cases where the organizations receive consent of the debtors according to Clause 4 of this Article;c) Credit information companies shall not provide credit information products which contain identification information of debtors to other organizations and individuals under Point dd Clause 1 Article 21 hereof.”

• Secondly, stipulating on restrictions in provision of credit information service.

Specifically, Article 6 of Decree No. 58/2021/ND-CP stipulates: “Article 6. Restrictions in provision of credit information service

1. Do not illegally collect, provide information classified as Government secret.

2. Do not intentionally deviate credit information thereby affecting legal rights and benefits of relevant organizations and individuals.

3. Do not exchange credit information, or provide credit information for the wrong individuals, for the wrong purposes or illegally.

4. Do not exploit provision of credit information for personal gain, violating benefits of the Government, or legal rights and benefits of organizations and individuals.

5. Do not obstruct legal collection and use of credit information of organizations and individuals.”

1. LEGAL DOCUMENTS ARE ISSUED IN 05/2021

Decision No. 810/QD-NHNN on approving Plan for digital transformation of banking sector by 2025 with orientations towards 2030

• Name of legal document: Decision 810/QD-NHNN dated May 11, 2021 of the State Bank of Vietnam on approving Plan for digital transformation of banking sector by 2025 with orientations towards 2030 (referred to as the “Decision No. 810/QD-NHNN”).

• Effective date: 11/05/2021.

Some content should be noted:

• Firstly, stipulating on basic objectives by 2025 for credit institutions and foreign bank branches.

Specifically, Clause 2.1.2 Subsection 2 Section III of Plan for digital transformation of banking sector by 2025 with orientations towards 2030 (Promulgated together with Decision No. 810/QD-NHNN) stipulates:

“III. OBJECTIVES

…

2. Some specific objectives

…

2.1.2. For credit institutions and foreign bank branches (hereinafter referred to as “credit institutions”):

a) Customers can perform at least 50% of banking operations completely by digital means;

b) At least 50% of adults use electronic payment services;

c) At least 70% of customer’s transactions can be carried out via digital channels (online channels between customers and banks);

d) More than 30% revenue of at least 60% of credit institutions come from digital channels;

dd) At least 50% of disbursement and lending decisions of commercial banks and financial companies for small loans and consumer loans of individual customers are made in a digital and automated manner;

e) At least 70% of work dossiers of credit institutions are processed and stored by digital means (excluding work dossiers concerning state secrets);”

• Secondly, stipulating on the task of establishment and development of digital bank models at credit institutions and foreign bank branches in implementation of Plan for digital transformation of banking sector by 2025 with orientations towards 2030.

Specifically, Section 5 of Appendix List of key tasks in implementation of Plan for digital transformation of banking sector by 2025 with orientations towards 2030 (Promulgated together with Decision No. 810/QD-NHNN) stipulates:

“

”

1. LEGAL DOCUMENTS ARE EFFECTIVE FROM 01/05/2021

1.1. Decree No. 21/2021/NĐ-CP on elaborating to the Civil Code regarding security for fulfillment of obligations

• Name of legal document: Degree No. 21/2021/NĐ-CP issued on 19/03/2021 by the Government on elaborating to the Civil Code regarding security for fulfillment of obligations (referred to as the “Decree No. 21/2021/NĐ-CP”).

• Effective date: 15/05/2021.

Some contents should be noted:

·        Firstly, stipulating on collateral for security for obligation fulfillment

Specifically, Article 8 of Decree No. 21/2021/NĐ-CP stipulates: “Article 8. Collateral for security for obligation fulfillment

Collateral for security for obligation fulfillment includes:

1. Current properties or off-plan properties, except for cases where the Civil Code or other relevant laws forbid sale, transfer or other change of ownership at the time of establishing security contracts, security measures;

2. Properties sold under property sale agreements with retention of ownership;

3. Properties considered as subjects of obligations under infringed bilateral contracts in case of lien measures;

4. Properties under general public’s ownership if prescribed by relevant laws.”

• Secondary, stipulating on effectiveness of security contracts

Specifically, Article 22 of Decree No. 21/2021/NĐ-CP stipulates: “Article 22. Effectiveness of security contracts

1. Security contracts certified, verified under the Civil Code or relevant law provisions or at request shall enter into force from the date on which they are certified, verified.

2. Security contracts not specified under Clause 1 of this Article shall enter into force from the date agreed upon by all parties.  In case no agreement is made, security contracts shall enter into force from the date on which the contracts are signed.

3. In case collateral is withdrawn under agreement, sections of security contracts that relate to the withdrawn collateral shall no longer be effective; in case collateral is added or replaced, revision of security contracts relating to this collateral shall be implemented according to the Civil Code and other relevant law provisions.

4. Security measures that have not entered into effect against a third individual shall not alter or nullify security contracts.”

• Thirdly, stipulating on Effects of security measures against a third individual

Specifically, Article 33 of Decree No. 21/2021/NĐ-CP stipulates: “Article 23. Effects of security measures against a third individual

1. Security measures shall only take effect against a third individual when security contracts have legally entered into force.

2. In case security measures require registration according to the Civil Code or other relevant law provisions or are registered under agreement or at request of secured parties, registration shall be carried out in competent agencies as per relevant law provisions when security measures take effect against a third individual.

3. For cases not specified under Clause 2 of this Article, effect against a third individual in case of pledge of property, deposit or security collateral measure shall start from the date on which secured parties hold collateral. “holding of collateral” specified under this Clause refers to when secure parties directly manage and control collateral or when other individuals manage collateral according to agreements or regulations and law and secured parties control the collateral.

4. In case collateral under security measures specified under Clause 3 of this Article is given to other individuals for management, effect against a third individual of security measures shall start from the date on which:a) Pledgees, depositees or security collateral receiving parties hold collateral;b) Individuals managing collateral receive collateral directly from pledgers, depositors or security collateral making parties;c) Security contracts take effect when other individuals are directly managing properties which are used as pledge, deposit or security collateral.

5. Effect against a third individual of escrow deposit measure shall start from the date on which escrow deposit is sent to escrow accounts in credit institutions where escrow deposit is made.”

1.2. Circular No. 01/2021/TT-NHNN regulating on domestic issuance of promissory notes, treasury bills, certificates of deposit, bonds by credit institutions, foreign bank branches

• Name of legal document: Circular No. 01/2021/TT-NHNN issued on 31/03/2021 by the State Bank regulating on domestic issuance of promissory notes, treasury bills, certificates of deposit, bonds by credit institutions, foreign bank branches (referred to as the “Circular No. 01/2021/TT-NHNN”).

• Effective date: 17/05/2021.

Some contents should be noted:

• Firstly, regulating the face value of valuable papers.

Specifically, Article 8 Circular No. 01/2021/TT-NHNN stipulates: “Article 8. Face value of valuable papers

1. The face value of a valuable paper is 100,000 (one hundred thousand) Viet Nam Dong or a multiple of 100,000 (one hundred thousand) Viet Nam Dong.

2. The face value of valuable papers (except bonds) issued in the form of pre-printed certificates or under agreement issued by credit institutions, foreign bank branches with buyers.

3. The face value of a bond issued in the form of a certificate is pre-printed on the bond.

4. The face value of the valuable paper issued not in the form of a certificate is agreed upon by the issuing credit institution or foreign bank branch with the buyer. ”

• Secondly, stipulating the time limit, issuance date and maturity date of the valuable paper.

 Specifically, Article 10 of Circular No. 01/2021/TT-NHNN stipulates: “Article 10. Time limit, issuance date and payment due date of valuable papers

1. Bonds with a time limit of one year or more, with a specific term prescribed by the credit institution. Bonds that are issued in the same batch and the same term are recorded on the same date of issue and the same date of maturity.

2. Time limit, date of issue and due date for promissory notes, treasury bills and certificates of deposit shall be stipulated by credit institutions, foreign bank branches. ”

1.3. Circular No. 02/2021/TT-NHNN guiding foreign currency transactions on the foreign currency market by credit institutions licensed to conduct foreign exchange activities

• Name of legal document: Circular No. 02/2021/TT-NHNN issued on 31/03/2021 by the State Bank guiding foreign currency transactions on the foreign currency market by credit institutions licensed to conduct foreign exchange activities (referred to as the “Circular No. 01/2021/TT-NHNN”).

• Effective date: 17/05/2021.

Some contents should be noted:

• Firstly, regulating on the transaction currency and the exchange rate.

Specifically, Article 5 of Circular No. 02/2021/TT-NHNN stipulates: “Article 5. Currency of the transaction and exchange rate

1. An authorized credit institution must prescribe the types of foreign currency transacted at the credit institution.

2. The spot exchange rate between VND and USD in a spot transaction and a spot transaction in a swap transaction is determined on the basis of the central exchange rate announced by the State Bank on the date of the transaction and the amplitude range specified by the State Bank.

3. The forward exchange rate between the Viet Nam Dong and the US dollar in a forward transaction or a forward transaction in a swap transaction shall be agreed upon by the parties to the transaction but must not exceed the rate determined on the basis:a) The spot exchange rate on the transaction date;b) The difference between the two current interest rates is the refinancing rate announced by the State Bank and the US dollar target rate of the Federal Funds Target Rate. If the US dollar target interest rate is in the range, the lowest interest rate within that range will be applied.c) Term of the transaction.

4. The exchange rate between Viet Nam Dong and foreign currencies other than the US dollar and the exchange rate between those foreign currencies in foreign currency transactions shall be agreed upon by the parties.

5. Authorized credit institutions must post up spot rates between Viet Nam Dong and foreign currencies in transactions with customers at foreign currency transaction locations of the authorized credit institutions and on the official website (if applicable). Authorized credit institutions conducts transactions with customers at the listed exchange rate, unless the two parties agree otherwise on the applicable exchange rate at the time of transaction.”

• Secondly, Specifically, Article 8 of Circular No. 02/2021/TT-NHNN stipulates: “Article 8. Transaction fees

Authorized credit institutions are not allowed to charge transaction fees for foreign currency transactions. ”

1.4. Circular No. 03/2021/TT-NHNN amending and supplementing a number of articles of the Circular No. 01/2020/TT-NHNN dated March 13, 2020 of the Governor of the State bank of Vietnam regulations debt rescheduling, exemption or reduction of interest and fees, retention of debt category to assist borrowers affected by covid-19 pandemic

• Name of legal document: Circular No. 03/2021/TT-NHNN issued on 02/04/2021 by the State Bank amending and supplementing a number of articles of the Circular No. 01/2020/TT-NHNN dated March 13, 2020 of the Governor of the State bank of Vietnam regulations debt rescheduling, exemption or reduction of interest and fees, retention of debt category to assist borrowers affected by Covid-19 pandemic (referred to as the “Circular No. 02/2021/TT-NHNN”).

• Effective date: 17/05/2021.

The content should be noted: amending and supplementing regulation on reduction and exemption of interest and/or fees.

Specifically, Clause 3 of Article 1 stipulates: “Article 1. Amending and supplementing a number of articles of Circular No. 01/2020/TT-NHNN

…

3. Amending and supplementing Article 5 as follows:

“Article 5. Reduction and exemption of interest and/or fees

1. Credit institutions and foreign bank branches shall decide on the exemption or reduction of interests and fees according to internal regulations for the outstanding balance of debts arising before June 10, 2020 from credit extension activities. (except for the purchase and investment of corporate bonds) whose obligations to repay principal and / or interest are due during the period from January 23, 2020 to December 31, 2021 and the customer has no ability to repay principal and / or interest on time according to contracts or agreements due to declining revenue and income due to the impact of Covid-19 pandemic.

2. The exemption or reduction of interests and fees for customers according to the provisions of this Circular will be implemented until December 31, 2021.””

1.5. Decision No. 649/QĐ-NHNN on the announcement of administrative procedures to be abolished in the monetary operation sector performed at the One-Stop Department under the jurisdiction of the State Bank of Vietnam

• Name of legal document: Decision No. 649/QĐ-NHNN issued on 15/04/2021 by the State Bank Decision No. 649/QĐ-NHNN on the announcement of administrative procedures to be abolished in the monetary operation section performed at the One-Stop Department under the jurisdiction of the State Bank of Vietnam (referred to as the “Decision No. 649/QĐ-NHNN”).

• Effective date: 17/05/2021.

The content should be noted: Annul the procedures for approval of plan for public bond issuance of credit institutions.

Specifically, ADMINISTRATIVE PROCEDURES TO BE ABOLISHED IN THE MONETARY OPERATION SECTOR UNDER THE JURISDICTION OF THE STATE BANK OF VIETNAM (Issued together with Decision No. 649/QĐ-NHNN dated April 15, 2021 of the Governor of the Bank State) stipulates:

“

”

2. LEGAL DOCUMENTS ARE ISSUED IN 04/2021

2.1. Circular No. 04/2021/TT-NHNN on refinancing of credit institutions after credit institutions for VIETNAM AIRLINES JSC and the restructuring of repayment term, keeping intact debt group, setting up a risk provision for debts of VIETNAM AIRLINES JSC due to the influence of Covid-19pandemic

• Name of legal document: Circular No. 04/2021/TT-NHNN dated April 5, 2021 of the Governor of the State Bank of Vietnam on refinancing of credit institutions after credit institutions for VIETNAM AIRLINES JSC and the restructuring of repayment term, keeping intact debt group, setting up a risk provision for debts of VIETNAM AIRLINES JSC due to the influence of Covid-19pandemic (referred to as the “Circular No. 04/2021/TT-NHNN”).

• Effective date: 05/04/2021.

Some content should be noted:

• Firstly, stipulating on refinance amount.

Specifically, Article 4 of Circular No. 04/2021/TT-NHNN stipulates: “Article 4. Refinance amount

1. The maximum refinance amount for each VNA loan must not exceed the loan amount of each VNA loan under the refinancing application form of a credit institution.

2. The total refinance amount for credit institutions is maximum of 4,000 billion dong (four thousand billion dong).”

• Secondly, stipulating on refinance interest rate.

Specifically, Article 5 of Circular No. 04/2021/TT-NHNN stipulates: “Article 5. Refinance interest rate

1. The refinance interest rate is 0%/year, applicable to the refinancing term and the refinancing term (if any).

2. The interest rate applicable to overdue refinancing principals is equal to 150% of the refinancing interest rate announced by the State Bank from time to time at the time when the refinancing is transferred overdue.”

• Thirdly, stipulating on collateral.

Specifically, Article 6 of Circular No. 04/2021/TT-NHNN stipulates: “Article 6. Collateral

The State Bank refinancing without collateral for credit institutions.”

2.2. Decision No. 617/QĐ-NHNN on the announcement of new administrative procedures issued in the monetary operation sector, performed at the One-door Department under the jurisdiction of the State Bank of Vietnam

• Name of legal document: Decision No. 617/QĐ-NHNN issued on 06/04/2021 by the State Bank on the announcement of new administrative procedures issued in the monetary sector, performed at the one-door department under the jurisdiction of the State Bank of Vietnam (referred to as the “Decision No. 617/QĐ-NHNN”).

• Effective date: 06/04/2021.

The content should be noted: Stipulating procedures for refinancing approval for credit institutions after the credit institution lends to VIETNAM AIRLINES JSC.

Specifically, Item 1, Part II New administrative procedures issued in the monetary sector, performed at the one-door department under the jurisdiction of the State Bank of Vietnam, issued together with Decision No. 617/QD-NHNN stated: “1. Procedures for refinancing approval for credit institutions after credit institutions lend to VIETNAM AIRLINES JSC.

– The order of execution:

Step 1: The credit institution sends 01 application for refinancing loan according to Appendix I issued together with Circular No. 04/2021/TT-NHNN dated April 5, 2021 to the head office of the State Bank.

Step 2: Within 12 working days from the date of receipt of the request for refinancing loan from the credit institution, the State Bank of Vietnam shall issue a decision to refinance the credit institution, in case of disagreement, the State Bank shall issue a written document clearly stating the reason to the credit institution.

– The way to perform:

+ Head office of the State Bank (directly at the One-Door Department); or

+ Postal service.

– Dossier composition: Application for refinancing loan according to Appendix I issued together with Circular No. 04/2021/TT-NHNN.

– Number of dossier: 01 set.

– Processing term: 12 working days from the date of receipt of complete and valid dossier.

– Subjects of administrative procedures: Credit institutions.

– Administrative procedure settlement agency: State Bank of Vietnam (Monetary Policy Department).

– Result of the implementation of administrative procedures: Decision on refinancing.

– Fees and charges: No.

– Name of application form, declaration form: Re-financing application form according to Appendix I issued together with Circular No. 04/2021/TT-NHNN.

– The legal basis of administrative procedures:

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

+ Law on Credit Institutions dated June 16, 2010; Law amending and supplementing a number of articles of the Law on Credit Institutions dated November 20, 2017;

+ Circular No. 04/2021/TT-NHNN dated April 5, 2021 of the Governor of the State Bank of Vietnam on refinancing of credit institutions after credit institutions for VIETNAM AIRLINES JSC and the restructuring of repayment term, keeping intact debt group, setting up a risk provision for debts of VIETNAM AIRLINES JSC due to the influence of Covid-19pandemic./ .”

1. LEGAL DOCUMENTS ARE EFFECTIVE FROM 01/04/2021

1.1. Circular No. 01/2021/TT-NHNN regulating on domestic issuance of promissory notes, treasury bills, certificates of deposit, bonds by credit institutions, foreign bank branches

• Name of legal document: Circular No. 01/2021/TT-NHNN issued on 31/03/2021 by the State Bank regulating on domestic issuance of promissory notes, treasury bills, certificates of deposit, bonds by credit institutions, foreign bank branches (referred to as the “Circular No. 01/2021/TT-NHNN”).

• Effective date: 17/05/2021.

Some contents should be noted:

• Firstly, regulating the face value of valuable papers.

Specifically, Article 8 Circular No. 01/2021/TT-NHNN stipulates: “Article 8. Face value of valuable papers

1. The face value of a valuable paper is 100,000 (one hundred thousand) Viet Nam Dong or a multiple of 100,000 (one hundred thousand) Viet Nam Dong.

2. The face value of valuable papers (except bonds) issued in the form of pre-printed certificates or under agreement issued by credit institutions, foreign bank branches with buyers.

3. The face value of a bond issued in the form of a certificate is pre-printed on the bond.

4. The face value of the valuable paper issued not in the form of a certificate is agreed upon by the issuing credit institution or foreign bank branch with the buyer. ”

• Secondly, stipulating the time limit, issuance date and maturity date of the valuable paper.

 Specifically, Article 10 of Circular No. 01/2021/TT-NHNN stipulates: “Article 10. Time limit, issuance date and payment due date of valuable papers

1. Bonds with a time limit of one year or more, with a specific term prescribed by the credit institution. Bonds that are issued in the same batch and the same term are recorded on the same date of issue and the same date of maturity.

2. Time limit, date of issue and due date for promissory notes, treasury bills and certificates of deposit shall be stipulated by credit institutions, foreign bank branches. ”

1.2. Circular No. 02/2021/TT-NHNN guiding foreign currency transactions on the foreign currency market by credit institutions licensed to conduct foreign exchange activities

• Name of legal document: Circular No. 02/2021/TT-NHNN issued on 31/03/2021 by the State Bank guiding foreign currency transactions on the foreign currency market by credit institutions licensed to conduct foreign exchange activities (referred to as the “Circular No. 01/2021/TT-NHNN”).

• Effective date: 17/05/2021.

Some contents should be noted:

• Firstly, regulating on the transaction currency and the exchange rate.

Specifically, Article 5 of Circular No. 02/2021/TT-NHNN stipulates: “Article 5. Currency of the transaction and exchange rate

1. An authorized credit institution must prescribe the types of foreign currency transacted at the credit institution.

2. The spot exchange rate between VND and USD in a spot transaction and a spot transaction in a swap transaction is determined on the basis of the central exchange rate announced by the State Bank on the date of the transaction and the amplitude range specified by the State Bank.

3. The forward exchange rate between the Viet Nam Dong and the US dollar in a forward transaction or a forward transaction in a swap transaction shall be agreed upon by the parties to the transaction but must not exceed the rate determined on the basis:a) The spot exchange rate on the transaction date;b) The difference between the two current interest rates is the refinancing rate announced by the State Bank and the US dollar target rate of the Federal Funds Target Rate. If the US dollar target interest rate is in the range, the lowest interest rate within that range will be applied.c) Term of the transaction.

4. The exchange rate between Viet Nam Dong and foreign currencies other than the US dollar and the exchange rate between those foreign currencies in foreign currency transactions shall be agreed upon by the parties.

5. Authorized credit institutions must post up spot rates between Viet Nam Dong and foreign currencies in transactions with customers at foreign currency transaction locations of the authorized credit institutions and on the official website (if applicable). Authorized credit institutions conducts transactions with customers at the listed exchange rate, unless the two parties agree otherwise on the applicable exchange rate at the time of transaction.”

• Secondly, Specifically, Article 8 of Circular No. 02/2021 / TT-NHNN stipulates: “Article 8. Transaction fees

Authorized credit institutions are not allowed to charge transaction fees for foreign currency transactions. ”

1.3. Circular No. 03/2021/TT-NHNN amending and supplementing a number of articles of the Circular No. 01/2020/TT-NHNN dated March 13, 2020 of the Governor of the State bank of Vietnam regulations debt rescheduling, exemption or reduction of interest and fees, retention of debt category to assist borrowers affected by covid-19 pandemic

• Name of legal document: Circular No. 03/2021/TT-NHNN issued on 02/04/2021 by the State Bank amending and supplementing a number of articles of the Circular No. 01/2020/TT-NHNN dated March 13, 2020 of the Governor of the State bank of Vietnam regulations debt rescheduling, exemption or reduction of interest and fees, retention of debt category to assist borrowers affected by Covid-19 pandemic (referred to as the “Circular No. 02/2021/TT-NHNN”).

• Effective date: 17/05/2021.

The content should be noted: amending and supplementing regulation on reduction and exemption of interest and/or fees.

Specifically, Clause 3 of Article 1 stipulates: “Article 1. Amending and supplementing a number of articles of Circular No. 01/2020/TT-NHNN

…

3. Amending and supplementing Article 5 as follows:

“Article 5. Reduction and exemption of interest and/or fees

1. Credit institutions and foreign bank branches shall decide on the exemption or reduction of interests and fees according to internal regulations for the outstanding balance of debts arising before June 10, 2020 from credit extension activities. (except for the purchase and investment of corporate bonds) whose obligations to repay principal and / or interest are due during the period from January 23, 2020 to December 31, 2021 and the customer has no ability to repay principal and / or interest on time according to contracts or agreements due to declining revenue and income due to the impact of Covid-19 pandemic.

2. The exemption or reduction of interests and fees for customers according to the provisions of this Circular will be implemented until December 31, 2021.””

1. LEGAL DOCUMENTS ARE EFFECTIVE FROM 01/03/2021

Circular No. 16/2020/TT-NHNN amendments to Circular No. 23/2014/TT-NHNN dated August 19, 2014 of the Governor of the State bank of Vietnam providing guidelines for opening and use of checking accounts at payment service providers

• Name of legal document: Circular No. 16/2020/TT-NHNN issued on 04/12/2020 by the State Bank amendments to Circular No. 23/2014/TT-NHNNdated August 19, 2014 of the Governor of the State bank of Vietnam providing guidelines for opening and use of checking accounts at payment service providers (referred to as the “Circular No. 16/2020TT-NHNN”).

• Effective date: 05/03/2021.

The content should be noted: Amending and supplementing regulations on the application for checking account opening for a personal checking account and a corporate checking account.

Specifically, Clause 2 Article 1 Circular No. 16/2020/TT-NHNN stipulates: “Article 1. Amendments to Circular No. 23/2014/TT-NHNN dated August 19, 2014 of the Governor of the State Bank of Vietnam providing guidelines for opening and use of checking accounts at payment service providers

…

2. Article 12 is amended as follows:

“Article 12. Application for checking account opening

1. With regard to a personal checking account, the bank or foreign bank branch is allowed to stipulate and instruct the client to prepare an application for checking account opening which must, inter alia, include the following documents:a) The application form for checking account opening which is made using the form provided by the bank or foreign bank branch where the checking account is opened and complies with Clause 1 Article 13 of this Circular;b) The applicant’s identity papers, including the citizen identity card or ID card or unexpired passport or birth certificate (if the applicant is a Vietnamese citizen aged under 14 years), or unexpired entry visa or certificate of visa exemption (if the applicant is a foreigner), except a checking account opened by a foreigner as prescribed in Clause 4 Article 14 of this Circular;

3. c) If a checking account is opened by a person’s guardian or legal representative (hereinafter referred to as the “applicant’s legal representative”), in addition to the documents specified in Point a, b Clause 1 of this Article, the application for checking account opening must also include the following documents:

– If the applicant’s legal representative is an individual: his/her identity papers and documents proving his/her capacity as a legal representative of the applicant for the checking account;

– If the applicant’s legal representative is a juridical person: its establishment decision, operation license, enterprise registration certificate or other documents as prescribed by law; documents proving its capacity as a legal representative of the applicant for the checking account; identity papers and documents proving the representative capacity of its legal representative.

2. With regard to a corporate checking account, the bank or foreign bank branch is allowed to stipulate and instruct the client to prepare an application for checking account opening which must, inter alia, include the following documents:a) The application form for checking account opening which is made using the form provided by the bank or foreign bank branch where the checking account is opened and complies with Clause 2 Article 13 of this Circular;b) Documents proving that the organization opening the checking account is duly established and legally operating, including:  establishment decision, operation license, enterprise registration certificate or other documents as prescribed by law;c) Documents proving the capacity of legal representatives of the organization and their identity papers;d) Decision on appointment of chief accountant or person in charge of accounting works or accounting service contract (if outsourced accounting is used) and identity papers of chief accountant or person in charge of accounting works.””