The development assistance Fund is established under the Decree No. 50/ND-CP dated July 8th 1999 by the Government to mobilize long and middle term capital, to receive and manage the state capital resource for investment and development credit to execute the government investment and development assistance policies on basis of combination and expansion of state credit issue duties of two organizations: 

1. General Department of Development Investment under Ministry of Finance is an organization directly under Ministry of Finance established since December 1994. One of duties of the General Department of Development Investment is to lend at preferential credit rate capital to the governmental projects (including ODA re-lending projects).

2. National Investment Assistance Fund is a state financial organization established since December 1995. It is responsible for mobilizing capital and lending to development investment projects of preferential branches of work or ones in difficult regions as regulated by the Government.

The Development Assistance Fund is a state financial organization, for non profit purpose but to ensure  refundable capital and cost compensation. It enjoys the legal personality, has chartered capital, balance sheet, seal and account opened in the state treasury, domestic and abroad banks. The Development Assistance Fund operates under the governmental regulations.

The fund is free of taxes and payments to the state budget to reduce loan interest and guarantee fee.

Chartered capital of the fund is 3,000 billion Vietnam dong.

The Development Assistance Fund  started its operation since January 1st 2000.

(Brochure of the Development Assistance Fund)

 

 

1. Mobilize long and medium term capital, receive state capital resources (including domestic and foreign capital) to implement the national  development investment assistance policies;

2. Use the Fund’s capital resource for appropriate and effective purposes;

3. Investment lending and debt collection;

4.  Post-investment interest subsidiaries;

5. Guarantee for investors, who borrow capital for investment; re-guarantee for investment funds;

6. Entrust and receive investment capital lending trust;

7. Perform other tasks assigned by the Prime Minister;

8. Strictly comply with the state law and other regulations relevant to the fund’s operation;

9. Periodically report to the Prime Minister and relevant ministries and agencies  as regulated. 

(Decree No. 50/1999/ND-CP) 

On May 19th 2006, the Prime Minister issued the Decision No. 108/2006/QD-TTg establishing the Vietnam Development Bank on basis of reorganization of the Development Assistance Fund to execute the state development investment and export credit policies.

 

 

1.1. The Vietnam Development Bank (hereinafter called “the Bank”) was established in accordance with the Decision No. 108/2006/QD-TTg dated 19 May 2006 of the Prime Minister to carry out policies on development investment credit and export credit of the State.

1.2. On 3 September 2015, the Prime Minister signed the Decision No. 1515/QDTTg to issue the Regulations on organization and operation of the Bank. 

On 29 Aplril, the Prime Minister signed the Decree 95/2025/ND-CP defining the organization and operation of the Vietnam Development Bank. This Decree takes effect on the date of its signing. The Charter on the organization and operation of the Vietnam Development Bank issued together with the Prime Minister's Decision No. 1515/QD-TTg dated September 03, 2015 shall cease to be effective from the effective date of this Decree. 

According to the Decree 95/2025/ND-CP: 

The Development Bank is a policy bank established by the Prime Minister, operating in accordance with the Law on Credit Institutions, this Decree, and relevant laws. The Development Bank has the status of a legal entity, has charter capital, and a seal in accordance with law regulations. The at-law representative of the Development Bank is the General Director.

The Development Bank may have its solvency guaranteed by the State and interest-rate differences and management fees offset; and enjoy exemption from taxes and other payables to the state budget in accordance with law regulations;

The Development Bank is not required to maintain compulsory reserves and to participate in deposit insurance.

The State is the owner of the Development Bank. The Government shall unify the management of performance of the tasks and powers of the State owner in respect of the Development Bank.

The Prime Minister shall directly exercise the rights and responsibilities of the State owner as specified in this Decree.

The Ministry of Finance shall exercise certain rights and responsibilities of the owner as defined in this Decree.

The Board of Directors is the direct representative body of the State owner at the Development Bank, performing the tasks and powers of the State owner as stipulated in this Decree.

The charter capital of the Policy Bank shall be allocated from the state budget and supplemented from the state budget and other lawful financial sources in accordance with the law regulations.

The supplementation of the Development Bank's charter capital shall comply with the law regulations on the financial management mechanism of the Development Bank.

1. Capital mobilization:

a) To issue Government-guaranteed bonds in accordance with the law;

b) To issue bonds and valuable papers in Vietnamese Dong of the Development Bank in accordance with the law;

c) To borrow from Vietnam Social Security; to borrow from domestic and foreign financial and credit institutions in accordance with the law;

d) To borrow refinancing loans from the State Bank of Vietnam in accordance with the law;

dd) To mobilize capital from other domestic and foreign organizations in accordance with the law;

e) To receive entrusted deposits from domestic and foreign organizations and individuals in accordance with the law;

g) To mobilize other capital sources in accordance with the law.

2. Credit Activities:

a) To carry out the lending according to the state investment credit policy in accordance with the law;

b) To provide credit guarantees for small and medium-sized enterprises borrowing capital from commercial banks in accordance with the Prime Minister's decision on issuance of regulations on guarantees for small and medium-sized enterprises borrowing capital from commercial banks;

c) To relend ODA loans and preferential foreign loans of the Government in accordance with the law;

d) To carry out other credit activities in accordance with the law.

3. Entrustment and taking of entrustment:

To carry out lending activities under authorization/entrustment, capital allocation under entrustment; guarantees under authorization/entrustment; entrusting and taking of entrustment to provide financial and banking services to clients in accordance with the law.

4. To participate in the interbank market, open market, and organize internal payment; to provide payment services and other banking services to clients; to carry out foreign exchange activities; to participate in domestic and international payment systems in accordance with the law.

5. To carry out other professional operations in accordance with the law.

Organizational structure

Organizational structure of the Development Bank includes:

1. Board of Directors.

2. Supervisory Board.

3. General Director.

The General Director shall manage the daily operations of the Development Bank, and take responsibility before the Board of Directors and before the law for the performance of his/her tasks and powers.

The term of office of the General Director is 05 years and he/she may be reappointed.

This Decree takes effect on the date of its signing.

The Charter on the organization and operation of the Vietnam Development Bank issued together with the Prime Minister's Decision No. 1515/QD-TTg dated September 03, 2015 shall cease to be effective from the effective date of this Decree.

 

 

2000: Certificate of Merit of the Prime Minister

2001: The Second Rank Labor Medal

2003: The First Rank Labor Medal

2007: Certificate of Merit of the Prime Minister

          Emulation Flag of the Government

2008: The First Rank Labor Medal

           Emulation Flag of the Government

2009: Emulation Flag of the Government

          Certificate of Merit of the Prime Minister

2010: The Third Rank Independence Medal

          The Third Rank Labor Medal

2012: The First Rank Labor Medal given by President of the People's Democratic Republic of Laos

           Certificate of Merit of the Prime Minister

Milestones, in which VDB has participated and become member of organizations and associations, etc, are as follows:

2006: Become an official member of the Association of Development Financing Institutions in Asia and the Pacific (ADFIAP)

2007: Become an official member of Vietnam Bankers Association (VNBA)

10/2013: Become an official member of Asian Exim Bank Forum (AEBF) 

11/2023: VDB and the GCF signed Accreditation Master Agreement (AMA), officially designating VDB as the NIE of the GCF in Vietnam.

Milestones, in which party, labor union and youth union organizations, veteran association, etc of the VDB have been established, converted, and upgraded, are as follows:

3/2009: Basic party organization of the Vietnam Development Bank was upgraded to the one above the basic level. It has duties to construct functions and obligations, establish the staff of executive committee, appoint party officials, and construct working regulations as regulated.

10/2005: Establish Labor Union of the Vietnam Development Bank, which is the one above the basic level. 

10/2008: Youth Union of the VDB became the basic union under the Youth Union of Central Enterprises Block.

8/2012: Establish VDB veterans under Vietnamese war veterans association