COVID-19: SBV issues new document on rescheduling of debt payments

10/09/2021 04:09

The State Bank of Vietnam (SBV) on September 7 issued a circular amending and supplementing a number of articles of Circular No. 01/2020/TT-NHNN issued by the SBV Governor directing foreign credit institutions and bank branches to reschedule debt payments, waive and reduce borrowing interest and fees, and maintain the groups in order to support customers affected by the COVID-19 pandemic.

Accordingly, Article 4 of the new Circular 14/2021/TT-NHNN requires foreign credit institutions and bank branches to reschedule debt payments for outstanding amounts of principal and/or interest of debts, including those subject to the Government's Decree No. 55/2015/ND-CP dated June 9, 2015 on credit policies for agricultural and rural development as amended and supplemented, that fully satisfy the following conditions: arising from lending activities, financial leasing before August 1, 2021; the obligation to repay the principals and/or interest arising between January 23, 2020 to June 30, 2022; and the outstanding balance of the debt is still within the payment period or is overdue for up to 10 days.
In addition, the debts eligible for rescheduling should arise before January 23, 2020 and were overdue in the period from January 23, 2020 to March 29, 2020; arise before January 23, 2020 to prior to June 10, 2020 and were overdue before May 17, 2021; and arise from June 10, 2020 to before August 1, 2021 and were overdue from July 17, 2021 to before September 7, 2021.
Under the circular, foreign credit institutions and foreign bank branches can decide on the exemption or reduction of interest and fees in accordance with their own regulations for debts arising before August 1 where the obligation to repay  principal or interest is due between January 23, 2020 to June 30, 2022, and their customers are unable to repay on schedule due to the pandemic./.
Source: VNA

 



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