State bank limits loans in foreign currencies

The governor of the State Bank of Vietnam has just signed Decision No 09/2008/QÐ-NHNN on loans in foreign currencies by credit organisations to their customers which narrows the types of borrowers, especially those who are residents.

Accordingly, credit organisations should consider granting loans in foreign currencies to residents for payment for foreign partners for imports of goods and services for domestic trading and production activities and for trading and production activities for exports.

In addition, credit organisations are also asked to consider granting loans in foreign currencies to meet some demands for capital transactions with foreign partners within the current context of international economic integration such as repaying foreign debts or direct investment abroad.

ND

>   Low offered interest rates make bond auctions unattractive (14/04/2008)

>   100% foreign owned fund management companies to be set up in VN (14/04/2008)

>   Deposit interest rates may go up again (14/04/2008)

>   Banks begins to reduce interest rate (13/04/2008)

>   Dong advances for second day against dollar (12/04/2008)

>   BIDV recommends cap on lending interest rates (12/04/2008)

>   LienVietBank: The new kid on the block (12/04/2008)

>   Bank for Social Policies granted additional VND 1 trillion to charter capital (11/04/2008)

>   Industrial-commercial bank has new trade name (11/04/2008)

>   VP Bank’s 2007 net profit doubles (11/04/2008)