Before the delegates pressed the button to approve, authorized by the Prime Minister, Governor of the State Bank of Vietnam Nguyen Thi Hong presented a Report explaining, accepting and revising the draft Law amending and supplementing a number of articles of the Law on Credit Institutions.
Governor of the State Bank of Vietnam Nguyen Thi Hong
Reporting to the National Assembly, the Governor said that, based on listening to and synthesizing all opinions in full and in detail, the Government has made a report on receiving and explaining them in detail and specifically.
Regarding the proposal to assign the Government to guide the law, the Government would like to accept and supplement the draft Law to stipulate that the Government will guide the implementation of the Law. The Government will direct relevant agencies to review, evaluate and propose to implement the Law, ensuring consistency and effectiveness. In particular, it will pay attention to the contents on the inspection, examination and supervision mechanism of the State Bank as well as the specific responsibilities of credit institutions, foreign bank branches, debt trading and handling organizations in the process of seizing collateral of bad debts.
Second, on perfecting regulations on special lending interest rates. Implementing the opinions of competent authorities, the Government proposed to adjust Clause 1, Article 1 of the draft law to ensure that the special lending of the State Bank is for credit institutions that are subject to mass withdrawals. This is the case where a credit institution falls into a very difficult liquidity situation or to implement a recovery plan or a compulsory transfer plan.
In reality, due to the sensitive nature of banking activities as well as the level of impact of special loans, the State Bank makes adjustments and when implementing the law, in case a request for special loans arises, the State Bank will submit it to the competent authority for this loan before the State Bank decides to implement it.
Third, regarding the provisions on seizing collateral. Regarding the conditions for seizure, the Government would like to accept the opinion of the National Assembly Standing Committee to inherit two provisions in Resolution No. 42. Accordingly, the secured assets must not be disputed assets in a case that has been accepted but not yet resolved or is being resolved at a competent Court and supplement the provisions on posting a notice at the headquarters of the People's Committee at the commune level before proceeding to seize secured assets that are real estate.
On the other hand, to ensure that the seizure of collateral is carried out strictly in order to both remove obstacles and minimize possible impacts, the Government proposes to amend the draft Law in the direction of adding a provision that the seized collateral must meet the conditions prescribed by the Government.
At the same time, to ensure that the seizure of collateral is carried out in strict order and procedures, the Government has proposed to amend the draft Law in the direction of clarifying that credit institutions, foreign bank branches, debt trading and handling organizations must carry out information disclosure procedures, must develop processes and issue internal regulations on the order and procedures for the seizure of collateral.
Fourthly, regarding the regulation on the return of collateral as evidence in a criminal case, which is the exhibits and means of administrative violations, the Government would like to accept the opinion of the National Assembly Standing Committee to supplement the requirement that when returning collateral as evidence in a criminal case, the guarantee contract must have an agreement on the guarantor agreeing to allow the secured party to seize the collateral. At the same time, accepting the opinion of the National Assembly Standing Committee, the Government has removed the content of the provisions in the draft Law on the return of exhibits and means of administrative violations to focus on the provisions in the draft Law amending and supplementing a number of articles of the Law on handling administrative violations. Fifth, regarding the effectiveness of the draft Law, in order to have enough time to study and develop a Government Decree regulating the conditions of collateral for bad debts that credit institutions, foreign bank branches, debt trading and handling organizations are entitled to seize and ensure the implementation of the Law, the Government proposes that the effective date of the draft Law is from October 15, 2025.
The Governor said that after the draft Law is passed, the Government will direct the State Bank and relevant agencies to issue guiding documents and organize the implementation of the Law strictly, ensuring that the provisions of the Law come into effect as quickly and effectively as possible.
VNBA News
