Urgent debt restructuring, new loan approval to overcome consequences of storm No. 3

The State Bank of Vietnam has just issued Directive 04 on September 25 on solutions of the banking sector to contribute to supporting people and businesses facing difficulties due to the impact of storm No. 3 (Yagi) to restore and promote production and business, and economic growth.

Accordingly, in the coming time, the task of overcoming the consequences of the storm is very large when people's assets and health are seriously damaged and affected. The Governor of the State Bank of Vietnam requested units under the State Bank of Vietnam, credit institutions, foreign bank branches (hereinafter referred to as credit institutions), and associations in the banking industry to urgently and promptly implement tasks and solutions.

Specifically, the Governor requested that units under the State Bank of Vietnam continue to operate monetary policy proactively, flexibly, promptly, effectively, and in a synchronous, harmonious, and close coordination with fiscal policy and other macroeconomic policies to contribute to supporting economic growth, stabilizing the macro economy, stabilizing the monetary and foreign exchange markets and the banking system.

The task of overcoming the consequences of the storm is enormous when people's property and health are seriously damaged and affected (Photo: Huu Thang).

In particular, it is necessary to proactively study the impacts and influences of storm No. 3 on monetary policy management, especially credit limits, capital needs and liquidity for the economy in general and commercial banks in particular, in order to have appropriate management solutions.

Urgently submit to the Prime Minister for promulgation a Decision on asset classification, risk provisioning level, risk provisioning method and use of risk provisioning to handle risks to support customers facing difficulties and damages due to the impact of storm No. 3.

For the State Bank branches in provinces and cities, it is necessary to proactively coordinate with relevant departments, branches and agencies to grasp the level of impact of storms and floods on loan customers, assess loan losses of people and businesses in the area to advise the People's Committees of provinces and cities to effectively implement support work to remove difficulties for businesses and people;

Direct local credit institutions to actively implement solutions to support and remove difficulties for loan customers affected by storm No. 3. Report damage data to the State Bank (through the Department of Credit for Enterprises) before September 25, 2025 and regularly update this data.

Proactively advise the Provincial and Municipal People's Committees to direct relevant organizations, agencies, units and individuals in the area to complete documents, procedures and processes for debt relief.

For credit institutions, it is necessary to urgently direct branches and transaction offices in 26 provinces and cities affected by the storm to promptly deploy with the highest responsibility and urgency solutions to support difficulties for customers with loans affected by storm No. 3.

Restructure the debt repayment period, exempt and reduce interest rates for customers according to current laws. Implement the policy of restructuring the debt repayment period, maintaining the debt group, debt forgiveness, and new loans for customers who are eligible according to regulations.

Continue to effectively implement credit-oriented solutions for production and business sectors, priority sectors, and economic growth drivers according to the policies of the Government and the Prime Minister.

Develop new credit programs and packages with appropriate interest rates, continue to provide new loans according to current regulations in the spirit of administrative procedure reform, eliminate hassles, promptly review and approve new loans and create favorable and easy conditions for borrowers, especially in terms of collateral and credit limits, to help customers overcome difficulties and stabilize production and business after the storm.

However, it is still necessary to ensure the principles for the safety of credit institutions, not to take advantage of or profit from the policy.

Timely inform about policies and solutions of the State Bank and its own bank; proactively handle difficulties and problems arising according to regulations; promptly propose reports to the Governor of the State Bank and competent authorities on issues beyond their authority.

Regarding social security, the Governor requested that credit institutions and their affiliated units mobilize cadres, civil servants, public employees, and workers to respond to the call of the Presidium of the Central Committee of the Vietnam Fatherland Front and the Vietnam General Confederation of Labor to support at least 01 day's salary/income.

At the same time, synthesize cadres, civil servants, public employees, and workers in the banking sector affected and damaged by storm No. 3 to have appropriate support measures.

Source: https://www.nguoiduatin.vn/khan-truong-co-cau-no-xet-duyet-vay-moi-khac-phuc-hau-qua-bao-so-3-204240926153446818.htm