Regulations on licensing and procedures for the initial issuance of licenses for non-bank credit institutions in Vietnam

Regulations on licensing and procedures for the initial issuance of licenses for non-bank credit institutions in Vietnam​ (Image from internet)

On December 21, 2024, the Governor of the State Bank of Vietnam issued Circular 57/2024/TT-NHNN stipulating the dossiers and procedures for the initial issuance of licenses for non-bank credit institutions in Vietnam.

Regulations on licensing and procedures for the initial issuance of licenses for non-bank credit institutions in Vietnam

At Article 6 and Article 7 of Circular 57/2024/TT-NHNN, regulations on licensing and initial licensing procedures for non-bank credit institutions in Vietnam are as follows:

* License

- The State Bank specifies the content of banking activities and other business activities in the License issued to each non-bank credit institution according to the License template corresponding to each type of non-bank credit institution as stipulated in Appendices 01, 02, 03, 04 issued together with Circular 57/2024/TT-NHNN.

- In case the License is lost, torn, burned, or damaged in another form, the non-bank credit institution must submit a written document stating the reason and send it via postal service or directly at the headquarters of the State Bank (Single-window section) to request consideration for issuing a copy of the License from the original as prescribed by law.

Within 05 working days from the day of receiving the request document, the State Bank issues a copy of the License from the original to the non-bank credit institution.

* License Issuance Procedures

(1) The preparatory board prepares a dossier requesting the License according to the provisions in Article 10, Article 11, Clauses 1, 2, 3 of Article 12, Clauses 1, 2, 3, 4, 5, 6, 7 of Article 13 of Circular 57/2024/TT-NHNN and sends it via postal service or directly at the headquarters of the State Bank (Single-window section).

Within 60 days from the day of receiving the dossier requesting the License, the State Bank sends a document to the preparatory board confirming the receipt of a complete and valid dossier for consideration of principle approval or requests supplementary documents if the dossier is incomplete or invalid.

(2) Within 90 days from the day of sending the document confirming the receipt of a complete and valid dossier, the State Bank issues a document approving in principle the establishment of the non-bank credit institution. If not approved, the State Bank replies in writing to the preparatory board, stating the reason for disapproval.

(3) Within 60 days from the day of receiving the document approving the principle of establishing the non-bank credit institution, the preparatory board prepares supplementary documents according to Clause 4, Article 12, Clause 8, Article 13 of Circular 57/2024/TT-NHNN and sends it via postal service or directly at the headquarters of the State Bank (Single-window section). If not received or incompletely received by the deadline, the principle approval document automatically becomes invalid.

Within 05 working days from the day of receiving all supplementary documents, the State Bank confirms in writing to the preparatory board about receiving all supplementary documents.

(4) Within 30 days from the day of receiving all supplementary documents, the State Bank issues the License according to regulations. If not issuing the License, the State Bank replies in writing to the preparatory board, stating the reason for not issuing the License.

More details can be found in Circular 57/2024/TT-NHNN effective from December 24, 2024.

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