Responsibilities of entities under the State Bank of Vietnam in managing monetary policy instruments

According to Circular No. 14/2018/TT-NHNN of the State Bank of Vietnam, each unit under the State Bank of Vietnam will be assigned different functions and tasks, therefore each unit will have specific responsibilities, as follows:

- The Credit Department of Economic Sectors: According to the documented request for the reserve requirements submitted by the credit institution, consider and submit it to Governor of the State Bank and inform such credit institution of the reserve requirements applied or of disapproval of the reserve requirements requested by such credit institution and also inform the Transaction Offices and branches of the State Bank in provinces and centrally-affiliated cities of the locality in which the head office of the credit institution is located (or of the locality in which the head office of the foreign bank is located) and relevant agencies.

- Banking inspection and supervision authorities shall inspect, supervise and handle or propose the settlement, as authorized, the compliance with regulations in this Circular of the credit institution.

- Relevant entities affiliated with the State Bank shall refinance and implement other measures to support credit institutions lending for agriculture and rural development in accordance with regulations and decisions issued by the Governor of the State Bank.

- Branches of the State Bank in provinces and centrally-affiliated cities of the locality in which the head office of the credit institution is located (or the locality in which the head office of the foreign bank is located) shall look after and cooperate with relevant entities affiliated with the State Bank in implementing this Circular.

View relevant provisions at Circular No. 14/2018/TT-NHNN of the State Bank of Vietnam, effective from July 13, 2018.

- Thanh Lam -

>> CLICK HERE TO READ THIS ARTICLE IN VIETNAMESE