Vietnam: Authority to impose early intervention measure on entities subject to banking supervision

According to Circular No. 04/2018/TT-NHNN of the State Bank of Vietnam, after consulting legislative documents governing entities subject to banking supervision, materials, information and data on operation of entities subject to banking supervision:

- Banking Inspection and Supervision Chief, and Directors of State Bank Branches of centrally-affiliated cities and provinces where the Banking Inspection and Supervision Department is not located, shall request the State Bank’s Governor to consider issuing the written document on imposition of early intervention action on entities subject to banking supervision that fall into one of the situations referred to in Clause 1 Article 130a of the (amended and supplemented) Law on Credit Institutions, except those specified below;  

- Banking Inspection and Supervision Chief shall consider issuing the written document on imposition of early intervention action on entities subject to banking supervision, including people's credit funds and microfinance institutions within local subdivisions under the control of the Banking Inspection and Supervision Department that fall into one of the situations provided in Clause 1 Article 130a of the (amended and supplemented) Law on Credit Institutions;

- Directors of State Bank Branches of centrally-affiliated cities and provinces where the Banking Inspection and Supervision Department is not located shall consider issuing the written document on imposition of early intervention action on entities subject to banking supervision, including people's credit funds and microfinance institutions within these local subdivisions that fall into one of the situations provided in Clause 1 Article 130a of the (amended and supplemented) Law on Credit Institutions.

View more details at Circular No. 04/2018/TT-NHNN of the State Bank of Vietnam, effective from July 01, 2018.

-Thao Uyen-

>> CLICK HERE TO READ THIS ARTICLE IN VIETNAMESE