Vietnam: What are included in the short-term fund?

According to Circular No. 16/2018/TT-NHNN of the State Bank of Vietnam, short-term fund includes the excess amount of the followings of which the maturity period is up to 01 (one) year (including demand deposits):

- Personal deposits other than margin and special deposits;

- Deposits made by foreign and domestic entities, except the followings:

+ All types of the State Treasury’s deposits;

+ Margin and special deposits of customers;

+ Deposits of other credit institutions or foreign bank branches in Vietnam.

- Borrowings obtained from domestic and foreign financial institutions (exclusive of borrowings obtained from other credit institutions or foreign bank branches in Vietnam);

- Borrowings from the entrusted investment fund of the Government with which risks associated shall be incurred by credit institutions/ foreign bank branches;

- Borrowings obtained from the central credit institution/ foreign bank branch in case credit institutions/ foreign bank branches engage in on-lending of funds derived from financing or investment entrustments from which risks associated shall be incurred by such credit institutions/ foreign bank branches;

- Funds raised from the issuance of promissory notes, treasury bills, certificates of deposit and bonds;

- Deposits or borrowings obtained from other credit institutions or foreign bank branches in Vietnam with respect to non-bank credit institutions;

- Deposits of people's credit funds with respect to cooperative banks.

View details at Circular No. 16/2018/TT-NHNN of the State Bank of Vietnam, effective from July 31, 2018.

-Thao Uyen-

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