CIRCULAR

AMEND AND SUPPLEMENT A NUMBER OF ARTICLES OF CIRCULAR NO. 25/2015/TT-NHNN DATED DECEMBER 9, 2015 OF THE GOVERNOR OF THE STATE BANK OF VIETNAM ON GUIDELINES FOR GRANT OF PREFERENTIAL LOANS FOR IMPLEMENTATION OF SOCIAL HOUSING POLICIES

Pursuant to the Law on the State Bank of Vietnam dated June 16, 2010;

Pursuant to the Law on Credit Institutions dated June 16, 2010 and the Law on Amendments to the Law on Credit Institutions dated November 20, 2017;

Pursuant to the Law on Housing dated November 25, 2014;

Pursuant to Decree No. 16/2017/ND-CP dated February 17, 2017 of the Government on functions, duties, entitlements and organizational structure of the State Bank of Vietnam;

Pursuant to Decree No, 100/2015/ND-CP dated October 20, 2015 of the Government on social housing development and management; Decree No. 49/2021/ND-CP dated April 1, 2021 of the Government on Amendments to Decree No. 100/2015/ND-CP dated October 20, 2015 of the Government on social housing development and management;

At the request of the Director of the Department of Credit of Economic Sectors;

 The Governor of the State Bank of Vietnam promulgates Circular on Amendments to Circular No. 25/2015/TT-NHNN dated December 9, 2015 of the Governor of the State Bank of Vietnam on guidelines for grant of preferential loans for implementation of social housing policies.

Article 1. Amendments to Circular No. 25/2015/TT-NHNN

1. Amendments to Clause 1 Article 1 are as follows:

“1. This Circular provides for guidelines for grant of preferential loans for implementation of social housing policies for designated credit institutions in accordance with regulations of Decree No. 100/2015/ND-CP dated October 20, 2015 of the Government on social housing development and management and Decree No. 49/2021/ND-CP dated June 1, 2021 of the Government on Amendments to Decree No. 100/2015/ND-CP.”

2. Amendments to Clause 2 Article 2 are as follows:

“2. The borrowers that take the loans for building new houses or repairing existing houses are prescribed in Clause 1 Article 16 of Decree No. 100/2015/ND-CP.”

3. Amendments to Clause 4 Article 6 are as follows:

“4. If customers take preferential loans for building new houses or repairing existing houses, the maximum loan is 70% of the estimated value or loan plan. The maximum loan shall not exceed 500 million VND; not exceed 70% of the value of the collateral."

4. Amendments to Clause 4 Article 7 are as follows:

“4. Customers prescribed in Clause 2 Article 2 of this Circular that take preferential loans for building new houses or repairing existing houses: The loan maturity date agreed by the bank and the customer shall be appropriate with the customer’s ability to repay. The loan maturity date shall not exceed 25 years from the date of the first disbursement.”

5. Amendments to Clause 2 and Point a Clause 3 Article 10 are as follows:

“2. The interest rate of preferential loans of customers who want to construct, renovate, or repair their houses shall be determined and announced in each period by the State.

3. The interest rate of preferential loans prescribed in Clause 1 and Clause 2 of this Article shall:

a) Not exceed 50% of the average loan interest rate of commercial banks in the same period;”

6. Amendments to Clause 2 Article 16 are as follows:

“2. The Department of Monetary Policy:

Shall assist the Governor of the State Bank of Vietnam in determining and announcing the interest rate of preferential loans for customers prescribed in Clause 1 and Clause 2 Article 2 of this Circular."

Article 2. Replace and remove a number of articles and forms of Circular No. 25/2015/TT-NHNN

1. Replace Form No. 1 and Form No. 2 with Form No. 1 and Form No. 2 promulgated with this Circular.

2. Remove Clause 3 Article 5, Clause 3 Article 6, and Article 13.

Article 3. Implementation responsibilities

Chief of Office and Director of the Department of Credit of Economic Sectors, and heads of units affiliated to the State Bank of Vietnam; designated credit institutions; entities allowed to take loans for social housing support shall comply with this Circular.

Article 4. Implementation provision

This Circular comes into force as of January 20, 2022./.

REPORT OF PERFORMANCE ON GRANT OF LOANS FOR IMPLEMENTATION OF SOCIAL HOUSING

(Promulgated with Circular No.     /2021/TT-NHNN dated        , 2021 on Amendments to Circular No. 25/2015/TT-NHNN dated December 9, 2015 on guidelines for grant of preferential loans for implementation of social housing)

Month      Year

Unit: Billion VND

REPORT OF PERFORMANCE ON GRANT OF LOANS FOR IMPLEMENTATION OF SOCIAL HOUSING ACCORDING TO AREA

(Promulgated with Circular No.     /2021/TT-NNHNN dated          ,2021 on Amendments to Circular No. 25/2015/TT-NHNN dated December 9, 2015 on guidelines for grant of preferential loans for implementation of social housing)

Month      Year

Unit: Billion VND

Instructions to prepare reports according to Form 1 and Form 2

1. General instructions:

- Report entity: a Credit Institution designated to grant loans for implementation of social housing.

- Receiving unit: Department of Credit of economic sectors.

- Form of delivery: Original Official Dispatch attached with the report table shall be sent to 25 Ly Thuong Kiet - Hoan Kiem - Hanoi; soft files shall be sent to [email protected].

2. Specific instructions:

- Column 12: Statistic of provision made until the final working day of the reporting period;

- Column 13 and column 14: Value of the collateral at the end of the reporting period (if it is not valuated, report its book value)

- From column 12 to column 16: only fill in I, I.1, I.2; II, II.1, II.2 and III.

3. Contact: Phone number: 04.38269902 – Fax - 04.38256626.