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Directive 01/CT-NHNN dated January 31st 2013 of the State Bank of Vietnam on limiting the establishment and expansion of the bank

Directive 01/CT-NHNN dated January 31st 2013 of the State Bank of Vietnam on limiting the establishment and expansion of the bank

To ensure the safe and effective banking operation in 2013, the State Bank of Vietnam instructed to closely manage the establishment and expansion of the bank’s network.

Accordingly, only banks that are capable of good governance, effective operation, strictly abide by the law and have demand  in the areas that are in need of banking services will be approved to open new branch or transaction office.

In addition, the bank’s network expansion in urban areas will be limited.

Branch and transaction office of the banks that have weaknesses in governance, violation of safety regulations and inefficient operation will be subject to license cancellation.

This is one of the key tasks to perform in 2013 in order to control the quality of the bank’s activities, guiding in Directive 01/CT-NHNN dated January 31st 2013.

Our professional consultants and lawyers always follow the changes in regulations to update our clients in Vietnam.

Tuan Nguyen

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