According to the Decision, regulations on mandatory guaranteed loans and debt repayment to the Vietnam Development Bank for SMEs are as follows:
- After fulfilling its guarantee obligations, the Vietnam Development Bank shall require the guaranteed party to acknowledge the debt and sign a contract on the mandatory guaranteed loan with the Vietnam Development Bank.
- After signing the contract on the mandatory guaranteed loan, the guaranteed party shall be converted into the party receiving the mandatory guaranteed loan at the Vietnam Development Bank.
- The contract on the mandatory guaranteed loan as prescribed in Clause 1 of this Article includes the following contents:
+ Interest rate of the mandatory guaranteed loan: determined as equal to the lending interest rate for the State’s investment credit at the Vietnam Development Bank at the time of signing the contract on the mandatory guaranteed loan; the overdue interest rate of the mandatory guaranteed loan shall not exceed 150% of the in-term interest rate, the specific interest rate shall be considered and decided by the Vietnam Development Bank;
+ Repayment period of the mandatory guaranteed loan: the specific period shall be considered and decided by the Vietnam Development Bank based on the financial situation, production and business plan, and debt repayment capacity of the party receiving the mandatory guaranteed loan;
+ Security for the mandatory guaranteed loan: the Vietnam Development Bank shall re-determine the value of the collateral. In case after valuation, the value of the collateral of the project or plan of the mandatory guaranteed loan is lower than the book value of the outstanding principal and interest of the mandatory guaranteed loan debt at the time of signing the contract on the mandatory guaranteed loan, the Vietnam Development Bank shall, based on the financial situation, operation, and debt repayment capacity of the guaranteed party, appraise and decide the supplementation of loan security measures in accordance with the law;
+Other contents related to the mandatory guaranteed loan shall be considered, agreed upon, and unified by the Vietnam Development Bank and the party receiving the mandatory guaranteed loan, and specified in the contract on the mandatory guaranteed loan.
- The party receiving the mandatory guaranteed loan shall be responsible for fully repaying the debt, including principal and accrued interest, to the Vietnam Development Bank in accordance with the signed contract on the mandatory guaranteed loan.
- Based on the assessment results of the financial situation, operation, production, and business plan, as well as the debt repayment capacity of the party receiving the mandatory guaranteed loan, the Vietnam Development Bank shall consider and decide whether to exempt or reduce the interest on the mandatory guaranteed loan. The state budget shall not provide interest rate subsidies and management fees for the entire outstanding balance of the mandatory guaranteed loan in case the Vietnam Development Bank and the party receiving the mandatory guaranteed loan agree to apply the regulations on interest exemption or reduction of the mandatory guaranteed loan. The Vietnam Development Bank shall provide guidelines on dossiers and procedures for interest exemption or reduction of the mandatory guaranteed loan.
- The handling of risks for mandatory guaranteed loans shall be carried out in accordance with the regulations on the credit risk handling mechanism at the Vietnam Development Bank, promulgated by the Prime Minister of Vietnam.
Decision No. 12/2026/QD-TTg comes into force as of May 15, 2026.
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