Headlines 06/12/2018 10:40 SA

Cases of blockage of property of foreign bank branches are now stipulated

Hoài Thương

The State Bank has promulgated the Circular No. 27/2018/TT-NHNN on cases of blockage and termination of blockage of capital and property of foreign bank branches.

Pursuant to the Circular, in comparison with applicable provisions laid down in the Circular No. 03/2007/TT-NHNN the Circular No. 27 has made changes in cases of blockage of capital and property of foreign bank branches as follows:

- Adding cases in which the amount of loss accrued of a foreign bank branch is greater than 50% of value of allocated capital and reserve funds specified in the latest audited financial statements;

- Removing 2 cases:
  
+ Foreign bank branches seriously violate legislative regulations;

+ The State Bank dissolves and terminates operations of foreign bank branches and revokes certificates of establishment of foreign bank branch.

The Circular No. 27/2018//TT-NHNN will take effect on January 10, 2019.

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