On July 31, 2019, the State Bank of Vietnam issued Circular 10/2019 / TT-NHNN amending and supplementing a number of contents on the procedure for specialized banking inspection prescribed in Circular No. 36/2016 / TT-NHNN. The circular takes effect from September 16, 2019.
Some noticeable contents in the Circular:
Adding more State Bank branches in Ho Chi Minh City and State Bank branches in Hanoi branches to the subjects of application of specialized regulations on inspection of the State Bank (Clause 1, Article 1);
Amend and supplement the rights of the Chief Inspector of the State Bank in specialized inspection activities:
+ Supplementing the authority of Chief Inspector: issuing inspection decisions for the subjects of bank inspection under the management of the State Bank. To be collected the inspection of the anti-corruption work, the large and complex specialized inspections, the re-inspections or when deeming it necessary (Clause 3, Article 1);
+ Amendment on the authority to issue re-inspection decisions of the Chief Inspector. Accordingly, the Chief Inspector is not entitled to decide on re-inspection with cases concluded by the Director of the Banking Inspection and Supervision Department (Clause 3, Article 1).
Amendments to the standards of the inspection team leader (Clause 4 Article 1).
+ Must be from the Head or chief inspector or equivalent or more of the cases that must be appointed by the Governor of the State Bank or the Chief of Banking Inspection and Supervisor.
+ Must be from the Deputy Head or Inspector or more of the cases must be Director of the State Bank branch, Director of Banking Inspection and Supervision Department, Chief Inspector, Supervisor State Bank branch appoint the head of the inspection team.
Additional duties of the inspection team leader in case of temporary suspension of inspection. Accordingly, in case of temporary suspension, the head of the inspection team shall issue a written notice to the inspected subject and report it to the person who issued the inspection decision (Clause 5, Article 1).
The promulgation of Circular 10/2019 / TT-NHNN has overcome the shortcomings and inconsistencies of Circular 36/2016 / TT-NHNN. To strengthen the legal basis when conducting specialized inspection of the State Bank as well as clearly define responsibilities for individuals and organizations when performing their tasks.