On December 31, 2018, the State Bank of Vietnam issued Circular No. 50/2018/TT-NHNN regulating documents, procedures for approving the changes of commercial banks, Foreign bank branches are issued by the Governor of the State Bank of Vietnam. This Circular takes effect from February 15, 2019.
Accordingly, Circular No. 50/2018/TT-NHNN stipulates a number of changes related to the name, office of foreign banks and branches of foreign banks. Highlights are the regulations relating to the operation of the head office of commercial banks and foreign bank branches in the same province or city where the bank, bank branches are located, specifically:
1. Application file includes:
a) The written request for change of head office;
b) Resolution or decision of the General Meeting of Shareholders with respect to joint-stock commercial banks, resolutions or decisions of the Members’ Council for limited liability commercial banks with two or more members, Decision of the owner to a one member limited liability commercial bank through the change of the location of the head office; Documents of the parent bank through changing the location of the head office of a foreign bank branch in Vietnam;
c) Documents and documents proving that the commercial bank, foreign bank’s branch has the right to use or will have the legal right to use the office in the new location.
2. Procedures for approval:
a) Submit the application file to change the head office to the State Bank;
b) Within 25 working days from the date of receipt of a complete and valid file, the State Bank shall issue a written approval to request the transfer of the location of the head office of the commercial bank, location of the Foreign bank branch. In case of disapproval, the State Bank shall issue a written reply, clearly stating the reason.
The State Bank’s written approval is valid for 12 months from the date of signing.
It can be seen that the State Bank issued Circular No. 30/2018 / TT-NHNN is expected to create a clear legal basis for commercial banks and foreign bank branches in changing one The number of content related to business registration meets the requirements of economic development today.