Restricting Cash Disbursement

The State Bank of Vietnam (SBV) issued Circular No.09/2012/TT-NHNN on April 10, 2012 stipulating the use of payment instruments for loan disbursement of credit institutions for their clients, contributing to developing the non-cash payment and supervising the use of loans in line with the purposes in credit contracts.

 

Credit institutions decide to use non-cash payment instruments, or cash, or payment account of less than VND100 million per disbursement for beneficiaries. The Circular will take effect on June 1, 2012.

 

According to the SBV, the tightening of cash disbursement will help step up non-cash payment. It also supervises capital of borrowers, based on agreements between banks and them.