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Vietnam May Narrow Down Subjects to Borrow Overseas Capital

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Vietnam May Narrow Down Subjects to Borrow Overseas Capital

Post  1alaskan on Wed May 16, 2012 4:50 pm

Vietnam May Narrow Down Subjects to Borrow Overseas Capital

VietFinanceNews.com - The State Bank of Vietnam (SBV) has recently released the draft regulation to amend the ordinance on foreign exchange control, narrowing the subjects that are permitted to borrow capital overseas.

The draft regulation stipulates that only legally-established enterprises and credit institutions can borrow funds abroad. As such, individuals and economic institutions that are not enterprises as prescribed in the Law on Enterprises such as cooperatives are not allowed to borrow foreign capital.

In case individuals need to borrow funds abroad to carry out legal investments, they can set up their own enterprises and borrow foreign funds in accordance with current laws.


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