The State Bank of Vietnam (SBV) has allowed credit institutions and foreign bank branches to restructure repayment terms and keep the debt group unchanged to support clients struggling with production and business expenses.

This is stipulated in Circular No. 02/2023/TT-NHNN issued by the SBV on April 23.

The Circular is effective from April 24 to June 30, 2024.

Restructured debts include loans and financial leases.

The rescheduled terms shall be decided by credit institutions but not exceed 12 months from the due date of the balances subject to the restructured repayment term.

The SBV said the new regulation, together with other supportive policies for the banking sector, is expected to help tackle difficulties facing people and enterprises, extend lending and repayment periods on loans, and create conditions for continued capital turnover and access to new credit for production and trade activities, thus contributing to promoting production and economic development.