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|The SBV is collecting opinions to complete the latest draft circular about using national fund for monetary policies|
The SBV is collecting opinions to complete the latest draft circular about using state funds for monetary policies. Purchasing stock in banks under special review is one of many opinions under discussion for the draft.
Accordingly, state funds could be used to purchase stocks of credit organisations and banks under special review. This would enable the SBV to directly participate in restructuring their bad debts.
Since beginning the restructuring of commercial banks in 2011, the SBV has purchased a few banks for VND0 and put others under special review. The state budget has not been used to make capital contributions to banks or to resolve bad debts.
Most recently, the SBV sent a proposal to the National Assembly to review and adjust previous resolutions on pouring capital into commercial banks. The proposal did not mention the purchased commercial banks. However, some experts were of the opinion that capital contribution and stock purchases are not among the functions of the Ministry of Finance.
At the same time, according to Decision No.07/2013/QD-TTg, the financial sources used to carry out monetary policies are not allowed to exceed the SBV's legal capital.
According to the State Audit Office of Vietnam’s latest report to the National Assembly, the national budget’s estimated income from the SBV in 2020 will be VND7.8 trillion ($339.1 million). As of current time, the budget is about VND11.8 trillion ($513 million), up 162 per cent on-year.