A bank teller counts money at a transaction office in Hà Nội. - Viet Nam News/ANN
HANOI: Banks will have to gradually reduce the credit limit for large customers over the next five years to meet regulations under the new Law on Credit Institutions.
Under the Law on Credit Institutions, which took effect last month, over the next five years, a customer’s credit limit will decrease by 1% every year and 2% for a customer and his/her related parties.
Specifically, over its first year of implementation, the credit limit for a customer will fall from the current 15% to 14% of equity and for a customer and his/her related parties from the current 25% to 23% of equity.
The credit limit will then be gradually reduced until 2029, when it will be 10% for a customer and 15% for a customer and his/her related parties. — Viet Nam News/ANN
