Chapter III
LENDING, FINANCING AND CAPACITY PROMOTION SUPPORT ACTIVITIES
Section 1. DIRECT LENDING
Article 15. Direct lending principles
1. Lending activities of the Fund shall be carried out under agreements between the Fund and small and medium enterprises and must conform to provisions laid down herein.
2. Small and medium enterprises borrowing funds from the Fund must ensure the correct use of borrowed funds and repay principal and interest in an adequate and timely manner as agreed upon with the Fund.
3. Currency used for lending and debt repayment must be Vietnamese dong.
Article 16. Lending requirements
1. Small and medium enterprises running innovative startups shall be entitled to loans granted by the Fund provided that they meet the following requirements:
a) Meet regulations set forth in Article 4 in the Law on Support for Small and Medium Enterprises;
b) Have feasible production and business projects and plans, exploit intellectual property assets prescribed in the Intellectual Property Law or new technologies prescribed in the Law on Technology Transfer or new business models according to regulations of law;
c) Ensure the equity participation in a production and business project or plan makes up at least 20% of the total investment capital to implement that production and business project or plan, and ensure sufficient capital for implementation of a production and business project or plan;
d) Meet regulations on loan guarantee laid down herein.
2. Small and medium enterprises participating in inter-sectoral complexes shall be entitled to loans extended by the Fund when meeting the following requirements:
a) Comply with regulations set forth in points a, c and d of clause 1 of this Article;
b) Have feasible production and business projects or plans, locate their offices within geographical areas of inter-sectoral complexes and have cooperation or business contracts with other enterprises in these inter-sectoral complexes or jointly build and use regional brands. Identification of inter-sectoral complexes shall be subject to provisions enshrined in the Law on Support for Small and Medium Enterprises and other documents giving instructions on implementation thereof.
3. Small and medium enterprises participating in value chains shall be entitled to loans extended by the Fund when meeting the following requirements:
a) Comply with regulations set forth in points a, c and d of clause 1 of this Article;
b) Have production and business projects or plans that are feasible and are put to use to directly create the additional value of products in these value chains, or have cooperation and business contracts with enterprises directly creating the additional value of products in these value chains. Identification of value chains shall be subject to regulations laid down in the Law on Support for Small and Medium Enterprises and other relevant documents providing instructions on implementation thereof.
Article 17. Direct lending interest rate
1. Direct lending interest rate shall be 80% as much as the lowest interest rate on commercial lending. The lowest interest rate on commercial lending shall be determined by comparing interest rates between 04 state-invested commercial banks and selecting the interest rate of the bank whose total asset is greatest at the time of determination of the Fund's lending interest rate.
In certain particular cases, the Minister of Planning and Investment shall decide the lending interest rate upon the request of the Members’ Board.
2. On a yearly basis or over periods of time, based on the principles of identification of interest rate stipulated in clause 1 of this Article, the Members' Board shall publicly inform the lending interest rate decided by the Fund.
Article 18. Lending rate and tenure
1. Lending rate applied to each production and business plan or project shall not be 80% greater than total investment outlay of that plan or project. Total rate of lending of the Fund to small and medium enterprises shall not be 15% greater than the actual chartered capital of the Fund.
2. Lending tenure shall be determined depending on capital recovery and repayment capacity of each enterprise and specific conditions of each production and business plan or project, but shall not exceed seven (07) years.
Article 19. Documentation requirements, processes and procedures for direct lending
1. Application documentation for borrowing shall include:
a) Request form for borrowing of fund submitted by small and medium enterprises;
b) Documentation on production and business plan or project, other documents evidencing enterprises eligible for borrowing in accordance with Article 16 herein.
2. Small and medium enterprises shall have to submit application documentation for borrowing of funds at the Fund’s main office or by post.
3. The Fund shall be responsible for receiving and assessing the adequacy of application documentation for borrowing; assessing the feasibility of production and business plan or project and other borrowing requirements as provided herein; making a decision on borrowing and informing small and medium enterprises. In case of rejection, the Fund shall inform applicant in writing and clearly state reasons for such rejection.
4. The Fund shall be responsible for adopting the processes for assessment and making a decision on direct lending according to the principles of ensuring the clear distinction of responsibilities and obligations of individuals and organizations involved in the processes for assessment of and grant of decision on lending.
5. Where necessary, the Members’ Board shall consider making a decision on establishing a Committee to make an assessment before deciding whether lending is accepted or not.
6. The Fund may hire independent consultants or establish an advisory group giving counsel on lending, including scientists, administrators and experts with relevant specializations.
Article 20. Direct lending agreement
1. Lending agreement between the Fund and small and medium enterprise must be made in writing in compliance with provisions set forth herein and shall include at least the followings:
a) Information about the Fund’s legal person, small and medium enterprise, location and time of conclusion of the agreement;
b) Agreements on lent sum, borrowing purposes, maturity period, lending currency unit, lending method, borrowed fund distribution method, lending interest, transformation of borrowed funds, recovery of lending interest and principal, security for borrowed funds and contingency measures, handling of risks (if any), and effect of the lending agreement;
c) Rights, obligations and responsibilities of each party involved in the lending process; method for resolving disputes and discrepancies that may arise during the period of implementation of the lending agreement and other agreements reached to meet the Fund's management requirements.
2. Notwithstanding provisions laid down in clause 1 of this Article, contracting parties may agree on other issues as prescribed herein and in other relevant laws.
Article 21. Loan guarantee
1. Upon lending funds from the Fund, small and medium enterprise must adhere to loan security measures. As for each production and business plan or project, the Fund must consider making decision on specific loan security measures in line with the actual context and provisions of law.
2. Formation and execution of secured transactions and disposal of collateral must be subject to provisions of law on secured transactions and other relevant legislation.
Section 2. INDIRECT LENDING
Article 22. Indirect lending principles
1. The Fund may choose a commercial bank (hereinafter referred to as bank) with which an indirect lending agreement is signed.
2. The designated bank shall apply law on borrowing of funds by credit institutions and financial organizations in order to receive funds from the Fund.
3. The designated bank shall assess and decide whether lending is approved with respect to small and medium enterprises meeting requirements defined in Article 23 herein and shall be liable for any risk incurred from such lending decision.
4. The designated bank shall be held responsible for repaying indirect lending principal and interest in full to the Fund by the maturity date agreed upon with the Fund.
5. The currency unit used for lending and debt repayment must be Vietnamese dong.
Article 23. Requirements for lending of funds available in the Fund
1. Small and medium enterprises running innovative startups may be entitled to loans derived from the Fund's available capital when meeting the following requirements:
a) Comply with provisions laid down in point a, point b and point c of clause 1 of Article 16 herein;
b) Meet regulations on loan guarantee under relevant laws.
2. Small and medium enterprises participating in inter-sectoral complexes may have access to loans derived from the Fund's available capital when meeting the following requirements:
a) Comply with provisions laid down in point a and point c of clause 1 and point b of clause 2 of Article 16 herein;
b) Meet regulations laid down in point b of clause 1 of this Article.
3. Small and medium enterprises participating in inter-sectoral complexes may have access to loans derived from the Fund's available capital when meeting the following requirements:
a) Comply with provisions laid down in point a and point c of clause 1 and point b of clause 3 of Article 16 herein;
b) Meet regulations laid down in point b of clause 1 of this Article.
Article 24. Indirect lending tenure and rate
Indirect lending tenure and rate shall be subject to provisions laid down in Article 18 herein.
Article 25. Indirect lending interest rate and fee
1. Indirect lending interest rate refers to the interest rate of a loan that a bank grants to a small and medium enterprise and which is equal to the direct lending interest rate as stipulated in clause 1 of Article 17 herein.
2. Indirect lending fee refers to a sum that the Fund has to pay to the bank designated to extend loans and which is agreed upon between both parties provided that it does not exceed 50% of total indirect lending interest sum collected from each production and business plan or project.
Article 26. Documentation requirements and procedures for indirect lending
1. Application documentation for borrowing of funds shall include:
a) Application form for borrowing of funds submitted from small and medium enterprises;
b) Dossiers on production and business plans and projects of small and medium enterprises, other documents evidencing enterprises meeting lending requirements prescribed in Article 23 herein.
2. The designated bank’s application documentation for receipt of available capital for indirect lending shall be composed of the followings:
a) Application form for receipt of available capital submitted by the designated bank;
b) Documents defined in point b of clause 1 of this Article and other relevant ones.
3. Small and medium enterprises shall submit application package for borrowing of funds at a transaction office of the designated bank or by post.
4. The designated bank shall be responsible for receiving the application package for borrowing of funds, verifying it and making a decision on approval of lending of funds to small and medium enterprise, and shall simultaneously request the acceptance of funds for indirect lending in writing at the Fund’s main office or by post.
5. The designated bank shall assume responsibility for adopting procedures for verification and assessment, and issuing the decision on approval of indirect lending according to the principles of public disclosure and transparency.
6. The Fund shall be held responsible for receiving and assessing the application package for receipt of the Fund’s available capital for indirect lending and shall make its decision on whether it will give its available funds to the designated bank’s indirect lending of these funds to small and medium enterprises. In case of refusal to give available funds, the Fund must inform the designated bank in writing with clear reasons for such refusal.
7. The Fund shall be held responsible for issuing the procedures for making assessment and making decision on giving capital for indirect lending purposes according to the principles of the clear distinction of responsibilities and obligations of parties involved in the indirect lending process.
Article 27. Indirect lending agreement
1. Indirect lending agreement between the Fund and the designated bank shall be made in writing, must comply with provisions laid down herein and must include at least the followings:
a) Information about the legal person of the Fund and the designated bank, place and time of entry into such agreement;
b) Agreements on loan sum, purposes of use of loan, lending tenure, lending currency unit, lending interest rate, receipt of funds available for lending purposes, repayment of lent funds, recovery of lending principal and interest, transformation of overdue debts, rescheduling of debt repayment term and effect of indirect lending agreement;
c) Rights, obligations and liabilities of each party involved in the indirect lending process; method for dealing with disputes or difficulties arising from the process of implementation of agreement and other arrangements in conformity with the Fund’s managerial requirements.
2. Notwithstanding provisions laid down in clause 1 of this Article, involved parties may agree on other matters in compliance with provisions laid down herein and other relevant laws.
3. Lending agreement between the designated bank and a small and medium enterprise must be made in writing and must be consistent with the indirect lending agreement between the Fund and the designated bank as provided in clause 1 and clause 2 of this Article.
Section 3. FINANCING
Article 28. Fund’s financing principles
1. The Fund shall partially finance construction of facilities and purchase of machinery and equipment for use in production and business plans or projects of small and medium enterprises that meet requirements defined in clause 1 of Article 29 herein.
2. The financing currency unit must be Vietnamese dong.
Article 29. Financing requirements and rate
1. Small and medium enterprise shall be eligible for the Fund's consideration and decision to approve financing when meeting requirements set out in point a, b and c of clause 1 or point a and b of clause 2 or point a and b of clause 3 of Article 16 herein.
2. The maximum financing rate shall be 01 billion dong per each production and business plan or project, but not exceeding 50% of total investment in construction of workshops and purchase of machinery and equipment.
Article 30. Application requirements and procedures for financing
1. Application documentation for financing shall be composed of the followings:
a) Application form for financing submitted from small and medium enterprises;
b) Dossiers on production and business plans and projects of small and medium enterprises, other documents evidencing that enterprises meet financing requirements prescribed in clause 1 of Article 29 herein.
2. Small and medium enterprises shall submit the application package for financing at the Fund’s main office or by post.
3. The Fund shall receive and verify the adequacy of application documentation for financing; assess the feasibility of production and business plan or project and other financing requirements prescribed herein; issue a decision on approval of financing and inform requesting small and medium enterprises in writing. In case of refusal of financing, the Fund shall inform the requesting enterprise with clear reasons for such refusal.
4. The Fun shall be responsible for issuing verification and assessment procedures, making a decision on whether application for financing is accepted, disbursing financing capital according to the principles of clear distinction of responsibilities and obligations of individuals or organizations involved in the process of verification, assessment and grant of the financing decision and disbursement of financing capital.
5. The Fund shall establish a review committee to consider granting decisions on approval of financing. The Members' Board of the Fund shall decide the organizational structure of the review committee.
6. The Fund shall have the right to hire independent consultant or establish the financing advisory group composed of scientists, administrators and/or experts with proper specializations to give their counsels on financing.
Article 31. Financing agreement
1. Financing agreement between the Fund and the receiving small and medium enterprise shall be made in writing, must comply with provisions laid down herein and must include at least the followings:
a) Information about the legal person of the Fund and the receiving small and medium enterprise, place and time of entry into such agreement;
b) Contractual terms and conditions regarding financing form, amount, purposes of finances and financing currency unit, disbursement of finances and effect of the financing agreement;
c) Rights, obligations and liabilities of each party involved; method for dealing with disputes or difficulties arising from the process of implementation of the agreement and other arrangements in conformity with the Fund’s managerial requirements.
2. Notwithstanding provisions laid down in clause 1 of this Article, involved parties may reach other agreement in compliance with provisions laid down herein and other relevant laws.
Article 32. Acceptance testing on constituents of investment projects receiving finances
1. Based on dossiers on acceptance testing of financing presented by the receiving small and medium enterprise, the Fund shall carry out the acceptance testing on financing.
2. Dossiers on acceptance testing on financing shall comprise the followings:
a) Application form for acceptance testing on financing, submitted by the receiving enterprise;
b) Documents and payment evidences related to investment in development of premises, purchase of machinery and equipment of production and business plan or project.
3. The Fund shall receive and assess the adequacy of dossiers on acceptance testing on financing; verify such dossiers and conduct the acceptance testing on its financing.
4. The Fund shall be responsible for issuing verification, assessment and acceptance testing procedures to ensure compliance with the principles of fairness and public disclosure.
5. On an annual basis, the receiving enterprise shall be responsible for sending the Fund a review report on performance of production and business plan or project already receiving finances or its financial statement.
Section 4. CAPACITY IMPROVEMENT SUPPORT
Article 33. Capacity improvement support activities
1. After considering funds available for its operations and annual business plan, the Fund shall decide to host seminars, communicate, train in, counsel, promote investment and trade, provide information and data for capacity improvement support for small and medium enterprises, and must ensure efficient support for right beneficiaries.
2. After considering funds available for its operations and annual business plan, the Fund shall decide to formulate a research and development support project or scheme; formulate project or scheme for development of incubation facilities, technical establishments and coworking spaces as a way to support small and medium enterprise, and petition the Prime Minister or the Ministry of Planning and Investment to approve it under their respective jurisdiction.
Tìm kiếm
Nghị định 39/2019/NĐ-CP (Bản Word)
Nghị định 39/2019/NĐ-CP (Bản Pdf)