The State Bank of Vietnam (SBV) issued Document No. 5457/NHNN-TTGSNH dated July 12, 2017 on the establishment of the wholly-owned bank in Laos of the Joint-Stock Commercial Bank for Foreign Trade of Vietnam (Vietcombank). Specifically:
Name: Vietcombank Laos Limited; Abbreviation: Vietcombank Laos; Headquarters: Vientiane, Laos.
The initial charter capital is USD 80 million; operational duration is the rest of operational duration of VCB. The operational content including all activities that VCB is allowed to carry out in line with laws of Vietnam and Laos.
The SBV requires VCB to implement procedures for inaugurating Vietcombank Laos within 24 months from the date of signing. The Document will cease to be effective in case that the opening of Vietcombank Laos not completed as scheduled.
VCB is responsible for complying with laws on offshore investment and regulations relating to the establishment and operation of the bank’s oversea wholly-owned subsidiary; Ensuring the minimum capital adequacy ratio (non-consolidated and consolidated), limitation of capital contribution, share purchasing and other adequacy ratios in banking activities before, during and after establishing Vietcombank Laos; Carrying out procedures for establishing and inaugurating Vietcombank Laos in compliance with the local laws; Submitting report to the SBV at least 14 days before inaugurating Vietcombank Laos; Managing and monitoring the wholly-owned subsidiary in Laos to ensure the safe and secured operations in compliance with the local regulations.
Thoa Le