Investors are interested in participating in the restructuring of Standard Chartered Bank

The National Bank said it is studying the requests of multiple investors to participate in the restructuring of Standard Chartered Bank and will submit the Standard Chartered Bank restructuring plan to the government in accordance with regulations. According to the report of the Ministry of Planning and Investment on Economic Structural Adjustment, the agency said that over the past two years, the State Bank (SBV) promoted the restructuring of the credit institution system (TCTD).

In particular, the National Bank is studying the proposal of multiple investors to participate in the restructuring of Saigon Commercial Joint Stock Bank (SCB) and will submit the plan to restructure the bank to the government as soon as possible in accordance with regulations.

There are currently 5 banks subject to special supervision, including CBBank, OceanBank, GPBank, DongABank and SCB.

Therefore, SCB will be placed under special supervision from October 2022. In 2023, the bank will cease opening 39 branches and trading offices across the country. In 2024, SCB has just announced that it will continue to terminate the operations of 5 trading offices in Ho Chi Minh City and Da Nang.

In addition, the National Bank has also submitted the compulsory transfer policies of the remaining four banks, including OceanBank, CBBank, GPBank and Dong A Bank, to the competent authorities and has received approval from the competent authorities.

>> Vietcombank (HM:) announces 2023 profit, bank transfers weak

Relevant departments are reviewing and preparing to approve the restructuring plans of these banks in accordance with the prescribed order and procedures.

In fact, the restructuring of weak banks is already behind schedule. The National Audit Office’s report on the results of the 2023 national bank audits shows that plans to deal with weak credit institutions remain slow and have continued for many years (from 2015 to the present).

The state audit said that due to the continued losses in these banking activities, the extension of the processing schedule resulted in an increase in the expected resources to be supported in the form of special loans. The total amount of special loans from four units (CBBank, OceanBank, GPBank and Dong A Bank) is expected to be VND 168 trillion.

>>Governor of the National Bank: Weak banks and increasing bad debts will be dealt with in 2024

The national audit report also clearly stated: As of the time of the audit (August 2023), the processing of the three compulsory acquisition banks was only in the stage of government approval of the compulsory transfer policy and was in the compulsory transfer stage. transfer. The enterprise value determination stage of compulsory transfer. The government has approved a new bank for mandatory transfers.

The investigation report of the National Assembly Economic Committee commented that the process of implementing and disposing of weak banks faces many difficulties in terms of legal corridors and support mechanisms.

>> The Politburo requires the introduction of plans to completely resolve the weak links of commercial banks