Wednesday, July 10, 2024
Wednesday, July 10, 2024
Home » Vietnam Real Estate Decree Meets Dissent

Vietnam Real Estate Decree Meets Dissent

by Kalani Malaythong
0 comment 62 views

The State Bank of Vietnam (SBV) several months ago enacted a legal requirement to make it easier for real estate companies to get bank loans, but the legal effort has not worked out as intended.

The decree issued by the SBV on June 28 and expected to take effect on Sept 1, is a revised version of earlier regulations covering the lending activities of credit institutions and branches of foreign banks.

The Vietnam Association of Realtors (VAR) is calling for the repeal of the latest decree because it fails to capture the spirit regulations centred around measures to promote the development of a sound real estate market.

According the VAR the decree does not clearly define the scope of its beneficiaries and the ambiguity has led to a situation where who gets loans is left to the discretion of banks themselves.

The VAR said many banks could exploit that to refuse loans to companies in distress, rendering the decree ineffective.

Source: The Star

You may also like

Hanoi Observer is a global leader in the online news. We seek to inform and engage with our readers. Staffed 24 hours, seven days a week by a dedicated team around the globe, we deliver news from journalists around the world. We are contrarian truth-seekers and truthtellers. We are journalists united by a mission to inform and engage with our readers.

We bear witness to history as it unfolds and explain not just what happened, why it happened and what it means to our readers and the public.

We are contrarian, we are committed to the news, speaking truth to power.

Hanoi Observer, A Media Company – All Right Reserved.