Circular No. 10/2001/TT-NHNN Guiding Implementation of Prime Ministerial Decision No. 1127/QD-TTg on Settlement of Bank Loans for Coffee Planters, Purchasers and Processors at Credit Institutions

This Circular, issued by the State Bank of Vietnam as Circular No. 10/2001/TT-NHNN, provides guidance for credit institutions and relevant parties to implement Prime Minister Decision No. 1127/QD-TTg dated 27 August 2001 concerning settlement of bank debts owed by persons engaged in growing, tending, purchasing and processing coffee. It applies to borrowers who are individuals or organizations directly involved in coffee production, tending, purchase and primary processing, and to the credit institutions that hold the debts. The Circular defines the scope and procedures for identifying eligible borrowers, classifying debt, determining outstanding principal and interest, preparing settlement dossiers, and implementing debt reduction, rescheduling, or conversion measures provided by the Decision. It specifies documentation required to prove eligibility, including identity and household or enterprise registration, evidence of coffee planting, purchase or processing activities, and loan contracts or repayment histories with the credit institution. Timelines and steps for credit institutions to review accounts, submit proposals and execute approved debt relief measures are set out, including coordinated responsibilities between branches and central offices. The Circular details the modalities for interest handling: calculation of due and overdue interest, conditions for waiving or reducing interest, and procedures for converting part of interest into principal when allowed. It prescribes criteria and ceilings for debt reduction and rescheduling in conformity with Decision No. 1127/QD-TTg and instructs credit institutions on bookkeeping entries and reporting to the State Bank. Provisions address treatment of collateral, guarantees, and assignment of claims, including handling where collateral values have changed. The Circular requires credit institutions to report implementation results periodically to the State Bank and to cooperate with local authorities in verification. It clarifies that this Circular guides implementation of Decision No. 1127/QD-TTg and takes effect from its date of signing; it supersedes any prior internal guidelines of credit institutions that conflict with these instructions. The Circular imposes obligations on credit institutions to ensure legality, transparency and timely resolution of eligible coffee-related debts in line with the Decision.