The headquarters of the Vietnam Asset Management Company (VAMC) on Hanoi's Hang Voi Street. (Photo: tinnhanhchungkhoan.vn) Hanoi (VNS/VNA) - The State Bank of Vietnam (SBV) has proposed expandingthe Vietnam Asset Management Company's (VAMC) operations, saying the agencyshould purchase and sell bad debts and assets of all sectors in the economy.
VAMC shouldbe developed into a centre of bad debts handling and restructuring of thecredit institution system, the SBV said in a Decision on the DevelopmentStrategy of VAMC until 2030 it recently approved.
VAMC istasked with promoting the development of the debt trading market, ensuring thesafe and sustainable development of credit institutions, the Decision said.
Inthe 2018 - 2020 period, VAMC's goal is to buy at least 330 trillion VND (14.3billion USD) of total accumulated bad debts. Of the estimate, VAMC is expectedto buy a minimum of 12 trillion VND - 13 trillion VND of bad debt under marketvalue.
The Decisionsaid VAMC played the central role in the bad debt trading market,developing a project on a Debt Exchange to submit to competent authorities forapproval.
After theexchange is approved, VAMC will set up and operate the exchange. It will alsoestablish an Asset Management Club whose members includes VAMC and debt andasset management companies under credit institutions.
Inthe 2021-2025 period, VAMC must complete the establishment and put intooperation the Debt Exchange. At the same time, it will build up a debt andasset data centre which will be connected with the National Credit InformationCenter (CIC) and credit institutions to create more data sources to exploit.
Inthe 2026 - 2030 period, the State Bank proposed expanding VAMC'soperations, saying the agency should purchase and sell bad debts and assets ofall sectors in the economy, promoting investment and asset exploitationactivities, asset trading and asset valuation consultation.
VAMC willalso provide financial consultation services for building strategic developmentfor investors and business mergers and acquisitions.
The StateBank will send petitions to competent authorities to supplement capital to VAMCso that its capital reaches 10 trillion VND in the 2020-2021 period.
The StateBank will instruct VAMC to promote debt retrieval, strengtheningfacilities, investing in IT systems and offices, improving the quality of humanresources and enhancing financial capacity.
The StateBank also proposed VAMC mobilise capital from domestic and internationalorganisations and individuals in accordance with the law.
The bankalso requires VAMC to cooperate with domestic and foreign investors to participatein corporate restructuring, M&A in accordance with the law./.
VNA
