On December 26, 2025, the Governor of the State Bank of Vietnam (SBV) signed and promulgated Circular No. 53/2025/TT-NHNN governing the operational network of cooperative credit institutions. This significant legal instrument contributes to strengthening the regulatory framework for the operations of Co-opBank and the People’s Credit Funds (PCFs) network, ensuring unified and rigorous oversight while creating favorable conditions for cooperative credit institutions to develop in a stable, secure, and sustainable manner.
Build and Enhance the Existing Legal Framework
Prior to the issuance of Circular No. 53/2025/TT-NHNN, the operational network of cooperative credit institutions was primarily governed by Circular No. 09/2018/TT-NHNN issued by the SBV Governor. This circular established a critical legal foundation for managing the operational network of Co-opBank and the PCFs network, stipulating fundamental principles, conditions, authority, and procedures governing the establishment, renaming, relocation, suspension of operations, and dissolution of network entities.
During the course of implementation, in alignment with requirements for modernizing state administration, streamlining administrative procedures, and ensuring banking system stability, the SBV has progressively refined and supplemented relevant regulations to ensure their continued relevance and effectiveness. Notably, Circular No. 27/2022/TT-NHNN amended and supplemented several provisions concerning the delegation of authority for processing administrative procedures in the banking establishment and operations sector, including procedures related to the operational network of cooperative credit institution
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Accordingly, the authority to process certain administrative procedures has been more clearly and specifically delegated to SBV branches. This measure contributes to reducing dossier processing times, enhancing the autonomy of local regulatory agencies, while maintaining the unified oversight role of the SBV. Such delegation has improved regulatory efficiency, alleviated pressure on central authorities, and created more favorable conditions for cooperative credit institutions to organize and optimize their operational networks.
Building upon the provisions of Circular No. 09/2018/TT-NHNN and the amendments introduced by Circular No. 27/2022/TT-NHNN, the issuance of Circular No. 53/2025/TT-NHNN represents a significant advancement in strengthening the legal framework. The new Circular systematizes, updates, and standardizes regulations governing operational networks while addressing deficiencies identified during previous implementation. It ensures consistency with current legislation and achieves better alignment with the operational realities of Co-opBank and the PCFs network in their current development phase.
Specify regulations on operational networks
Circular No. 53/2025/TT-NHNN comprises five chapters and 49 articles, providing comprehensive regulations covering general principles, conditions, authority, procedures, and protocols related to the establishment, commencement of operations, name or location changes, operational suspension, and dissolution of the cooperative credit institution network.
Specifically, Chapter I – General Provisions (Articles 1 to 9) clearly delineates the regulatory scope, subjects of application, definitions of terms, and approval authority regarding operational networks. This chapter also establishes specific provisions governing the scope of activities of public service units, transaction offices of Co-opBank, and transaction offices of PCFs; operating areas and naming conventions for branches and transaction offices; the permissible number of branches and transaction offices; principles for preparing, submitting, receiving, and returning application dossiers; and network management regulations.
These foundational provisions facilitate uniform interpretation and implementation throughout the entire system while providing a clear legal basis for oversight and supervision by competent state authorities.
Detailed regulations on Co-opBank’s operational network
Chapter II (Articles 10 to 29) provides detailed regulations governing Co-opBank’s operational network, encompassing all critical aspects including conditions for establishing branches, transaction offices, representative offices, and public service units; documentation requirements, procedures, and approval processes for establishment; commencement of operations and information disclosure; changes to name, head office location, or managing branch of a transaction office; operational suspension and dissolution (by operation of law, voluntary, or compulsory); and disclosure of information regarding suspension and dissolution.
Additionally, the Circular clearly delineates Co-opBank’s responsibilities for providing and notifying information to SBV regional branches and business registration authorities concerning matters related to the operations of branches, transaction offices, and representative offices.
Strengthen Oversight of the PCF’s Operational Network
For the PCFs network, Chapter III (Articles 30 to 43) establishes detailed provisions governing conditions, documentation requirements, and approval procedures for transaction office establishment; commencement of operations; changes to name and head office location; operational suspension and dissolution of transaction offices (by operation of law, voluntary, or compulsory); as well as information disclosure and responsibilities for providing and notifying information to state regulatory agencies and business registration authorities.
Clearly defining and articulating these provisions contributes to strengthening regulatory compliance and systematic oversight of the PCF’s operational network, ensuring that transaction offices operate within their designated service areas, in accordance with their governance capacity, and in fulfillment of their mandate to serve members and local communities.
Clear delineation of responsibilities and practical significance
Chapter IV (Articles 44 – 46) clearly delineates the responsibilities of cooperative credit institutions; the SBV Regional Branches in whose jurisdictions branches, transaction offices, representative offices, and public service units are located; and relevant departments and units of the SBV.
These provisions establish a critical foundation for ensuring coordinated implementation and effective supervision of compliance with the Circular’s regulations.
Chapter V – Implementation Provisions (Articles 47 – 49) establishes transitional arrangements, implementation responsibilities, and the effective date. Accordingly, Circular No. 53/2025/TT-NHNN will take effect on February 9, 2026.
The issuance of Circular No. 53/2025/TT-NHNN demonstrates the SBV’s strong commitment to further strengthening the legal framework governing the cooperative credit institution model, a vital component of the banking system intrinsically linked to the collective economy, agriculture, and rural development. The Circular not only enhances the effectiveness and efficiency of state oversight but also establishes a clear and transparent legal foundation, enabling Co-opBank and the PCFs network to organize and optimize their operational networks in an appropriate, secure, and sustainable manner during this new development phase.
Nguyen Quan
