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On 31st December 2015, the Governor of the SBV issued Circular No.32/2015/TT-NHNN stipulate limits, prudential ratios in operation of People Credit Fund which takes effectively from 1st March 2016.
Accordingly, People Credit Funds must regularly maintain the minimum capital adequacy ratio of 8%.
End of workday, the PCF must maintain the minimum liquidity ratio of 1 in the next working day and next 07 working days.
PCF must maintain the maximum ratio of short-term funds which are used for medium and long-term loans is 30%.
Circular stipulates lending limits which consistent with the provisions of Article 126 and Article 127 of the Credit Law and activities of the PCF in order to limit credit concentrating on managers and ensure not to cause moral hazard.