On 30/06/2023, the State Bank of Vietnam issued Circular 08/2023/TT-NHNN on conditions for foreign loans not guaranteed by the Government. Upon taking effect from 15/08/2023 (except for the provisions on short-term foreign loan limits, which take effect from 01/01/2024), Circular 08 will replace Circular 12/2014/TT-NHNN guiding foreign exchange management for foreign borrowing and debt repayment by enterprises. Circular 08/2023/TT-NHNN contains a number of notable provisions as follows:

(i) Adding principles on the use of foreign loan proceeds and regulations on foreign loans in the form of deferred-payment imports of goods

(ii) Adding a definition of a foreign debt restructuring plan and the basic contents required in such a plan

(iii) Specific regulations on the purposes of foreign borrowing

(iv) Regulations on foreign borrowing limits applicable to medium- and long-term foreign loans.