The State Bank of
Accordingly, to be eligible for purchasing corporate bonds, a foreign credit institution or bank branch must be a commercial bank, finance company or foreign bank branch established and operating under the Law on Credit Institutions, have establishment and operation licenses issued by the State Bank permitting the purchase of corporate bonds, satisfy the requirements on prudential ratios to assure operation safety in compliance with the State Bank’s regulations, have an internal system of credit ranking including credit ranking for bond issuers; and issue regulations on purchase of corporate bonds in accordance with this Circular and relevant legal documents.
Foreign bank branches are not allowed to purchase convertible bonds.
The purchase of corporate bonds by foreign credit institutions and bank branches must comply with the Law on Credit Institutions, the Securities Law, the Enterprise Law, this Circular and relevant legal documents; the purchase of convertible corporate bonds must comply with the Law on Credit Institutions and the State Bank’s guidance on capital contribution and share purchase.
Corporate bonds must be purchased in
This Circular requires foreign credit institutions and bank branches to issue their own regulations on corporate bond purchase and send them to the Financial Surveillance Agency for the purpose of surveillance of their corporate bond purchase. Corporate bonds purchased by foreign credit institutions and bank branches before October 20, 2011, are allowed to be held by purchasers until their maturity.-