Introduction

For Chinese “going out” enterprises’ subsidiaries in Vietnam which have demand to apply for credit support from banks for the purpose of supporting production and business operation, the subsidiaries can apply for credit facility from the Bank of China (Hong Kong) Limited Ho Chi Minh City Branch under the following precondition: the credit facility shall be secured by a stand-by Letter of Credit or Financing Guarantee issued by Bank of China or other commercial bank in which the Bank is appointed as the beneficiary.

Features

1. Product can meet the financing needs for the "going out" enterprises to establish subsidiaries in Vietnam: for subsidiary companies whose parent companies are enterprises with good financial strength in China, while these subsidiaries still have limited financial strength or still not qualified for applying for financing credit independently from Bank of China (Hong Kong) Limited Ho Chi Minh City Branch. Therefore, the subsidiary may solve its financing needs through this “Credit Facility Secured by SBLC”.
2. Simple and convenient procedures: the financing application is handled through guarantee with rapid examination and approval of credit line, as well as easy procedures.

Currency

Vietnam Dong.

Borrower can apply for foreign currency loan provided such loans used as overseas payment for imported goods and services and for borrowers to manufacture and trade goods which are exported through Vietnam's border checkpoints, provided the foreign currency derived from the turnover is sufficient to repay such loans (excluding foreign currency sources from capital injection, investment capital, foreign loans or other sources not from production and business operation).

Interest rate

Applied in accordance to the loan interest rate management regulations of the Bank and the provision of contract.

Related Charges

Charges are subject to the contract.

Target customers

Suitable to enterprises that are subsidiaries or affiliated companies in Vietnam having parent companies or affiliated companies in China, who need financing from Bank of China (Hong Kong) Limited Ho Chi Minh City Branch for business activities.