The concept of a foreign loan is known for the purpose of supporting business loan needs for businesses that have borrowed capital from foreign enterprises. And of course, this is also part of the business that accountants at businesses need to pay attention to, especially during tax audits. As we all know, for foreign loans, medium/long-term loans are self-borrowed and self-pay foreign loans, which must be registered with the State Bank. Are short-term loans required to be registered with the State Bank? In the following article, Pham Consult would like to send you information directly related to this issue


– Short-term loans are loans with a maximum loan term of 01 (one) year.

– Medium-term loans are loans with a loan term of more than 01 (one) year and a maximum of 5 (five) years.

– Long-term loan is a form of term loan over 05 (five) years.

Accordingly, a typical short-term loan does not have to apply for a loan. But for short-term loans in the case of Article 11, Circular 12/2022/TT-NHNN, the loan will have to be registered to the State Bank, including:

  • Short-term loans whose principal repayment period is renewed have more than 01 (one) year of maturity term.
  • Short-term loans which are not covered by any loan renewal contract but remain the outstanding principal owed (including outstanding interest included in principal) on the anniversary of the date of the first withdrawal of loan proceeds in a full 01 (one) calendar year, except to the extent that borrowers have already paid their principal debt within a permitted duration of 30 (ten) days after the anniversary of the date of first withdrawal of loan proceeds in a full 01 (one) year.

APPLICATION DOCUMENTS (Article 16, Circular 12/2022/TT-NHNN)

  1. An application for a foreign loan is not guaranteed by the government.
  • The online form: The borrower makes a declaration of a Foreign Loan Application that is not guaranteed by the Government on the Website to receive the Loan number, print the Application from the Website, sign and stamp.
  • The traditional form: The borrower completes the application (form according to Appendix 01 attached to the Circular)
  1. Copies of legal dossiers of borrowers: Establishment license, Business registration certificate, Cooperative registration certificate, Cooperative Union and amended and supplemented documents (if any) or other equivalent documents.
  2. Copy or original document proving loan purpose(for short-term loans)
  • Investment certificate, Investment registration certificate or Decision approving investment policies in accordance with the law on investment and current provisions of relevant laws;
  • Report on the use of short-term foreign loans that initially meet the regulations on short-term foreign loan conditions (accompanied by supporting documents such as the borrower’s plan to use foreign loans, the plan to structure foreign debts);
  1. Foreign language copies and Vietnamese translations of foreign loan agreements and agreements on extension of short-term loans into medium and long-term loans (if any) or capital withdrawal documents attached to general agreements.
  2. 5A written confirmationof the borrower’s account service-providing bank on the situation of capital withdrawal and repayment for the initial short-term foreign loan.



– How to perform:

+ Send by post

+ Submit directly to the competent authority

– Agency carrying out administrative procedures:

+ State Bank (Foreign Exchange Management Department): Loan over 10 million USD

+ State Bank branches in provinces and city branches: Loan up to 10 million USD

– Objects of administrative procedures: Enterprises are foreign borrowers

Fees: none.


Step 1: Borrower submits application file for loan application:

The borrower chooses to send 01 application in one of the following two forms:

+ Online according to the instructions on the Website: Make a declaration of the Loan Application Form on the Website to receive the Loan code, print the Application from the Website, sign and seal;

+ Send loan application documents by post or submit directly to the loan registration confirmation agency according to the competence. Complete the application form according to Appendix 01Application for foreign loan is not guaranteed by the Government receipt – attached to this Circular.

Duration for submission:

– 30 working days from the date of signing the agreement to extend the short-term foreign loan to medium or long-term for the loan specified in Clause 2, Article 11 of Circular 12/2022/TT-NHNN within 01 year from the date of the first withdrawal;

– 60 working days from the full day of 01 year from the date of the first capital withdrawal for:

Loans specified in Clause 2, Article 11 of this Circular, the date of signing the agreement to extend after 01 year from the date of first capital withdrawal; and Loans specified in Clauses 2 and 3, Article 11 of Circular 12/2022/TT-NHNN.


Step 2: The State Bank shall confirm or refuse to confirm loan registration (clearly stating the reason) within the time limit:

+ 12 days later if the borrower chooses to go online;

+ 15 days later if the borrower chooses the traditional method;

+ 45 working days for loans in Vietnam dong, which must be reviewed and approved by the Governor of the State Bank in accordance with current laws.


Step 3: Competent agencies are responsible for confirming the registration, confirming registration of foreign loan changes according to regulations.



The Investment Law 2020 takes effect from 01/03/2022.

Decree 31/2021/ND-CP takes effect from 26/03/2021.

Circular 12/2022/TT-NHNN guiding foreign exchange management for borrowing and repaying foreign debts of enterprises takes effect from November 15, 2022


In short, for a short-term loan with a term of up to 01 year according to the law, there is no need to register for a loan with the State Bank. However, short-term loans that have been extended or have outstanding principal balances mentioned above are considered short-term loans to long-term loans and must be registered for loans that are not guaranteed by the Government. Above is the basic content on the issue of registering short-term loans into long-term loans. Our company has a team of professional staff, many years of experience working with domestic and foreign partners, etc. Pham Consult is committed to providing high-quality services with reasonable fees. You can rest assured and accompany us in the process of applying for foreign loans as well as related issues.


To learn more about the procedures for applying for a foreign loan, the procedure for business dissolution as well as related issues, please contact Pham Consult – a unit specializing in providing tax and consulting services. Finance, Accounting services, preparation and payment of salaries. Customers can contact us via hotline: (84-28) 3930 2487 or Facebook communication channel if they need support..



Leave a Reply

Your email address will not be published. Required fields are marked *

WhatsApp chat