The State Bank of Viet Nam (SBV) must direct commercial banks to meet all payment and cash demands of individuals and firms during Tet (Lunar New Year).

It was under Directive No. 22/CT-TTg issued last week by Prime Minister Pham Minh Chinh with an aim to prepare for the country’s largest festival Tet, which falls on January 22, 2023.

Under the directive, the Prime Minister requested the SBV to proactively monitor the global and domestic economic developments in order to manage the monetary policy cautiously and flexibly.

Interest rates and exchange rates must be managed reasonably and in line with the market situation to ensure the stability of the monetary and foreign exchange markets, the Prime Minister noted.

The monetary policy must be closely coordinate with fiscal policy and other macroeconomic policies in order to contribute to controlling inflation, stabilising the macro-economy and ensuring the great balance of the economy, according to the directive.

The Prime Minister also required the SBV to strengthen inspection and supervision of operation of credit institutions and foreign bank branches, ensuring the safety of the entire banking system.

The SBV must also direct commercial banks to proactively develop and implement specific plans for ATM operations at the end of this year and the upcoming Lunar New Year, including cash plans for ATM, ATM funds, staff and maintenance for ATMs.

Commercial banks are directed to closely monitor to detect and refill ATMs that run out of money; take measures to promptly handle and respond to incidents and situations to ensure safe and smooth operation of the ATM system; promptly support and solve customers' problems during ATM transactions, prioritise quick handling of cases where ATMs swallow cards.

According to the current legal regulations, commercial banks will be fined VND15 million for ATM machines that run out of cash. A fine of VND10-15 million will be imposed on banks that suspend ATM operations without a 24-hour notice. — VNS