Quảng Ninh Museum was being repaired after the typhoon Yagi hit the northern province. Commercial banks are allowed to extend debt repayment deadline for Typhoon Yagi – affected borrower to the end of 2027. — VNA/VNS Photo Đức Hiếu

HÀ NỘI — Commercial banks are allowed to extend debt repayment deadlines for Typhoon Yagi–affected borrowers until the end of 2027 at the latest, according to a circular recently issued by the State Bank of Việt Nam.

The debt restructuring will be based on the individual situations of the borrowers and the financial capacity of the credit institutions.

The circular applies to borrowers in 26 northern provinces and cities that were heavily affected by the typhoon, including Hà Giang, Cao Bằng, Lạng Sơn, Bắc Giang, Phú Thọ, Thái Nguyên and Bắc Kạn.

Credit institutions classify debts and set up risk provisions for restructured loans following established regulations.

The Ministry of Agriculture and Rural Development estimated that Typhoon Yagi in September caused damages to the economy worth a total of VNĐ81.5 trillion.

More than 94,000 borrowers with total outstanding loans of VNĐ165 trillion were heavily affected by the typhoon. — VNS