What are principles for intracorporate credit rating systems in Vietnam?

Principles for intracorporate credit rating systems in Vietnam are specified in Clause 2, Article 5 of Circular 11/2021/TT-NHNN, specifically as follows:

2. An intracorporate credit rating system must be built according to the following principles:

a) It should be developed based on data and information of all borrowers collected during at least 01 (one) year immediately preceding the year of establishment of the intracorporate credit rating system;

b) At least once a year, the intracorporate credit rating system must be reviewed, revised and updated on the basis of data and information of borrowers collected during the entire year;

c) There are regulations for rating levels corresponding to the levels of risk that are from low to high;

d) It must be approved for use by the Governing Board (if it is used by a credit institution that is registered as a joint-stock company), the Board of Directors (if it is used by a credit institution that is a limited liability company), the General Director or the Director (if it is used by a foreign bank branch).

Best Regards!