State Bank of the Democratic Republic of Vietnam

the sole bank of issue, payments, credit, and clearing of the Democratic Republic of Vietnam. Founded in 1951, it issues banknotes, controls money circulation, organizes the payment and clearing services of the national economy, carries out the cash fulfillment of the budget, and sets up transactions with foreign currency and precious metals. The bank grants short-term credits to all branches of the national economy and long-term credits to agricultural, purchasing-marketing, and other cooperatives. More than 85 percent of the long-term investments of the bank are made through the system of credit cooperatives. In 1961 a system of differential treatment of well and poorly working enterprises was introduced. Preference is given to supplying funds for paying wages to production and clerical workers. The main office of the bank is in Hanoi, with branches in the provinces, large towns, and districts.