Vietnam Allows SMEs to Use Digital Assets as Loan Collateral in Draft Law on June 1

According to Vietnam's Ministry of Finance, on June 1, the ministry proposed allowing small and medium-sized enterprises (SMEs) to use digital, virtual, and intellectual property assets as loan collateral in a draft revision of the Law on Support for SMEs. The measure aims to broaden financing access for SMEs, which account for 98 percent of enterprises in Vietnam but receive only about one-fifth of total outstanding credit.

The proposal encourages financial institutions to prioritize credit ratings, business plans, and cash flow performance over fixed-asset collateral. It also includes support measures for green and sustainable businesses, including preferential credit guarantees and interest rate assistance for environmentally focused projects.