Vietnam's c.bank says no to new joint stock banks

HANOI, Aug 8 (Reuters) - Vietnam's central bank said on Friday it will stop licensing the operation of new joint stock banks while adjusting regulations on the establishment of domestic banks.

The government has asked the State Bank of Vietnam to make 'appropriate' the regulations on new banks, the central bank cited a government document issued on July 29 as saying.

"While the new criteria are not published, the establishment of new commercial joint stock banks is temporarily put on hold," the central bank's statement said, without elaborating.

Vietnam, where about 10 percent of its 86.5 million people have bank accounts, has 37 joint stock banks, part of them owned by private companies and individuals.

The central bank said it had received more than 20 applications to establish banks, but only two have been licensed and started operation while Vietnam has been tightening its credit growth this year to fight inflation.

On the other hand, the government has told state-owned corporations to focus on their core businesses instead of spreading investment in various fields from real estate to banking.

Last month, state oil monopoly Petrovietnam said it had decided to withdraw interest in contributing funds to establish Hong Viet Bank, following the government's guidance. (Reporting by Ho Binh Minh; Editing by Ben Tan)