Responsibilities of the State Bank of Vietnam’s Exchange under SBV regarding the issuance of treasury bills

To be specific:, Clause 2, Article 13 of Circular 16/2019/TT-NHNN stipulates the responsibilities of the Transaction Center under the State Bank of Vietnam for the issuance of State Bank bills. To be specific:

Illustrative image (source: internet)

- Perform responsibilities as currently regulated for the bidding of State Bank bills through open market operations;- For the compulsory issuance of State Bank bills:

- Notify credit institutions of the compulsory issuance of State Bank bills as decided by the Governor of the State Bank of Vietnam;- Execute the issuance, collect sales proceeds, calculate late payment penalties, and redeem State Bank bills upon maturity for credit institutions, and perform accounting according to the regulations;- Handle cases where credit institutions fail to pay or partially pay for the compulsory issuance of State Bank bills as stipulated in Clause 2, Article 12 of this Circular; Send a document to the Banking Supervision and Inspection Agency listing credit institutions that have failed to fully pay for the compulsory issuance of State Bank bills immediately after the deadline for debt deduction;- Serve as the focal point for addressing difficulties and obstacles arising during the process of compulsory issuance of State Bank bills;

- Carry out the custody and procedures for transferring ownership of State Bank bills; Serve as the focal point to advise the Governor of the State Bank in deciding to allow the Vietnam Deposit Insurance to open a custodian account for State Bank bills at the State Bank;- Summarize and report to the Governor of the State Bank and concurrently send to the Monetary Policy Department the results of State Bank bill issuance after each issuance session.

For details, refer to Circular 16/2019/TT-NHNN which takes effect from December 9, 2019.

Thu Ba

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