Can foreigners residing in Vietnam transfer money overseas? Who is allowed to use foreign exchange in the territory of Vietnam?
Who is allowed to use foreign exchange in the territory of Vietnam?
Article 2 of Circular 32/2013/TT-NHNN stipulates as follows:
"Article 2. Subjects of application
1. Organizations and individuals being residents and non-residents and having activities of foreign exchange in Vietnam’s territory.
2. Organizations and individuals being residents involving management, examination, inspection and handling of violations in activities of foreign exchange."
Article 3 of Circular 32/2013/TT-NHNN stipulates as follows:
"Article 3. Principles in restricting the use of foreign exchange in the territory of Vietnam
In Vietnam’s territory, except for the cases allowed to use foreign specified in Article 4 of this Circular, all transactions, payments, listing, advertisements, quotations, pricing, prices in contracts, agreements other similar forms (including conversion or adjustment of prices of goods and services, the value of contracts and agreements) of residents and non-residents are not allowed to be conducted in foreign exchange."
Thus, according to the above-mentioned provisions, individuals and organizations in the cases specified in Article 4 of this Circular are allowed to conduct foreign exchange transactions.
Can foreign individuals residing in Vietnam transfer money overseas?
According to the provisions of Clause 2 Article 4 of Circular 16/2014/TT-NHNN supplemented by Point b Clause 4 Article 17 of Circular 49/2018/TT-NHNN guiding the use of foreign currency and Vietnamese dong accounts for residents and non-residents at authorized banks as follows:
"Article 4. Using foreign currency account of residents as individuals
The residents as individuals are entitled to use foreign currency account at the authorized banks to transact their receipts and expenditures as follows:
...
2. Expenditures:
a) Sale of foreign currency to authorized credit institutions;
b) Remittance or payment for current account or capital transactions under regulations of law on foreign exchange management;
c) Conversion to other foreign currencies under regulations of State Bank of Vietnam;
d) Conversion to other payment instruments in foreign currency;
dd) Donation or offer as stipulated by laws;
e) Withdrawal of foreign currency cash;
g) Transfer to overseas residents being foreign individuals;
h) Transfer to foreign currency saving accounts opened at the authorized bank for residents as Vietnamese citizens;
i) Payment for the items that may be paid in foreign currencies under regulations of the State Bank of Vietnam on the use of foreign currencies in the territory of Vietnam;
k) Wire transfer of foreign currency cash to a term deposit account held at authorized credit institutions in accordance with regulations and law on term deposits."
Accordingly, the law only provides that resident individuals can use foreign currency accounts to transfer money overseas.
Thus, from the above articles, foreign individuals residing in Vietnam are allowed to transfer money overseas.
Depending on the regulations and conditions required by the bank in terms of procedures, you can contact the bank to be provided details.
Can foreign organizations residing in Vietnam transfer money overseas?
According to the provisions of Article 3 of Circular 16/2014/TT-NHNN as follows:
"Article 3. Using foreign currency account of residents as organizations
The residents as organizations are entitled to use foreign currency accounts at the authorized banks for transactions of receipts and expenditures as follows:
...
2. Expenditures:
a) Sale of foreign currency to authorized credit institutions;
b) Remittance or payment for current account or capital transactions under regulations of law on the foreign exchange management;
c) Conversion to other foreign currencies under regulations of State Bank of Vietnam;
d) Conversion to other payment instruments in foreign currency;
dd) Withdrawal of foreign currency to individuals working for organizations when being sent abroad for business trips;
e) Wire transfer or withdrawal of foreign currency cash for payment, bonus or allowance to the residents or non-residents as foreign individuals;
g) Payment for items allowed to be paid in foreign currencies under regulations of the State Bank of Vietnam on the use of foreign exchange in the territory of Vietnam;
h) Wire transfer of other legal transactions under regulations of law on foreign exchange management."
In addition, the organizations are also allowed to conduct transactions on direct investment accounts in Vietnamese dong under the forms in Article 7 of Circular 06/2019/TT-NHNN as follows:
"Article 7. Revenues and expenditures transactions on direct investment accounts in Vietnamese dong
…
2. Expenditures:
a) Amounts transferred to Vietnamese dong demand accounts opened at authorized banks of the same FDI enterprise, the foreign investors involving in BCC or directly implementing PPP projects, project managers of petroleum projects according to laws on petroleum for foreign direct investment in Vietnam ;
b) Payments for transfer of stakes and investment projects to transferors in Vietnam or payments for the purchase of foreign currencies for such transactions to overseas transferors in accordance with provisions prescribed in Article 10 of this Circular;
c) Payments for purchasing foreign currency at authorized credit institutions to transfer their capitals, profits and legal earnings overseas;
d) Transfer of direct investment in Vietnamese dong to Vietnamese investors or payments for purchasing foreign currencies to be transferred as direct investment to foreign investors in case of capital reduction, finish, termination of investment projects, BCC, PPP contracts in accordance with law on investment;
dd) Payments relating to foreign loans in Vietnamese dong of FDI enterprises which are eligible to be granted overseas loans in Vietnamese dong according to current laws on taking and repaying overseas loans;
e) Other lawful expenditures in Vietnamese dong relating to foreign direct investment in Vietnam."
Thus, foreign organizations are also allowed to transfer money overseas, conduct transactions of other lawful expenditures in accordance with the law on foreign exchange management.
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