What are rules of rediscounting negotiable instruments among credit institutions and foreign bank branches in Vietnam?
Regarding the rediscount of negotiable instruments among credit institutions and foreign bank branches, I would like to ask about: What is implementation of rules of rediscounting negotiable instruments in Vietnam?
What are rules of rediscounting negotiable instruments among credit institutions and foreign bank branches in Vietnam?
Pursuant to Article 3 of Circular 18/2021/TT-NHNN stipulating rules of rediscounting negotiable instruments among credit institutions and foreign bank branches as follows:
1. Credit institutions and FBBs are allowed to rediscount negotiable instruments when the License issued by State Bank of Vietnam (hereinafter referred to as “SBV”) includes rediscounting of negotiable instruments.
2. Credit institutions and FBB shall rediscount negotiable instruments in accordance with this Circular, the Law on Credit Institutions, the Law on Negotiable Instruments, and relevant law provisions. In case the rediscounting of negotiable instruments involves foreign factors, the parties shall conform to this Circular, the Law on Credit Institutions, regulations on adoption of international treaties, international trade practices in relation of negotiable instruments that involve foreign factors under the Law on Negotiable Instruments and regulations on civil relations that involve foreign factors.
3. Credit institutions and FBBs shall rediscount negotiable instruments in foreign currency within their permissible foreign exchange operations.
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