Case of price stabilization in Vietnam

According to Decree No. 177/2013/ND-CP of Vietnam’s Government, the Government implements price stabilization for goods and services in the following two cases:

Firstly, when the market price of the goods or services specified in Article 3 of this Decree has unexpected changes occurring in the following cases:

- The purchase or selling price in the market increases too high or decreases too low unreasonably compared with the increase or decrease due to the impact of price formation elements calculated according to the policy regulations, technical and economic norms or pricing methods issued by the state competent authority;

- The purchase or selling price in the market increases or decreases unreasonably in case of natural disasters, fires, epidemics, sabotage, financial - economic crises, temporary imbalance of supply and demand.

Secondly, when the price level fluctuates and affects the economic and social stability, negatively impacts the production and people's lives.

The List of goods and services subject to price stabilization as stipulated in Article 15 of the Law on Prices of Vietnam.

Besides, Decree No. 177/2013/ND-CP stipulates that the price stabilization fund is not included in the state budget balance and is only used for the purpose of price stabilization as prescribed by the competent state agencies. The price stabilization fund is set up from the source as prescribed in Clause 3, Article 17 of the Law on Prices.

View other provisions at Decree No. 177/2013/ND-CP of Vietnam’s Government, effective from January 01, 2014.

Thu Ba

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