Procedure for Utilizing the Fund to Implement National Monetary Policy from February 20, 2020

The order and procedures for using the Fund for implementing national monetary policy are detailed in Article 7 of Circular 36/2019/TT-NHNN as follows:

Illustration (source: internet)

Decision on using the Fund to implement national monetary policy

- Providing loans to support credit institutions encountering incidents affecting the safety of the banking system:

- Providing loans to credit institutions participating in the payment system to support the payment system in cases of incidents threatening the safety of payment activities and the safety of the banking system.

- Units under the State Bank of Vietnam proposing the use of the Fund to implement national monetary policy for matters related to monetary policy beyond the above two items shall coordinate with the Finance - Accounting Department, Monetary Policy Department, and related units to submit to the Governor of the State Bank of Vietnam a document seeking the opinion of the Ministry of Finance for submission to the Prime Minister of the Government of Vietnam for approval of the policy.

After obtaining the document approving the policy from the Prime Minister of the Government of Vietnam, the focal unit shall submit to the Governor of the State Bank of Vietnam for issuing a decision on the use of the Fund to implement national monetary policy for each specific expenditure.

Thereafter, based on the Decision of the Governor of the State Bank of Vietnam, the Finance - Accounting Department shall guide the accounting for the use of the Fund to implement national monetary policy and the accounting for any refund to the Fund in case of repayment.

Based on the Decision of the Governor of the State Bank of Vietnam and accounting guidance, the Finance - Accounting Department shall coordinate with the Transaction Center and related units under the State Bank of Vietnam to execute the accounting and detailed tracking of each expenditure from the Fund to implement national monetary policy according to accounting laws and related legal regulations.

See the full regulation at Circular 36/2019/TT-NHNN effective from February 20, 2020.

Thu Ba

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