Vietnam: Credit institutions must give notice of their purchase, sale of foreign currencies in cash with individuals before August 14

According to Article 6 of Circular No. 20/2011/TT-NHNN of the State Bank of Vietnam, the responsibility of credit institutions authorized to engage in foreign exchange activity (hereinafter referred to as authorized credit institutions) to make notice of the purchase, sale of foreign currencies in cash is as follows:

1. Within a period of 15 working days since the date of signing this Circular, authorized credit institutions which perform activities of purchasing, selling foreign currencies in cash with individuals shall be responsible:

- To give written notice (directly or by post) to the State Bank of Vietnam (Foreign Exchange Control Department) of their purchase, sale of foreign currencies in cash with individuals under the Form in Appendix 1 issued in conjunction with this Circular.

- To inform the list of places of purchasing, selling foreign currencies in cash of the entire system on authorized credit institutions’ websites.

- To inform the list of places of purchasing, selling foreign currencies in cash to the State Bank of Vietnam (Foreign Exchange Control Department) and State Bank branches in provinces, cities under the central Government’s management in the local area under the form at Appendix 2 issued in conjunction with this Circular.

2. Authorized credit institutions which have not yet performed activity of purchasing, selling foreign currencies in cash with individuals after the effective date of this Circular, shall, upon availability of their demand, be responsible for giving notice of contents as stipulated in Paragraph 1 in this Article within 15 days prior to performing such activity.

3. Within 15 days since occurrence of any change in purchase, sale of foreign currencies in cash (amendment, reduction of places, termination of purchase, sale activity), authorized credit institutions shall be responsible for giving a written notice of and updating the list of  places of purchasing, selling foreign currencies in cash (directly or by post) to the State Bank of Vietnam (Foreign Exchange Control Department) and State Bank branches in provinces, cities under central Government’s management in local area under the form in Appendix 2 issued in conjunction with this Circular.

More details can be found in Circular No. 20/2011/TT-NHNN of the State Bank of Vietnam, which takes effect from October 15, 2011.

Thuy Tram

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