Vietnam: From February 14, 2014, face value of valuable papers shall be 100,000 dongs at the minimum

Currently, valuable papers shall be issued and paid in Vietnamese dong. Face value of valuable papers is specified in Article 10 of Circular No. 34/2013/TT-NHNN of the State Bank of Vietnam as follows:

- Face value of valuable papers shall be one hundred thousand (100,000) dongs at the minimum. Any face value that is higher than the minimum one must be a multiple of the minimum face value.

- Face value of valuable papers (excluding bonds) issued in the form of certificates may be ready-printed or up to agreement by and between the issuing credit institution, foreign bank branch and the buyer.

- Face value of bonds issued in the form of certificates shall be ready-printed on the bonds.

- Face value of valuable papers issued in the form of book entry shall be agreed by and between the issuing credit institution, foreign bank branch and the buyer.

Besides, interest rate of valuable papers shall be decided by the issuing credit institutions, foreign bank branches in correspondence with market interest rate and applicable regulations on interest rate of the State Bank from time to time on the basis of ensuring the business efficiency and operation safety for the credit institutions, foreign bank branches.

During the period of issuing valuable papers, credit institutions, foreign bank branches shall, on their own initiative, adjust interest rate of valuable papers in conformity with regulations on interest rate adjustment provided for by the State Bank from time to time.

View other provisions at Circular No. 34/2013/TT-NHNN of the State Bank of Vietnam, effective from February 14, 2014.

Thu Ba

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