Vietnamese citizen shall be authorized to buy foreign currency in cash at authorized credit institutions

According to Article 2 of Circular No. 20/2011/TT-NHNN of the State Bank of Vietnam, entities who may buy or sell foreign currency in cash to authorized credit institutions are specified as follows:

* Entities who may buy foreign currency in cash at authorized credit institutions:

- Individuals who are Vietnamese citizen shall be authorized to buy foreign currency in cash at authorized credit institutions to satisfy spending demand of their own as well as of children sharing passport with their parent, including: food expense, pocket money, travel expense in foreign country related to one of following purposes:

- Study, medical treatment in abroad;

- Going on business, traveling, and visiting overseas.

For other legal purposes as stipulated in Paragraph 2, Article 8 of the Decree No.160/2006/ND-CP dated 28 December 2006 of the Government providing in details for the implementation of the Ordinance on Foreign Exchange, an individual may buy foreign currency in cash at an authorized credit institution depending on its ability to balance source of foreign currency in cash.

- Individuals being foreigners who have a legal income source in Vietnamese Dong shall be entitled to buy foreign currency in cash at authorized credit institutions in line with current provisions on foreign exchange control.

* Entities who may sell foreign currency in cash to authorized credit institutions: Individuals selling foreign currency in cash to authorized credit institutions and foreign currency exchange agents of such authorized credit institutions in accordance with current provisions on foreign exchange control.

Besides, individuals who buy foreign currencies must also comply with the provisions on limit of purchasing foreign currency, specifically as follows: Individuals being Vietnamese citizen shall be entitled to buy foreign currencies in cash at authorized credit institutions to satisfy their demands for foreign currencies with the limit of 100 USD/1 person/1 day or other foreign currencies with the same value within the time of ten (10) days when they stay in foreign countries. The above foreign currency limit is also applicable to children sharing passport with their parent.

Note: 

- Authorized credit institutions shall be obliged to sell foreign currencies in cash to individuals who are Vietnamese citizens on the basis of presentation of application forms and documents.

- Based on the ability to self-balance their foreign currency source in cash, authorized credit institutions may sell an amount of foreign currencies in excess of the limit to satisfy foreign currency demands.

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

>> CLICK HERE TO READ THIS ARTICLE IN VIETNAMESE