Who Has the Authority to Decide the Destruction of Currency of the State Bank of Vietnam?

The authority to decide the destruction of money is stipulated in Circular 03/2020/TT-NHNN as follows:

Illustrative image (Source: Internet)

- Based on the inventory data of money that does not meet circulation standards, money suspended from circulation at the Central Treasury, the Director of the Issuing and Treasury Department submits to the Governor of the State Bank of Vietnam a decision on the time of destruction, quantity, and value of each type of money to be destroyed.

- The Money Destruction Council of the State Bank of Vietnam (hereinafter referred to as the Destruction Council) organizes the destruction of money at the Issuing and Treasury Department in Hanoi (hereinafter referred to as the Northern Destruction Cluster) and at the Issuing and Treasury Sub-Department in Ho Chi Minh City (hereinafter referred to as the Southern Destruction Cluster).

Note: In necessary cases, the destruction of money at other facilities shall be decided by the Governor of the State Bank.

Notably, during the destruction of money, absolute safety of assets and state secrecy in the destruction process must be ensured; the destroyed money is counted and sampled as a basis for the Chairman of the Destruction Council to decide the counting ratio for each type of money before destruction; destruction is based on the actual amount of money received from the Central Treasury after the Destruction Council's counting and classification results; the money, after being destroyed into scraps, must not be restorable for reuse as money.

This Circular stipulates that the destroyed money is paper money which is destroyed by specialized shredding machines. For the destruction of metal money, it is conducted by melting or specialized metal money shredding machines.

More details can be found in Circular 03/2020/TT-NHNN, effective from May 15, 2020.

Thu Ba

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