Criteria for members of the Management Council of Financial Institutions in Vietnam

Criteria for members of the Management Council of Financial Institutions in Vietnam (Internet image)

The Minister of Finance of Vietnam issued Circular 11/2023/TT-BTC dated February 9, 2023 on guidance on the Management Board and standards and conditions for the appointment and dismissal of members of the Management Board in public non-business units in the financial sector.

1. Criteria for a member of the Management Council of the financial sector service providers

In Clause 1, Article 14 of Circular 11/2023/TT-BTC, the criteria for members of the Management Council of the financial sector are as follows:

- Having good political qualities, lifestyle ethics, and a sense of discipline.

- Having enough health to complete assigned tasks and responsibilities.

- Having a university degree or higher.

- Not during the time of executing the disciplinary decision or during the time of being considered for disciplinary action as prescribed by law.

- Guaranteed age to be of working age for at least 01 term (05 years).

2. Criteria for the appointment of the Chairman of the Management Council of Financial Institutions in the Financial Sector in Vietnam

Pursuant to Clause 2, Article 14 of Circular 11/2023/TT-BTC, the membership standards and authority to appoint members of the Management Board are as follows:

- Meeting the standards of a member of the Management Board.

- Having management experience or expertise in the field of operation of public non-business units.

3. Authority to appoint members of the Management Board in Vietnam

In Clause 3, Article 14 of Circular 11/2023/TT-BTC, the appointment of members of the Management Board is as follows:

The Chairman and other members of the Management Council shall be appointed by the head of the agency competent to approve the autonomy scheme of the public non-business unit.

4. Duties and powers of members of the Management Board in Vietnam

In Article 9 of Circular 11/2023/TT-BTC, the duties and powers of the members of the Management Board are as follows:

- Strictly comply with the provisions of the Regulation on operation of the Management Council and of the public non-business unit, perform the tasks assigned by the Chairman of the Management Council and other tasks as prescribed by law. ; fully participate in the meetings of the Management Board, take responsibility for the performance of their duties and powers.

- Discuss and contribute ideas at the meeting of the Management Board; vote on the content of decisions of the Management Board as prescribed.

- Monitor and supervise the implementation of decisions of the Management Council and have the right to propose opinions on the operation of public non-business units.

- Be provided with and have access to information and documents serving the work of the Management Board as prescribed; enjoy the regimes and policies as prescribed by law and financial regulations of public non-business units.

- Perform other duties as prescribed.

5. Structure and tenure of the Management Board in Vietnam

Article 5 of Circular 11/2023/TT-BTC stipulates the structure and term of office of the Management Board as follows:

The structure of the Management Board includes:

+ Representatives of superior management agencies of public non-business units, including representatives of ministries, ministerial-level agencies, government-attached agencies, and organizations established by the Government or the Prime Minister that are not a public non-business unit, the provincial People's Committee or the immediate superior management agency (if any).

+ Heads of public non-business units.

+ Officials of public non-business units.

+ Representatives of relevant organizations and units.

- The Management Board has 5 to 11 members, including the Chairman of the Management Board, the Secretary of the Management Board, and members of the Management Board. Depending on the task requirements, the Management Board may have a vice chairman. The number and structure of members of the Management Council of each specific public administrative unit shall be decided by the head of the agency competent to approve the autonomy scheme of the public administrative unit.

The Chairman of the Management Council shall be chosen and appointed by the head of the agency competent to approve the autonomy scheme of the public non-business unit, and shall be chosen from among the representatives of the public administrative unit's leadership or a representative of a superior management agency of a public non-business unit.

The Vice Chairman of the Management Board (if any), the Secretary of the Management Council, and members of the Management Council shall be appointed by the head of the agency competent to approve the autonomy scheme of the public non-business unit.

- The term of office of a member of the Management Board shall not exceed 5 years.

Circular 11/2023/TT-BTC takes effect from March 31, 2023.

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