Rules for carrying out electronic financial transactions in Vietnam

Rules for carrying out electronic financial transactions in Vietnam (Internet image)

Regarding this issue, LawNet would like to answer as follows:

1. What is e-transaction in financial operations?

According to Clause 1, Article 3 of Decree 165/2018/ND-CP, e-transaction in financial operations (hereinafter referred to as “electronic financial transaction”) means a transaction between organizations or individuals in professional operations related to:

State budget, state fund, tax, fees, charges and other revenues of the state budget, state reserves, public property, state financial fund, financial investment, corporate finance, cooperative finance, customs, accounting, state management of prices, securities, financial services, accounting services, audit services, insurance business and other financial services under the management of the Ministry of Finance.

Those professional operations shall be carried out as prescribed by specialized law.

2. Rules for carrying out electronic financial transactions in Vietnam

Rules for carrying out electronic financial transactions according to Article 4 of Decree 165/2018/ND-CP are as follows:

- Participants in electronic financial transactions must adhere to the rules specified in Article 5 of the Law on E-Transactions and regulations of specialized law and relevant regulations of law.

- Administrative procedures initiated through electronic transactions must comply with regulations of the law on administrative procedures and online public services.

- The use of digital certificates and digital signatures in electronic financial transactions must comply with regulations of the law on digital signatures and digital signature certification.

3. Regulations on assurance of safety in electronic financial transactions in Vietnam

Regulations on assurance of safety in electronic financial transactions according to Article 14 of Decree 165/2018/ND-CP are as follows:

- Every information system administrator that collects personal information of participants in transactions must comply with the Law on Cyberinformation Security, Cybersecurity Law and relevant regulations of law on protection of personal information.

- Every information system administrator must ensure safety and confidentiality of information system and transactions by participants in accordance with regulations of the law on cyberinformation security and adopt at least the following methods:

+ Classify the security and implement plans for assuring security of information system in accordance with regulations of the Law on Cyberinformation Security and Decree 85/2016/ND-CP.

If the information system administrator is an organization not affiliated to the State, only classify security of the system and adopt measures to protect the system in a manner that at least satisfies requirements for the corresponding class in accordance with regulations of the Ministry of Information and Communications. It is not required to follow procedures for appraising and approving proposal for classification.

+ Encrypt the connection between the organization/individual and the information system. Websites or web portals serving electronic financial transactions must be provided with digital certificates to secure information on the transmission line and avoid forgery.

4. Regulations on verification of information about electronic financial transactions in Vietnam

Regulations on verification of information about electronic financial transactions according to Article 16 of Decree 165/2018/ND-CP are as follows:

- In the cases where an inspecting and investigating authority prescribed by specialized lawsoft or an authority in charge of initiating relevant administrative procedures wishes to verify information about an e-transaction by an organization or individual, one of the following methods shall be adopted to carry out the verification:

+ Use the electronic confirmation of e-transaction result provided by the information system administrator to the organization or individual in the form of a file or an email.

+ Carry out on-site observation of information retrieval by the organization and individual on the information system.

+ Use the feature that allows for retrieval of information by an electronic means provided by the information system administrator.

+ Connect, transmit data and exchange information with a finance authority to obtain information about e-transactions by entities following administrative procedures. This Point applies to authorities in charge of initiating relevant administrative procedures.

- Inspecting and investing authorities and authorities in charge of initiating relevant administrative procedures may only request organizations and individuals present physical documents converted from electronic documents in case of failure to verify information using one of the methods specified in Clause 1 of Article 16 of Decree 165/2018/ND-CP.

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