Investment Bank Account in Vietnam: Key Regulations and Updates
Circular 06/2019/TT-NHNN issued by the State Bank of Vietnam outlines essential updates on foreign exchange management for foreign direct investment activities. It regulates changes concerning the opening and use of investment bank accounts for foreign investors in Vietnam. Below is a comprehensive guide to these updates and their implications.
Direct Investment and Investment Bank Account Requirements
Foreign-invested enterprises engaging in direct investment must open a direct investment account as mandated by Circular 06/2019/TT-NHNN. The scope of direct investment includes:
- Enterprises Established Through Direct Investment
- Ownership Exceeding 51%
Account Transition Requirements
Enterprises with foreign ownership under the following conditions must:
- Close existing indirect investment accounts (if applicable).
- Open and use direct investment accounts instead.
However, companies borrowing and repaying foreign loans via direct investment accounts may retain these accounts for loan-related transactions.
Indirect Investment Bank Accounts and Permitted Activities
Foreign investors conducting indirect investment activities can open and use indirect investment accounts. Permissible activities include:
- Capital Contribution and Share Transactions
- Securities Transactions
- Entrusted Investment in Vietnamese Dong
- Securities Investment Funds
- Other Forms of Indirect Investment
Regulation Implementation
Circular 06/2019/TT-NHNN took effect on September 6, 2019. Foreign investors must align with the specified requirements for opening and using investment accounts to ensure compliance.
Expert Assistance
For personalized advice and assistance regarding the opening or transitioning of investment bank accounts, contact Law Plus at or call +84 966 008 030.
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