Table of Contents/Mục lục
Foreign Currency Using in Vietnam: Updated Guidelines from Circular 03/2019/TT-NHNN
Circular 03/2019/TT-NHNN, issued by the State Bank of Vietnam, introduces changes to foreign currency usage regulations within Vietnam. These amendments, which refine provisions in Circular 32/2013/TT-NHNN, aim to simplify processes and align foreign currency practices with current laws. Below is an overview of key updates on foreign currency using in Vietnam.
Permitted Uses of Foreign Currency in Vietnam
The updated circular expands the scenarios where foreign investors and non-residents can utilize foreign currencies:
- Deposits and Collateral for Auctions
- Foreign investors are permitted to transfer deposits or provide collateral in foreign currency during auctions. This applies to:
- Purchasing shares in state-owned enterprises undergoing equitization, as approved by the Prime Minister.
- Acquiring State shares or capital contributions in enterprises with State capital involved in divestment processes.
- Buying shares or capital contributions from State-owned enterprises that invested in other companies and are divesting capital.
- Foreign investors are permitted to transfer deposits or provide collateral in foreign currency during auctions. This applies to:
- Payment After Successful Auctions
- Winning foreign investors must transfer investment funds in foreign currency, adhering to Vietnam’s foreign exchange laws, to pay for the shares or capital contributions obtained.
- Refunds for Unsuccessful Auctions
- If foreign investors fail to win auctions, they may transfer deposits or collateral abroad in foreign currency, deducting any incurred expenses.
Additional Scenarios from Circular 32/2013/TT-NHNN
Beyond the updates in Circular 03, existing cases from Circular 32 allow foreign currency usage in Vietnam, including:
- Non-residents can add fees in contracts and pay residents for export goods and services in foreign currency via bank transfer.
- Residents may quote and accept foreign currency payments by bank transfer when providing goods and services to non-residents.
- Transactions like buying and selling unlisted stocks, bonds, and other securities are also permitted in foreign currency.
Key Dates and Compliance
Circular 03/2019/TT-NHNN took effect on May 13, 2019, and applies to all relevant foreign currency transactions going forward. Businesses and investors must ensure compliance with these updated regulations to avoid penalties or delays.
Simplified and Clear Implementation
Foreign currency use regulations aim to facilitate secure transactions while ensuring transparency. Investors and businesses are encouraged to maintain proper documentation to streamline payments and transfers.
Expert Advice on Foreign Currency in Vietnam
For personalized advice on foreign currency using in Vietnam or related transactions, contact Law Plus via or call +84 996 008 030.
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