Circular No. 03/2019/TT-NHNN dated March 29, 2019 of the State Bank of Vietnam on amending and supplementing a number of articles of the State Bank Governor’s Circular No. 32/2013/TT-NHNN of December 26, 2013, guiding the implementation of the regulations on restrictions on use of foreign exchange in Vietnam’s territory

CIRCULAR

Amending and supplementing a number of articles of the State Bank Governor’s Circular No. 32/2013/TT-NHNN of December 26, 2013, guiding the implementation of the regulations on restrictions on use of foreign exchange in Vietnam’s territory^[1]

Pursuant to the June 16, 2010 Law on the State Bank of Vietnam;

Pursuant to tthe June 16, 2010 Law on Credit Institutions, and the November 20, 2017 Law Amending and Supplementing a Number of Articles of the Law on Credit Institutions;;

Pursuant to the December 13, 2005 Ordinance on Foreign Exchange, and the March 18, 2013 Ordinance Amending and Supplementing a Number of Articles of the Ordinance on Foreign Exchange;

Pursuant to the Government’s Decree No. 16/2017/ND-CP of February 17, 2017, defining the functions, tasks, powers and organizational structure of the State Bank of Vietnam;

At the proposal of the Director of the Foreign Exchange Management Department;

The Governor of the State Bank of Vietnam promulgates the Circular amending and supplementing a number of articles of the State Bank Governor’s Circular No. 32/2013/TT-NHNN of December 26, 2013, guiding the implementation of the regulations on restrictions on use of foreign exchange in Vietnam’s territory.

Article 1.To amend and supplement a number of articles of the State Bank Governor’s Circular No. 32/2013/TT-NHNN of December 26. 2013, guiding the implementation of the regulations on restrictions on use of foreign exchange in Vietnam’s territory

To add Point c to Clause 16, Article 4 as follows:

“c/ A foreign investor may leave a deposit or provide a collateral in a foreign currency by the method of account transfer when participating in an auction in the following cases:

(i) Purchasing shares in a state enterprise to be equitized as approved by the Prime Minister;

(ii) Purchasing the state’s shares or capital contributions in a state enterprise or an enterprise with state capital undergoing divestment as approved by the Prime Minister;

(iii) Purchasing shares or capital contributions in a state enterprise invested in other enterprises undergoing divestment of state capital as approved by the Prime Minister.

In case of winning the auction, the foreign investor shall transfer investment capital under the regulations on foreign exchange management to pay for the value of purchased shares or capital contributions. In case of failure at the auction, the foreign investor may transfer abroad the foreign-currency deposit or collateral after subtracting related expenses (if any).”

Article 2.Implementation responsibility

The Chief of the Office, the Director of the Foreign Exchange Management Department, and heads of the units of the State Bank of Vietnam, directors of provincial-level branches of the State Bank of Vietnam, chairpersons of the Boards of Directors or Members’ Councils and directors general (directors) of credit institutions and foreign bank branches shall implement this Circular.

Article 3.Effect

This Circular takes effect on May 13, 2019.-

For the State Bank Governor
Deputy Governor
NGUYEN THI HONG