Decree No. 52/2003/ND-CP dated May 19, 2003 of the Government prescribing the functions, tasks, powers and organizational structure of Vietnam State Bank

DECREE

PRESCRIBING THE FUNCTIONS, TASKS, POWERS AND ORGANIZATIONAL STRUCTURE OF VIETNAM STATE BANK

THE GOVERNMENT

Pursuant to the December 25, 2001 Law on Organization of the Government;

Pursuant to the December 12, 1997 Law on Vietnam State Bank;

Pursuant to Resolution No. 02/2002/QH11 of August 5, 2002 of the first session of the XIth National Assembly of the Socialist Republic of Vietnam prescribing the list of ministries and ministerial-level agencies of the Government;

Pursuant to the Government’s Decree No. 86/2002/ND-CP of November 5, 2002 defining the functions, tasks, powers and organizational structures of the ministries and ministerial-level agencies;

At the proposals of the Governor of Vietnam State Bank and the Minister of the Interior,

DECREES:

Article 1.- Position and functions

Vietnam State Bank (hereinafter called the State Bank for short) is a ministerial-level agency of the Government, which functions to perform the State management over monetary and banking activities and acts as the Central Bank of the Socialist Republic of Vietnam; performs the State management over public services and acts as representative of the owner of State capital portions at State-invested enterprises operating in the banking field as prescribed by law.

Article 2.- Tasks and powers

The State Bank shall have to perform the tasks and powers prescribed in the Government’s Decree No. 86/2002/ND-CP of November 5, 2002 defining the functions, tasks, powers and organizational structures of the ministries and ministerial-level agencies as well as the following specific tasks and powers:

1. To submit to the Government and/or the Prime Minister bills, draft ordinances and other legal documents on monetary and banking activities.

2. To submit to the Government and/or the Prime Minister the development strategies and plannings, long-term, five-year and annual plans on monetary and banking activities.

3. To promulgate decisions, directives and circulars falling within the scope of its State management.

4. To direct, guide, inspect and take responsibility for the implementation of legal documents approved, strategies, plannings and plans as well as other legal documents within the scope of its management; to propagate, disseminate and educate in the legislation and information on banking activities.

5. On monetary and banking activities;

a/ To formulate the national monetary policies for the Government to consider and submit them to the National Assembly for decision and organization of the implementation thereof; to submit to the Government schemes on the development of the system of banks and credit institutions;

b/ To grant and withdraw permits for the establishment and operation of credit institutions, except for cases to be decided by the Prime Minister; to grant and withdraw permits for banking activities of other organizations; to decide on the dissolution, and approve the splitting, separation, consolidation or merger of credit institutions according to law;

c/ To examine and inspect banking activities, to control credit; to inspect, supervise and handle complains and denunciations, to combat corruption and negative acts; to handle law violations in the field of monetary and banking activities according to its competence;

d/ To manage the borrowing and repayment of foreign debts by enterprises according to the Government’s regulations;

e/ To assume the prime responsibility for the setting up and monitor the execution of international payment balance;

f/ To manage foreign exchange, foreign exchange-related activities as well as gold import and export;

g/ To sign and accede to international treaties on monetary and banking activities according to law;

h/ To represent the Socialist Republic of Vietnam in international monetary and banking organizations under the authorization of the State President or the Government;

i/ To organize training and fostering courses on banking operations; to conduct scientific and technological research and application in the banking field.

6. To perform the functions of the Central Bank:

a/ To organize the printing, minting, preservation and transportation of money; to carry out the operations of money distribution, withdrawal, replacement and destruction;

b/ To effect the capital re-allocation in order to provide short-term credit and payment instruments for the economy;

c/ To regulate the monetary market; and to carry out the open-market operation;

d/ To control international reserves and manage the State’s foreign exchange reserves;

e/ To organize the system of via-bank payment, provide payment services and manage the provision of payment instruments;

f/ To act as an agent of, and provide banking services for, the State Treasuries;

g/ To organize the banking information system and provide banking information services.

7. To appraise, and inspect the implementation of, investment projects in the banking field according to law.

8. To effect international cooperation in the banking field according to law.

9. To decide on specific undertakings and measures and direct the implementation of mechanisms for operation of public-service organizations in the banking field as prescribed by law, to manage and direct the operation of non-business units under the State Bank.

10. To perform specific tasks and powers of the representative of the owner of State capital portions at State-invested enterprises operating in the banking field according to law.

11. To perform the State management over operation of associations and non-governmental organizations in the banking field according to law.

12. To decide on, and direct the implementation of, its administrative reform program according to the objectives and contents of the State’s administrative reform program already approved by the Prime Minister;

13. To manage its organizational apparatus and payroll; to direct the realization of wage policies as well as policies on preferential treatment, commendation, rewards and disciplines towards State officials and employees under its management.

14. To manage its allocated funding and assets according to law.

15. To participate in the formulation of the country’s socio-economic development strategies and plans.

Article 3.- The organizational structure of the State Bank consists of

a/ Organizations assisting the State Bank Governor in performing the State management functions and the function of the Central Bank:

1. The Monetary Policy Department;

2. The Banking Development Strategy Department;

3. The International Cooperation Department;

4. The Foreign Exchange Management Department;

5. The Department for Banks and Non-Bank Credit Institutions (called the Bank Department for short);

6. The Department for Cooperative Credit Institutions

7. The General Control Department;

8. The Credit Department;

9. The Accounting-Finance Department;

10. The Organization and Personnel Department;

11. The Legal Department;

12. The Banking Inspectorate;

13. The Office;

14. The Transaction Office;

15. The Issuance and Vault Department;

16. The Department for Banking Information Technology;

17. The Administration Department.

The organizations stated in this Clause consist of various sections which shall be decided by the State Bank Governor after reaching agreement with the Minister of the Interior.

b/ The branches in provinces and centrally-run cities.

c/ The representative office in Ho Chi Minh City.

d/ Non-business organizations:

1. The Banking Times;

2. The Banking Magazine;

3. The Banking Institute;

4. Ho Chi Minh City Banking University;

5. The Credit Information Center.

Article 4.- Implementation effect

This Decree takes effect 15 days after its publication in the Official Gazette and replaces the Government’s Decree No. 88/1998/ND-CP of November 2, 1998 on the functions, tasks, powers and organizational apparatus of Vietnam State Bank and previous regulations contrary to this Decree.

Article 5.- Implementation responsibility

The State Bank Governor, the ministers, the heads of the ministerial-level agencies, the heads of the agencies attached to the Government and the presidents of the provincial/municipal People’s Committees shall have to implement this Decree.