Legal Document Updates in English (02/2022)

FROM 2022, INCREASE PENSION, SOCIAL INSURANCE ALLOWANCE BY 7.4%

The Decree No. 108/2021/ND-CP prescribing the adjustment of pension, social insurance allowance and monthly allowance is issued by the Government on December 07, 2021.

Specifically, from January 01, 2022, the amount of pensions, social insurance allowances and monthly allowances payable to the following persons shall increase by 7.4% compared to the amount of December 2021: Cadres, civil servants, workers, public employees and laborers (including those who have participated in voluntary social insurance, and retired persons transferred from the farmers’ social insurance fund of Nghe An province as prescribed in the Prime Minister’s Decision No. 41/2009/QD-TTg dated March 16, 2009), army men, servicemen of the People’s Public Security forces and persons engaged in the cipher work who are on monthly pension; Commune, ward or township officials; Persons who are on monthly working capacity loss allowance; etc.

For persons who retired before January 01, 1995 and after having their pensions adjusted as above, are receiving pensions, social insurance allowances and monthly allowances of less than VND 2,500,000/month, the specific adjustment from January 01, 2022 shall be as follows: Those whose pension, social insurance allowance or monthly allowance is VND 2,300,000 or below shall receive an additional VND 200,000/each/month, those whose pension, social insurance allowance or monthly allowance is from VND 2,300,000 to less than VND 2,500,000 shall receive an pension, social insurance allowance or monthly allowance of VND 2,500,000 each/month.

The amount of pensions, social insurance allowances and monthly allowances after being adjusted shall serve as the basis for the next adjustments to the pensions, social insurance allowances and monthly allowances.

This Decree takes effect from January 20, 2022. The provisions of this Decree take effect from January 01, 2022.

IMPOSE A FINE UP TO VND 200 MILLION
FOR VIOLATIONS AGAINST REGULATION ON PAYMENT IN CASH

On December 31, 2021, the Government promulgates the Decree No. 143/2021/ND-CP amending and supplementing a number of articles of Decree No. 88/2019/ND-CP dated November 14, 2019 on penalties for administrative violations against currency and banking legal regulations.

According to this Decree, a fine from VND 20,000,000 to VND 40,000,000 shall be applied to any of the following violations: No contracts on opening service introduction points; Contracts on opening service introduction points do not clearly specify the responsibilities and powers of the involved parties and the validity period thereof; Ultra vires operation of service introduction points against legal regulations.

Besides, a fine from VND 200,000,000 to VND 250,000,000 shall be imposed for the act of using imported raw gold in violation of the license for import raw gold to produce gold jewelry and/or handicrafts.

Also in accordance with this Decree, a fine from VND 150,000,000 to VND 200,000,000 shall be imposed for any of the following violations: Violations against the regulations on payment in cash; Providing payment services without being payment service providers. A fine from VND 20,000,000 to VND 30,000,000 shall be imposed for the act of disclosing or providing clients’ information, electronic wallet balances and payment transactions at intermediate payment service providers in violation of legal regulations.

This Decree takes effect on January 01, 2022.

CHANGE CONDITIONS FOR GRANTING ESTABLISHMENT AND OPERATION LICENSES FROM MARCH 01

The State Bank of Vietnam issues the Circular No. 28/2021/TT-NHNN amending and supplementing a number of articles of the Circular No. 40/2011/TT-NHNN of December 15, 2011, providing the licensing, organization and operation of commercial banks, foreign bank branches, and representative offices of foreign credit institutions and other foreign institutions engaged in banking activities in Vietnam on December 31, 2021.

Accordingly, conditions for granting an establishment and operation license for a joint-venture or wholly foreign-owned bank on founding shareholders or owners being foreign credit institutions that have international operation experience and are ranked by international credit rating agencies as follows:

Firstly, the outlook is stable or better;

Secondly, credit rating of AA- or higher (according to Standard & Poor's or Fitch Ratings) or Aa3 or higher (according to Moody's). In case the international credit rating agency has a different credit rating scale than that of Standard & Poor's or Moody's or Fitch Ratings, such international credit rating agency must convert its credit rating in accordance with the credit rating scale of Standard & Poor's or Moody's or Fitch Ratings.

In addition, the Circular also allows the commercial banks or foreign bank branches to purchase or sell Government bonds on securities market in case their licenses granted by the State Bank contain contents of Government bond purchase or sale.

This Circular takes effect on March 01, 2022.

CONDITIONS FOR GRANTING CERTIFICATES OF ELIGIBILITY
FOR DOING THE BUSINESS OF PRIZE-WINNING ELECTRONIC GAMES

On December 27, 2021, the Government promulgates the Decree No. 121/2021/ND-CP on the business of prize-winning electronic games for foreigners.

Accordingly, an enterprise fully meeting the following conditions shall be granted a certificate of eligibility for doing the business of prize-winning electronic games: Having a tourist accommodation establishment of five-star class ranked by a competent state management agency; Having a place for building a business facility satisfying the conditions; Having managers of business facilities that meet the conditions and standards; Having a charter capital of at least VND 500 billion and making a profit in the fiscal year immediately preceding the year the enterprise submits dossiers for the Business eligibility certificate; Having an effective plan on business of prize-winning electronic games and ensuring security, social order and safety.

An enterprise engaged in the business of prize-winning electronic games may organize prize-winning electronic

game activities at only one business facility location licensed by a competent state management agency. A business facility must fully satisfy the following conditions: Being located separately from other business areas of the enterprise and having separate entrances and exits; Having electronic equipment and cameras for constant monitoring and surveillance of all activities in the facility; etc.

Besides, persons eligible for playing games at business facilities include: Foreigners and overseas Vietnamese who lawfully enter Vietnam with their passports or international travel documents issued by a foreign competent authority and have a valid residence permit in Vietnam. Players shall get their wins certified and fully paid out by enterprises; receive and remit or bring prize money in foreign currencies abroad according to regulations.

This Decree takes effect on February 12, 2022.

FROM 2022, ONLY MEDICAL EQUIPMENT WHOSE PRICES HAVE BEEN DECLARED
ARE ALLOWED TO PURCHASE

This highlight content is prescribed by the Government in the Decree No. 98/2021/ND-CP dated November 08, 2021, on the management of medical devices.

In accordance with the new provisions, to exempt from declaration of applicable standards and circulation registration for medical device is imported into Vietnam to serve the purposes of emergency aid or provision of humanitarian medical services; unregistered medical devices which are imported to serve pandemic prevention and control, or catastrophe and disaster relief and cannot be replaced by any other medical devices sold on the market.

Noticeably, it is required to post up the wholesale and retail prices of medical devices in VND at transaction or selling locations of medical device trading establishments; such

INSTRUCTIONS FOR REPORTING EVIDENCE OF SPAM MESSAGES VIA SWITCHBOARD 5656

The Circular No. 22/2021/TT-BTTTT detailing a number of articles of the Government’s Decree No. 91/2020/ND-CP dated August 14, 2020 on fighting spam messages, spam emails and spam calls is promulgated by the Ministry of Information and Communications on December 13, 2021.

Specifically, to report and provide evidence of spam messages, an user may compose a reporting message with the following syntax: S [Spam message source][Spam message content] or S (spam message source)(Spam message content) to send to 5656. Also, the user composes a reporting message with the following syntax: V [Spam call source][Spam call content] or V (Spam call source)(Spam call content) to send to 5656 to report and provide evidence of spam calls.

06 SUBJECTS ELIGIBLE FOR 95% OF EXPENSES OF VOLUNTARY DRUG ADDICTION TREATMENT

This content is specified in the Decree No. 116/2021/ND-CP dated December 21, 2021 of the Government detailing a number of articles of the Law on Drug Prevention and Control, Law on Handling of Administrative Violations on drug addiction treatment and post-treatment management.

According to this Decree, the State shall support 95% of expenses of voluntary drug addiction treatment and common medicines for the following subjects: Veterans; persons infected with toxic chemicals and with their working capacity reduced by 81% or higher; persons in poor households; lonely old people without support; orphaned children; and people with severe and especially severe disabilities.

Provincial-level People's Councils shall, based on their ability to balance the budget and quantity of participants in voluntary drug addiction treatment at public establishments

INCREASE THE FOOD RATION FOR PERSONS HELD IN CUSTODY BEING PREGNANT WOMEN

The Decree No. 113/2021/ND-CP on amending and supplementing a number of articles of the Government’s Decree No. 120/2017/ND-CP of November 06, 2017, detailing a number of articles of the Law on Enforcement of Custody and Temporary Detention is promulgated by the Government on December 14, 2021.

Specifically, a person held in custody or temporary detention who is a pregnant woman or is raising an under-36 month child is entitled to a food ration double the normal daily food ration (instead of the 30% increase as defined in previous regulations) and may be swapped according to an indication of a medical doctor or physician. A person held in custody or temporary detention who gives birth to a child is entitled to payment of hospital fees and one-off provision of articles necessary for newborn care equivalent to one month’s food ration for an under-36 month child staying with his/her mother in the detention or custody facility.

SHORTEN THE DURATION FOR GRANTING PRACTICE CERTIFICATES
FOR TREATMENT OF ARTICLES SUBJECT TO PLANT QUARANTINE

On December 06, 2021, the Ministry of Agriculture and Rural Development issues the Circular No. 15/2021/TT-BNNPTNT amending and supplementing a number of articles of the Circular No. 05/2015/TT-BNNPTNT dated February 12, 2015, providing the order and procedures for granting practice certificates for treatment of articles subject to plant quarantine and the Circular No. 33/2014/TT-BNNPTNT dated October 30, 2014, providing the order and procedures for plant quarantine upon import, export and transit and post-import quarantine of articles subject to plant quarantine.

Accordingly, organizations and individuals practicing the treatment of articles must pay charges for appraising the dossier and granting practice certificates for treatment of articles subject to plant quarantine according to regulations of the Ministry of Finance on charges in plant quarantine and protection in the agricultural sector. Within 03 working days after receiving a valid dossier, the Plant Protection