FOREIGN CURRENCY TRANSACTIONS BETWEEN THE STATE BANK AND LICENSED CREDIT INSTITUTIONS
On December 31, 2021, the State Bank of Vietnam issues the Circular No. 26/2021/TT-NHNN guiding foreign currency transactions between the State Bank of Vietnam and credit institutions licensed to engage in foreign exchange transactions (hereinafter referred to as the licensed credit institutions).
Accordingly, the State Bank shall deal in foreign currencies with licensed credit institutions having foreign currency transaction relationship by the following types of transactions: Spot transaction; Forward transaction; Swap transaction; Option transaction; Other types of transactions as decided by the State Bank in each period. The official time of foreign currency transaction of the State Bank with licensed credit institutions shall be subject to the working time of the State Bank on weekdays.
If the payment is made later than the time as agreed between the State Bank and the licensed credit institution, the party that makes late payment in foreign currency shall be fined up to 150% of the overnight interest rate of the correspondent bank of the party who receives the late payment on the standard payment account receiving foreign currencies at the arising date calculating based on the amount and days of late payment.
Besides, the State Bank shall suspend foreign currency transactions with licensed credit institutions for 03 months in the following cases: Failing to send reports or failing to send reports within the prescribed period or failing to send reports with the prescribed contents from 03 or more times in one quarter; Failing to comply with regulations.
This Circular takes effect on February 15, 2022.
