CONDITIONS FOR ACTING AS FOREIGN EXCHANGE AGENTS OF CHINA, LAOS OR CAMBODIA
On May 12, 2023, the Government issues Decree No. 23/2023/ND-CP on amending and supplementing a number of articles of Decree No. 89/2016/ND-CP prescribing conditions for foreign exchange agency foreign currency receipt and payment services of economic organizations.
Decree No. 23/2023/ND-CP supplements Article 6a to Article 6, Decree No. 89/2016/ND-CP prescribing conditions for foreign exchange agency foreign currency receipt and payment services of economic organizations as follows:
An economic organization may act as a foreign exchange agent of a bordering country only after obtaining a certificate of registration for a foreign exchange agent of a bordering country from the State Bank branch of a border province.
Conditions for an economic organization to be considered and granted a certificate by the State Bank branch of a border province, including:
- Conditions for head office and branches:
Having a head office in a borderland area or a border gate economic zone in a border province; or
Having a head office and a branch in a borderland area or a border gate economic zone in a border province; or
Having a head office in a border province and a branch in a borderland area or a border gate economic zone in a border province;
- Conditions for locations where the foreign exchange agents of the bordering country are located: A foreign exchange agent of the bordering country must be located in a borderland area or a border gate economic zone in the locality where the economic organization is headquartered or its branch is located;
- Adopting a professional process for exchanging currencies of bordering countries as well as an exchange rate board, and signboard displaying the name of the authorizing credit institution and the name of the foreign exchange agent of the bordering country at the transaction place;
- Being authorized by an authorizing credit institution to act as a foreign exchange agent of a bordering country;
- An economic organization may act as a foreign exchange agent of the bordering country for only one authorizing credit institution.
The Decree No. 23/2023/ND-CP takes effect on July 01, 2023.
