Latest guidance on one-way money transfers from Viet Nam

Below is the latest guidance for and integrating the substances related to the one-way money transfers from Viet Nam to overseas.

The Governor of the State Bank of Viet Nam (SBV) has issued Circular No. 20/2022/TT-NHNN providing guidance for and integrating the substances related to the one-way money transfers from Viet Nam to overseas, and the payment or the money transfers for other current transactions by residents being institutions or individuals, as stipulated in the Ordinance on Foreign Exchange (as amended and supplemented) and Decree No.70/2014/ND-CP dated July 17, 2014 of the Government providing details for the implementation of a number of Articles of the Ordinance on Foreign Exchange, the Ordinance amending and supplementing a number of Articles of the Ordinance on Foreign Exchange, and other relevant legal documents.

The new Circular comprises of 5 Chapters and 19 Articles with the following main substances:

Chapter I mentions the scope of regulation; the subjects of application; the explanation of terms and terminology.

Chapter II mentions the cases of purchasing, transferring or carrying foreign currencies to overseas for the purpose of one-way money transfer by institutions; the sources of foreign currencies being transferred or carried to overseas; the purchase of foreign currencies to be transferred or carried to overseas; transferring or carrying foreign currencies to overseas from the foreign currency source on a payment account.

Chapter III mentions the cases of purchasing, transferring or carrying foreign currencies to overseas for the purpose of one-way money transfer by residents who are Vietnamese citizens; the sources of foreign currencies being transferred or carried to overseas; the purchase of foreign currencies to be transferred or carried to overseas; transferring or carrying foreign currencies to overseas from their own foreign currency sources; the regulations related to the amounts of foreign currencies to be purchased, transferred or carried to overseas for each legitimate purpose.

Chapter IV provides guidance for the payment activities, the money transfers for other current transactions.

Chapter V stipulates the reporting requirements; the responsibilities of the authorized banks; the responsibilities of relevant institutions and individuals; the regulations on the abolishment and amendment of a number of relevant documents; the implementation.

The new Circular will take effect on February 15, 2023.