Thông tư 23/2012/TT-NHNN

CIRCULAR

ON THE CASE REGULATION AND CASH TRANSACTIONS

Pursuant to the Law on the State bank of Vietnam No. 46/2010/QH12 on June 16, 2010;

Pursuant to the Government's Decree No. 96/2008/NĐ-CP on August 26, 2008 defining the functions, tasks, powers and organizational structure of the State bank of Vietnam;

Pursuant to the Government's Decree No. 40/2012/NĐ-CP on May 02, 2012 on the cash issuance; the preservation and transportations of valuables and valuable papers in the system of  the State bank, branches of foreign banks and credit institutions;

At the proposal of the Director of the Issuance and Fund Department;

The State bank of Vietnam promulgates the Circular on the case regulation and cash transactions,

Chapter 1.

GENERAL PROVISIONS

Article 1. Scope of regulation

This Circular prescribes the cash regulation in the system of the State bank of Vietnam (hereinafter referred to as the State bank); the cash transactions between the State bank and branches of foreign banks, credit institutions, State Treasuries, relevant organizations and individuals.

Article 2. Subjects of application

1. The relevant units belonging to the State bank system.

2. Branches of foreign banks, credit institutions, State Treasuries, relevant organizations and individuals (hereinafter referred to as clients) making cash transactions with the State bank.

Article 3. The cash issuance and regulation in the State bank system

The State bank shall issue money into circulation and withdraw money from circulation via cash collection, cash spending, and other professional activities of the State bank and the clients.

The State bank regulates cash in the State bank system through the activities of the Issuance reserves funds and the Issuance funds.

Article 4. The cash issuance and regulation in the State bank system

1. The State bank establishes the Issuance reserves funds and the Issuance funds to manage the issuance reserves money and issue money for the purpose of satisfying the cash demand of the economy, the issuance reserves demand, the demand for replacing money ineligible for circulation and money suspended from circulation.

2. The Issuance reserves fund includes:

- Money newly printed or minted from money printing and minting facilities;

- Money imported from the Issuance fund including money withdrawn from circulation, including money ineligible for circulation and money suspended from circulation.

The Issuance reserves fund is managed at the Central money vault and the money vaults of branches of the State bank of central-affiliated cities and provinces  (hereinafter referred to as branches of the State bank)

3. The Issuance fund includes:

- Money imported from the Issuance reserves fund;

- Money withdrawn from circulation, including money ineligible for circulation and money suspended from circulation.

The Issuance funds are managed at the money vaults of branches and transaction centers of the State bank .

Chapter 2.

SPECIFIC PROVISIONS

SECTION 1. THE CASE REGULATION

Article 5. The export and import of the Issuance reserves fund

1. The export and import between the Issuance reserves fund and Central money vaults; between an Issuance reserves fund at the Central money vaults with an Issuance reserves fund at a branch of the State bank and vice versa; among the Issuance reserves funds at branches of the State bank;

2. The export and import between the Issuance reserves fund at the Central money vault in Hanoi with the Issuance funds at transaction centers of the State bank ;

3. The export and import between the Issuance reserves fund and the Issuance fund at a branch of the State bank;

4. Exporting the money ineligible for calculation and money suspended from circulation from the Issuance reserves funds at Central money vaults for destruction;

5. Importing the new kinds of money put into circulation by the Prime Minister to the Issuance reserves funds at Central money vaults;

6. Importing the money newly printed or minted from money printing and minting facilities to the Issuance reserves funds at Central money vaults.

Article 6. The authority to sign the order to export and import the Issuance reserves fund

1. The Director of the Issuance and Fund Department is entitled to sign the transfer order of cash from the Issuance reserves fund in the State bank system in the cases prescribed in Clause 1, 2, 4, 5, 6 Article 5.

2. The Director of the State bank is entitled to sign the order to export or import cash between the Issuance reserves funds and the Issuance funds managed by branches of the State bank in the cases prescribed in Article 5.

Article 7. Regulating the Issuance reserves fund

Depending on the demand for cash spending and cash collection, the scale and safety conditions of the money vaults of branches of the State bank, and the forecast for cash spending and cash collection of branches of the State bank, the Director of the Issuance and Fund Department shall submit the plan on regulating cash between the Issuance reserves funds at Central money vaults and the cash regulations organizations affiliated to the Issuance reserves funds in the State bank system to the Governor of the State bank for approval.

Article 8. The export and import of the Issuance fund

1. The Issuance funds at branches of the State bank are allowed to export or import with the Issuance reserves funds and may spend or collect cash with clients that make transactions or payment to branches of the State bank.

2. The Issuance funds at the transaction centers of the State bank are allowed to export or import with the Issuance reserves fund at the Central money vault in Hanoi and may spend or collect cash with clients that make transactions or payment.

Article 9. Norms of the Issuance reserves fund

Depending on the demand for cash spending and cash collection, the scale and safety conditions of the money vaults of the transaction centers of the State bank, the Director of the Issuance and Fund Department shall approve the balance norm of the Issuance funds at branches and transaction centers of the State bank.

Branches and transaction centers of the State bank must not let the fund balance exceed the norm approved. The balance norm of the Issuance funds only covers the kinds of money eligible for circulation.

SECTION 2. CASH TRANSACTIONS

Article 10. Cash transactions

1. The branches and transaction centers of the State bank shall make cash transactions with their clients via spending and collecting cash.

2. If a credit institution has multiple branches in the same locality, the branch of the State bank shall make cash transactions via a representative unit appointed by that credit institution on the basis of satisfying the conditions for fund safety and other conditions as prescribed by the State bank.

3. The representative unit of the credit institution must satisfy the demand for spending and collecting cash with its local branches.

Article 11. Provisions on cash transactions

1. Branches of foreign banks, credit institutions, and State Treasuries only make cash transactions with branches and transaction centers of the State bank twice a day and must notified at least 2 hours prior to the time of transaction. The Directors of branches and transaction centers of the State bank shall consider the irregular and urgent demand of Branches of foreign banks, credit institutions, and State Treasuries.

2. The Directors of branches and transaction centers of the State bank shall specify the time of cash transactions with clients, the time of stopping making transactions at the end of days to close the book and review the Issuance fund.

Chapter 3.

RESPONSIBILITY OF UNITS

At the proposal of the Director of the Issuance and Fund Department;

1. Being responsible to the Governor for the cash regulation in the State bank system; ensuring enough cash for branches and transaction centers of the State bank.

2. Sending reports to the Governor of the State bank on the cash status in the State bank system.

3. Guiding and inspecting the implementation of this Circular.

Article 13. Branches and transaction centers of the State bank

1. Satisfying the demand for cash of the clients on the basis of deposit balance at branches and transaction centers of the State bank.

2. Forecasting the cash collection and cash spending every quarter and send to the Issuance and Fund Department (under the form promulgated together with this Circular).

3. Branches of the State bank must regularly inspect the cash collection and cash spending within their localities to determine the structure of cash put into circulation.

Article 14. Branches of foreign banks and credit institutions

1. Complying with the provisions on cash transactions of the State bank.

2. Making reports and statistics on the fund operation in accordance with current provisions of the State bank.

Chapter 4.

IMPLEMENTATION PROVISIONS

Article 15. Effect

1. This Circular takes effect on September 24, 2012.

2. The Decision No. 25/2008/QĐ-NHNN on September 08, 2008 of the Governor of the State bank, on the cash regulation, the export and import of the Issuance reserves funds and Issuance funds in the State bank system, is annulled as from this Circular takes effect.

Article 26. Organizing the implementation

The Chief officer of the State bank, The Director of the Issuance and Fund Department, Heads of relevant units in the State bank system; Presidents of the Boards of Directors, General Directors (Directors) of branches of foreign banks, credit institutions, and State Treasuries are responsible for implementing this Circular.