Thông tư 26/2011/TT-NHNN

CIRCULAR

ON IMPLEMENTING THE SCHEME OF ADMINISTRATIVE PROCEDURE SIMPLIFICATION IN MONETARY ACTIVITY UNDER THE RESOLUTION OF THE GOVERNMENT ON THE SIMPLIFICATION OF ADMINISTRATIVE PROCEDURES WITHIN THE JURISDICTION OF THE STATE BANK OF VIETNAM

- Pursuant to the Law on the State Bank of Vietnam No. 46/2010/QH12 dated 16 June 2010;

- Pursuant to the Law on Credit Institutions No. 47/2010/QH12 dated 16 June 2010;

- Pursuant to the Decree No. 96/2008/ND-CP dated 26 August 2008 of the Government providing for the functions, duties, authorities and organizational structure of the State Bank of Vietnam;

- Pursuant to the Resolution No. 60/NQ-CP dated 17 December 2010 of the Government on the simplification of administrative procedures within the jurisdiction of the State Bank of Vietnam,

- Pursuant to the Resolution No. 64/NQ-CP dated 21 December 2010 of the Government on the simplification of administrative procedures within the jurisdiction of Vietnam Bank for Social Policies;

The State Bank of Vietnam (hereinafter shortly referred to as the State Bank) hereby announces to amend, supplement, replace or abolish some provisions at legal documents issued by the State Bank for the implementation of the scheme of administrative procedure simplification in payment activity and other areas as follows:

Article 1. To amend, supplement several articles of the Regulation on discount, rediscount of the State Bank to banks issued in conjunction with the Decision No.898/2003/QD-NHNN dated 12 August 2003 of the Governor of the State Bank for implementing the scheme of simplification as mentioned in Paragraphs 1 and 2 Section I Part A of the Resolution No. 60/NQ-CP as follows:

1. To amend, supplement Article 10 as follows:

"Article 10. Procedures of performing the discount operation

1. Banks (head offices) that have a demand for discounting valuable papers shall send an application for discount (Form No. 01) to the State Bank (Banking Operation Department or an authorized branch of the State Bank) before 3.00pm of business days.

In case where the discount is indirectly performed, the banks shall send an application for participating in the discount operation (in line with the form in Appendix 01a.DGH enclosed to this Circular) via post office or directly to the State Bank (Banking Operation Department and Informatics Technology Department) as a basis for granting login key, electronic signature code and transaction assignment.

Upon arising any change in the personnel involving in the discount operation, after 03 working days, at the latest, since the effective date of the decision on personnel change of the bank and in 10 days before the date where the personnel shall participate in the transaction, the bank shall prepare and send an application for the new grant of login key and electronic signature code (in line with the form in the Appendix No. 01b.DGH enclosed to this Circular) via post office or directly to the State Bank (Banking Operation Department and Informatics Technology Department) for being granted with login key, electronic signature code and for performing the transaction assignment. For the case of withdrawing login key, electronic signature code, the bank shall immediately send an application to the State Bank (Banking Operation Department and Informatics Technology Department), via fax, directly or notifying via telephone for the purpose of security in transactions.

Within the next 02 working days since the receipt of full documents in accordance with applicable provisions, the State Bank (Banking Operation Department and Informatics Technology Department) shall proceed with new grant of login key, electronic signature code to the personnel participating in the discount operation of the credit institution. For the case of withdrawing login key, electronic signature code, the State Bank shall proceed with the withdrawal immediately after receiving a request from the bank.

2. Based on the application for discount and the unused discount limit of the bank, after 02 working days since the receipt of the application from the bank at the latest, the State Bank shall make a decision and notify the approval (Form No.02) or disapproval (Form No. 03).

3. In case where at the time of the notice on the discount limit, the discount balance of the bank at the State Bank is higher than the notified discount limit, term discounts that were performed previously shall still be performed as committed. The State Bank shall only proceed with the discount for the bank when the discount balance is less than the notified discount limit of the bank.".

2. To supplement the Regulation on discount, rediscount of the State Bank to banks issued in conjunction with the Decision No. 898/2003/QD-NHNN dated 12 August 2003 of the Governor of the State Bank with the Appendix No. 01a.DGH and 01b.DGH enclosed with this Circular.

Article 2. To amend, supplement several articles of the Decision No. 27/2008/QD-NHNN dated 30 September 2008 of the Governor of the State Bank on the amendment of, supplement to several articles of the Regulation on open market operations issued in conjunction with the Decision No. 01/2007/QD-NHNN dated 05 January 2007 of the Governor of the State Bank for implementing the scheme of simplification as mentioned in Paragraph 3 Section I Part A of the Resolution No.60/NQ-CP as follows:

1. Paragraph 2 Article 1 shall be amended, supplemented as follows:

"Article 5. Recognizing members participating in the open market operation

1. Credit institutions shall be recognized as members participating in the open market operation upon fully satisfying following conditions:

1.1. To have a deposit account maintained at the State Bank (Banking Operation Department or State Bank's branch in province, city);

1.2. To have adequate necessary facilities to participate in the open market operation, including fax machine, internet connected computer;

1.3. To have a written application for participating in the open market operation (in line with the Appendix No. 01/TTM of this Regulation).

2. Procedures of recognizing members participating in the open market operation:

2.1. Credit institutions that fully satisfy conditions as stipulated in Paragraph 1 of this Article shall prepare and send a Registration for participating in open market operation

(in line with Form No. 02a.DGH enclosed to this Circular), via post office or directly to the State Bank (Banking Operation Department) for being issued with a written recognition member participating in the open market operation.

After 03 working days, at the latest, since the receipt of the valid Registration for participating in the open market operation from the credit institution, the State Bank (Banking Operation Department and Informatics Technology Department) shall proceed with issuing a written Recognition of member of the open market operation and member code, transaction code, electronic signature code and assign the credit institution to perform transactions via the network of the State Bank.

2.2. Upon arising any change in personnel participating in the open market operation with the State Bank, the credit institution shall prepare and send an application for the new grant of login key and electronic signature code for participating in the open market operation via post office or directly to the State Bank (Banking Operation Department and Informatics Technology Department) (in line with the form in the Appendix No.02b.DGH enclosed to this Circular) for performing procedures of granting new transaction entitlement, login key and electronic signature code in accordance with applicable provisions. For the case of withdrawing login key, electronic signature code, the credit institution shall immediately send an application to the State Bank (Banking Operation Department and Informatics Technology Department) via fax, directly or notifying via telephone for the purpose of security in transactions.

After 03 working days, at the latest, since the receipt of the Application for new grant and withdrawal of login key, electronic signature code, the State Bank (Banking Operation Department and Informatics Technology Department) shall proceed with granting new transaction entitlement, login key and electronic signature code in accordance with applicable provisions. For the case of withdrawing the login key, electronic signature code, the State Bank shall cancel the transaction entitlement and withdraw the login key, electronic signature code immediately after receiving the request from the credit institution.

3. The written recognition of member of the open market operation shall automatically expire in the event where competent State agencies have a document stating that the credit institution is reorganized, dissolved, bankrupt or where the State Bank announces that the credit institution fails to fully satisfy conditions as provided for in Paragraph 1 of this Article.

4. The credit institution shall re-submit an application for participating in the open market operation in line with the Appendix No. 02a.DGH to the State Bank (Banking Operation Department) in case where it has already been reorganized or where it has fully satisfied the required conditions for being re-issued with a written recognition of member of the open market operation.".

2. The Appendixes 02a.DGH, 02b.DGH enclosed with this Circular shall replace the Appendix No. 01/TTM enclosed to the Regulation on open market operation issued in conjunction with the Decision No. 01/2007/QD-NHNN dated 05 January 2007 of the Governor of the State Bank.

Article 3. To abolish point b Paragraph 1 Article 8 of the Regulation on the auction of Government Bonds at the State Bank issued in conjunction with the Decision No.935/2004/QD-NHNN dated 23 July 2004 of the State Bank for implementing the scheme of simplification as mentioned in Paragraph 4 Section I Part A of the Resolution No.60/NQ-CP.

Article 4. To amend, supplement point b Paragraph 1 Article 4 of the Circular No.06/2009/TT-NHNN dated 09 April 2009 of the State Bank providing in details for the policy on lending with preferable interest rate under the Program of assistant to poor districts at the Resolution No. 30a/2008/NQ-CP dated 27 December 2008 of the Government for implementing the scheme of simplification as mentioned in point c Paragraph 7 Part I of the Resolution No. 64/NQ-CP as follows:

"b. The householder or an authorized person who is the representative of the householder in the credit relationship with the bank."

Article 5. To amend, supplement Paragraph 5 Article 1 of the Circular No.16/2009/TT-NHNN dated 11 August 2009 of the State Bank on the amendment of, supplement to several articles of the Regulation on issuance of domestic valuable papers of the credit institutions issued in conjunction with the Decision No.07/2008/QD-NHNN dated 24 March 2008 of the Governor of the State Bank for implementing the scheme of simplification as mentioned in Paragraph 84 Section III Part A of the Resolution No. 60/NQ-CP as follows:

"5. Paragraph 1 Article 40 shall be amended, supplemented as follows:

"1. To submit 01 application file for the issuance of long-term valuable papers; an Application file for supplement to the plan of issuance of long-term valuable papers of the fiscal year; an Application file for the issuance of convertible bonds, warrant-linked bonds; Notice of issuance of valuable papers by each issue, via post office or directly to the State Bank (Monetary Policy Department); If there is any change in plan of charter capital increase from the issuance of convertible bonds, warrant-linked bonds which has been approved by the Shareholders’ General Meeting, credit institutions shall send a report to the State Bank (Banking Inspection and Supervision Department) for the consideration and acceptance by the Governor of the State Bank.”.

Article 6. Implementation provisions

This Circular shall be effective from 14 October 2011.

Article 7. Implementation organization

Director of Administrative Department, Head of related units of the State Bank, General Managers of State Bank’s branches in provinces, cities under the central Government’s management and Chairman of Board of Directors (Board of Members), General Director (Director) of credit institutions and other related organizations, individuals shall be responsible for organizing the implementation of this Circular.

APPENDIX NO. 01A.DGH

APPLICATION

FOR PARTICIPATING IN THE DISCOUNT OPERATION

Name of the unit:

Address:

Telephone:        Telex:               Fax: VND deposit account:                     Opened at:

We would like to participate in the discount operation and introduce the list of personnel, controllers and tellers who are competent to participate in the discount operation with the SBV as follows:

Note:

- The person who is competent to approve documents shall be the legal representative of the bank to the law;

- Telephone, fax numbers of the division in charge of discount operation.

APPENDIX NO. 01B.DGH

APPLICATION

FOR NEW GRANT (WITHDRAWAL) OF LOGIN KEY AND ELECTRONIC SIGNATURE CODE FOR PARTICIPATING IN THE DISCOUNT OPERATION

Name of the unit:

Address:

Telephone:        Telex:               Fax: VND deposit account:                     Opened at:

We hereby kindly request the SBV to newly grant and withdraw login key, electronic signature code in accordance the SBV's regulations to personnel whose names are listed in the following table:

I. New grant: For newly assigned persons

II. Withdrawal: For persons who are relieved from duty and introduction of their signatures are not required

1. Competent officer:

2. Controller:

3. Teller:

Note: For the case of new grant, the bank is kindly requested to prepare a written appointment of personnel participating in the transactions in 10 days before the date where that personnel will take part in the transactions; in case of cancellation, the bank is required to immediately notify for the purpose of security in transactions.

APPENDIX NO. 02A.DGH

APPLICATION

FOR PARTICIPATING IN THE OPEN MARKET OPERATION

To: The State Bank of Vietnam (Banking Operation Department) Name of the unit:

Address:

Telephone:        Telex:   Fax: SWIFT CODE:

VND deposit account:    Opened at:

We would like to register for participating in the open market operation at the State Bank and undertake to fully implement provisions at the Regulation on open market operation.

We hereby introduce signatures and kindly request for grant of electronic signature code for the hereunder signatories for participating in the open market operation:

APPENDIX NO. 02B.DGH

APPLICATION

FOR NEW GRANT AND WITHDRAWAL OF LOGIN KEY AND ELECTRONIC SIGNATURE CODE FOR PARTICIPATING IN THE OPEN MARKET OPERATION

Name of the unit:

Address:

Telephone:        Telex:   Fax: SWIFT CODE:

VND deposit account:    Opened at:

We hereby kindly request the State Bank to newly grant and withdraw login key, electronic signature code in accordance applicable regulations to personnel whose names are listed in the following table:

I. New grant: For newly assigned persons

II. Withdrawal: (Introduction of their signatures are not required)

1. Competent officer:

2. Controller:

3. Teller:

Note:

- The approver shall be the legal representative or legally authorized person of the Credit institution to the law;

- Telephone, fax numbers of the division directly in charge of the open market operation.