THE STATE BANK OF VIETNAM
Circular No. 17/2013/TT-NHNN dated July 16, 2013 of the State Bank of Vietnam promulgating the guidance for the foreign exchange control regarding to enterprise’s international bond issuance not guaranteed by the Government
Pursuant to the Law No. 46/2010/QH12 dated June 29, 2010 of the National Assembly on the State Bank of Vietnam;
Pursuant to the Law No. 47/2010/QH12 dated June 29, 2010 of the National Assembly on Credit Institutions;
Pursuant to the Ordinance No. 28/2005/PL-UBTVQH11 dated December 21, 2005 of the Standing Committee of the National Assembly on foreign exchange control;
Pursuant to the Decree No. 90/2011/ND-CP dated October 14, 2011 of the Government on issuance of corporate bonds;
Pursuant to the Decree No. 96/2008/ND-CP dated August 26, 2008 of the Government defining the functions, tasks, powers and organizational structure of the State Bank of Vietnam;
At the proposal of Head of Foreign exchange management Department;
The Governor of the State bank of Vietnam issues Circular promulgating the guidance for the foreign exchange control regarding to enterprise’s international bond issuance not guaranteed by the Government,
Chapter 1.
GENERAL PROVISIONS
Article 1. Scope of regulation and subjects of application
1. This Circular provides for appraisal of the international bonds issuance of commercial banks being state enterprises, confirmation of issuance limit for international bonds, confirmation of register, confirmation of register for change of the international bonds issuance of enterprises that are not guaranteed by the Government for opening and using foreign currency account with the aim of international bond issuance.
2. Subjects are organizations, individuals relating to the international bond issuance that are not guaranteed by the Government.
Article 2. Interpretation of terms
In this Circular, the following terms are construed as follows:
1. International bonds mean corporate bonds that are issued on international financial market.
2. Enterprises include joint-stock companies and limited liability companies as prescribed by Law on enterprises, and credit institutions as prescribed of Law on credit institutions.
3. Credit institutions, foreign banks’ branches allowed being credit institutions, foreign banks’ branches in Vietnam that operate trading and provision of foreign exchange services as prescribed by law of Vietnam.
4. Commercial banks being foreign enterprises (hereinafter referred to as state commercial bank) and established and operate under Law on credit institutions, of which 50% of charter capital are owned by State.
5. Issuance shall mean a medium, long term foreign borrowing in the form of international bond issuance of enterprises that are not guaranteed by the Government
6. Issuance limit confirmation shall mean a document issued by the State Bank of Vietnam (hereinafter referred to as “the State bank” ) that confirms the value of the international bonds issued by the enterprise, which is within the national total limit of commercial borrowing from a foreign country and is annually approved by the Prime Minister
7. Registration of issuance shall mean the case where the enterprise registers with the State Bank on the foreign borrowing in the form of international bond issuance
8. Confirmation of issuance registration shall mean a document issued by the State Bank confirming that the enterprise has already registered for the issuance in line with provisions of this Circular
9. Confirmation of issuance registration change shall mean a document issued by the State Bank confirming that the enterprise has already registered for the issuance change where there is a change in the contents already confirmed by the State Bank in the Confirmation of issuance registration.
10. Account of foreign loan and repayment shall mean a foreign currency account that is opened by the enterprise at one (01) authorized credit institution or foreign bank’s branch for performing the international bond issuance
