THE GOVERNMENT
Decree No. 70/2014/ND-CP dated July 17, 2014 of the Government on detailing a number of articles of the Ordinance on foreign exchange and the Ordinance amending, supplementing a number of Articles of the Ordinance on foreign exchange
Pursuant to the Law on Organization of the Government dated December 25, 2001;
Pursuant to the Law on the State Bank of Vietnam dated June 16, 2010;
Pursuant to the Law on Credit Institutions dated June 16, 2010;
Pursuant to the Ordinance dated December 13, 2005 and the Ordinance amending, supplementing a number of articles of the Ordinance on foreign exchange dated March 18, 2013;
At the proposal of the Governor of the State Bank of Vietnam,
The Government promulgates the Decree detailing the implementation of a number of articles of the Ordinance on foreign exchange and the Ordinance amending, supplementing a number of articles of the Ordinance on foreign exchange.
Chapter I
GENERAL PROVISIONS
Article 1. Scope of application
1. This Decree details the implementation of a number of articles of the Ordinance on Foreign Exchange and the Ordinance amending, supplementing a number of articles of the Ordinance on foreign exchange regarding foreign exchange activities of residents and nonresidents in the Socialist Republic of Vietnam.
2. Contents involved in management of state foreign exchange reserves, gold, borrowing of foreign capital and payment of foreign debts without the guarantee from the Government, borrowing of foreign capital and payment of foreign debts of the Government, borrowing with the guarantee from the Government, handling with violations on foreign exchange and foreign exchange activities shall comply with other laws of the Government.
Article 2. Subjects of application
1. Organizations and individuals being residents or nonresidents conducting foreign exchange activities in Vietnam.
2. Organizations and individuals being residents involved in foreign exchange activities in terms of management, inspection and handling of violations on foreign exchange and foreign exchange activities.
Article 3. Application of laws on foreign exchange, treaties, foreign laws and international practice
1. Foreign exchange activities must comply with the provisions of this Decree and relevant provisions of law.
2. When a treaty to which the Socialist Republic of Vietnam is a contracting party contains provisions different from those of this Decree, the provisions of that treaty prevail.
3. In the case that a foreign exchange activity has not yet been provided for by Vietnamese law, the involved parties may reach agreement on the application of a foreign law or international practice if the application of that law or practice does not contravene the basic principles of Vietnamese law.
Chapter II
SPECIFIC PROVISIONS
Article 4. Liberalization of current transactions
In the Vietnamese territory, all payment transactions and money transfers for current transactions between residents and nonresidents are conducted freely in accordance with the provisions of this Decree and relevant provisions of law on the following principles:
1. Residents and nonresidents may buy, transfer or carry abroad foreign currencies to meet payment and money transfer demands in current transactions;
2. Residents and nonresidents must present documents under regulations of credit institutions upon the purchase, transfer or carrying abroad of foreign currencies in service of current transactions and take responsibility before law for the truthfulness of papers and documents produced to licensed credit institutions.
3. When buying, transferring or carrying abroad foreign currencies in service of current transactions, residents and nonresidents don’t have to present documents relating to the certification of the fulfillment of their tax obligations towards the Vietnamese State.
