THE MINISTRY OF HEALTH THE MINISTRY OF FINANCE
SOCIALIST REPUBLIC OF VIET NAM
Independence Freedom Happiness
 
No. 12/2007/TTLT-BYT-BTC
Hanoi, November 19, 2007
 
JOINT CIRCULAR
GUIDING THE FINANCIAL MANAGEMENT MECHANISM APPLICABLE TO DRUGS AND MEDICAL EQUIPMENT UNDER THE U.S. PRESIDENTS EMERGENCY PLAN FOR AIDS RELIEF (PEPFAR)
Pursuant to the Governments Decree No. 49/2003/ND-CP of May 15, 2003, defining the functions, tasks, powers and organizational structure of the Health Ministry;
Pursuant to the Governments Decree No. 77/2003/ND-CP of JuIy  1, 2003. defining the functions, tasks, powers and organizational structure of the Finance Ministry;
Pursuant to the Regulation on management and use of foreign non-governmental aid, promulgated together with the Prime Ministers Decision No. 64/2001/QD-TTg of April 26, 2001:
Pursuant to the Framework Agreement signed on June 22, 2005, between the Socialist Republic of Vietnam Government and the United States Administration;
In furtherance of the Prime Ministers instructions in the Government Offices Official Letter No. 2595/VPCP-QHQT of May 16, 2007:
Depending on the particularities of the process of transfer, receipt, use management of drugs and medical equipment under the PEPFAR, the Health Ministry and the Finance Ministry jointly guide the financial management regime applicable to drugs and medical equipment under the PEPFAR as follows:
I. GENERAL PROVISIONS
1. Drugs and medical equipment being non-refundable aid under the US Presidents emergency plan for AIDS relief (PEPFAR) constitute a source of central budget revenue, which must be managed in accordance with the State Budget Law and the commitments in the Framework Agreement signed between the Socialist Republic of Vietnam Government and the United States Administration.
2. Drugs and medical equipment under the PEPFAR will be imported into Vietnam only when approving decisions are issued by competent authorities (defined in Article 6 of the Regulation on management and use of foreign non-governmental aid, promulgated together with the Prime Ministers Decision No. 6472001/QD-TTg of April 26, 2001).
3. The Vietnam HIV/AIDS Prevention and Control Department being the project owner shall receive, manage and use dings and medical equipment strictly according to current regulations on state finance management and the provisions of this Circular.
II. PREPARATION OF DOSSIERS REQUESTING APPROVAL OF AID
Due to the characteristics of the aid and the mode of transfer of aid being drugs and medical instruments under the PEPFAR. the dossiers to be submitted to competent authorities for aid approval will be annual plans on supply of drugs and medical equipment. Annually, the project owner shall assume the prime responsibility for coordinating with donors and concerned units in the formulation of plans on drug and medical equipment supply.
1. Grounds for formulation of plans:
a/ Plans on supply of drugs and medical equipment under the PEPFAR for HIV/AIDS prevention and control in Vietnam are formulated and synthesized from establishments hospitalizing HIV/AIDS patients.
b/ Annually, the project owners shall coordinate with donors in formulating plans on supply and distribution of drugs and medical equipment under the PEPFAR in Vietnam, based on the following criteria:
- The situation and results of the use of drugs and medical equipment in the preceding year (the warehousing, delivery, use and stock, made according to Appendix I to this Circular, not primed herein);
- The demand for drugs and medical equipment in the following year;
- The supply capability of donors.
2. Process:
a/ Medical establishments directly hospitalizing AIDS patients shall base themselves on the patients treatment demands and their respective reception capabilities to determine monthly and yearly drug and medical equipment demands:
b/ To consult AIDS patient-hospitalizing establishments under other programs and projects in the region.
c/ Provincial/municipal HIV/AIDS Prevention and Control Agencies (HIV/AIDS Prevention and Control Centers or Preventive Medicine Centers/ AIDS Prevention and Control Committees, for provinces and cities where AIDS Prevention and Control Centers are not yet set up) shall consider, balance, adjust and sum up drug and medical equipment demands and send them to provincial/ municipal Health Services, the Vietnam HIV/AIDS Prevention and Control Department and other projects under the PEPFAR:
d/ The project owner shall coordinate with organizations representing the donors in summing up the HIV/AIDS drug and medical equipment demands of all provinces and cities covered by the PEPFAR in order to work out annual plans on drug and medical equipment supply (enclosed with the written analysis of economic, technical and other elements related to the process of importing and supplying drugs and medical equipment).
dd/ The Vietnam HIV/AIDS Prevention and Control Department shall coordinate with the Planning and Finance Department, the Therapy Department and the Vietnam Drug Administration in submitting them to the Health Minister for aid approval according to regulations.