Directive No. 05/CT-NH1 on Strengthening Guidance for the Expansion of Payment Services in Residential Areas

DIRECTIVE

OF THE STATE BANK OF VIETNAM

On Strengthening Guidance for the Implementation and Expansion of Non-Cash Payments in Residential Areas

The Governor of the State Bank has issued the rules for non-cash payments pursuant to Decision No. 22/QĐ-NH1 dated February 21, 1994, and Circular No. 08/TT-NH2 dated June 2, 1994. Various types of accounts and payment methods have been implemented. However, individual accounts and personal checks have unique characteristics and must be piloted and gradually expanded.

Hanoi was selected as a pilot city and began implementation from September 1994; Ho Chi Minh City started from March 1995. After a period of piloting the opening of individual accounts and issuing personal checks in these two cities, up to now, the total number of individual accounts opened is 20,477 with a balance of 221 billion dong.

Based on the preliminary assessment, evaluation, and lessons learned from piloting the opening of individual accounts and issuing personal checks in Hanoi and Ho Chi Minh City, further piloting will continue in other regions to gradually implement nationwide;

To effectively expand and intensify the mobilization of funds from residents through this method,

The Governor of the State Bank issues the following directive:

1. For the two current pilot cities (Hanoi and Ho Chi Minh City):

1.1. Continue to implement according to the plan proposed by the Steering Committees of the two cities. Monthly and quarterly, the directors of the State Bank branches in the cities shall compile specific situations and results to report to the Governor of the State Bank.

1.2. Take advantage of the direct leadership of local party committees and governments to guide the expansion of the application of individual accounts and personal checks within their jurisdictions, particularly focusing on extensive propaganda among the people alongside various forms of media such as television, radio, and newspapers.

1.3. The General Directors of the State-owned Commercial Banks shall strengthen guidance to their branches in the two cities and other regions included in the expanded pilot program starting July 1, 1995, actively participating in the Steering Committee's program, enhancing the introduction and guidance to the public on using individual accounts and bank payment methods, and arranging necessary human resources and equipment to ensure convenient, prompt, and quality service and transactions with customers.

1.4. All credit organizations in the area, when opening individual accounts for customers, shall be responsible for guiding customers to use personal checks, payment orders, and other payment methods according to the current non-cash payment regulations (Decision No. 22/QĐ-NH1 dated February 21, 1994, and Circular No. 08/TT-NH2 dated June 2, 1994, and Circular No. 266/CV-NH2 dated May 29, 1995).

2. Assign the Director of the State Bank Branch in Haiphong City and the provinces of Quang Nam - Da Nang, Ba Ria - Vung Tau, and Can Tho to urgently and actively prepare to implement the opening of individual accounts, issuance of personal checks, and related payment methods in their respective areas starting July 1, 1995. The implementation approach should study the methods of the two pilot cities and follow the above regulations.

The Departments and Units related to the State Bank (Standing Committee on Payment, Department of Planning and Finance, Economic Research Department, Issue and Treasury Department, Governor's Office, Bank Printing House, Bank Supply Company) shall be responsible for researching improvements to the printing process of personal checks, with the Accounting and Finance Department taking the lead, to promptly meet the requirements of commercial banks.

The Economic Research Department shall research and supplement statistical reporting systems for individual accounts and the use of personal checks.

4. The Bank shall negotiate contracts with service providers for bank payments of electricity bills, rent, telephone bills, tax payments, etc. Encourage high-income individuals in enterprises to actively participate in the opening of individual accounts and issuance of personal checks.

The above are some measures to be implemented during the process of opening individual accounts and issuing personal checks in key regions. It is required that the General Directors of commercial banks and heads of units in the selected pilot provinces and cities focus on directing and implementing immediately to ensure the success of this pilot program.

During the implementation process, if there are difficulties or obstacles, they need to be reported to the Governor for timely resolution.