Circular No. 15-TC/VT stipulates the financial management regime of the State for international aid funds and goods.

CIRCULAR

OF THE MINISTRY OF FINANCE DECREE NO. 15-TC/VT DATED AUGUST 15, 1991
REGULATING THE MANAGEMENT SYSTEM FOR STATE FINANCES IN RELATION TO INTERNATIONAL AID FUNDS AND GOODS

Pursuant to Decision No. 142/HĐBT dated May 10, 1990 of the Council of Ministers, to perform the function of managing state finances for all international aid funds (in currency and goods) from international organizations (including aid from governments, intergovernmental organizations, United Nations organizations, non-governmental organizations, and other aid sources), the Ministry of Finance hereby regulates the financial management system for these aid sources as follows:

II- SUPPORT MEASURES FOR STATE-OWNED AGRICULTURAL FARMS AND FORESTRY COMPANIES IN THE FIELD OF SCIENCE AND TECHNOLOGY

1. All equipment, materials, goods, and money (foreign currency and Vietnamese dong) provided as aid from foreign countries through all sources are the property of the State and are subject to unified management like all other State assets under the current regime.

2. The Ministry of Finance shall perform the function of managing state finances for all Ministries, General Departments, State Committees, Provincial People's Committees, centrally-administered cities and special administrative regions, associations, mass organizations, economic entities both within and outside the public sector (hereinafter referred to as units) that receive and utilize international aid.

- The provincial finance departments of centrally-administered cities and special administrative regions have the responsibility to assist the Minister of Finance and the People's Committees of centrally-administered cities and special administrative regions in managing international aid funds directly provided by foreign countries to localities and distributed by central ministries and sectors to localities.

- Any act of receiving international aid (including currency and goods) not through the International Aid Management and Reception Board shall be considered as evading state financial management and will be dealt with according to current laws.

3. Each year, units must prepare plans for revenue and expenditure related to international aid (broken down by quarter) together with their economic and financial plans and submit them to the State Planning Commission and the corresponding financial agencies for consolidation and balance within the national economic plan and State budget.

The plans for revenue and expenditure of international aid by units must fully explain the following main contents:

- Plans for the value of aid sources converted into Vietnamese dong for each type of goods and currency received and broken down by purpose and target users.

- Plans for domestic capital participating in projects (if applicable).

- Project management costs (including costs for receiving goods and equipment, transportation, storage, project management...) and sources of funding for this work (self-owned capital, State budget allocation, funds drawn from aid goods if permitted).

- The provincial finance departments must report the consolidated plans to the Ministry of Finance (International Aid Management and Reception Board).

4. Unit heads are responsible before the State for the management and results of using the received international aid.

In principle, international aid must be used in accordance with commitments recorded in programs and projects. In cases where it is necessary to use or adjust international aid, permission must be obtained in writing from the Chairman of the Council of Ministers or from the agency authorized by the Chairman of the Council of Ministers.

It is absolutely forbidden to extract foreign currency or goods from aid sources to establish separate funds in any form without written permission from the Council of Ministers.

5. The payment price of aid goods recorded in the State budget is the value of foreign currency and goods converted into Vietnamese dong at the buying rate published by the Bank at the time of receipt.

6. Units receiving and utilizing international aid must strictly comply with the Accounting and Statistics Ordinance issued by the State Council (No. 06-LCT/HĐNN dated May 20, 1988) and the Accounting Organization Regulations promulgated by Decision No. 25/HĐBT dated March 18, 1989 of the Council of Ministers, as well as the accounting recording system guided in Circular No. 46-TC/CĐKT dated August 15, 1991 of the Ministry of Finance.

II - SPECIFIC PROVISIONS

A - REGARDING ADMINISTRATIVE AND PUBLIC SERVICE UNITS

1. Aid in the form of consumable goods and raw materials such as:

Rice, foodstuffs, ready-made clothing, various types of general merchandise, new drugs, medicinal herbs, office equipment, etc., units receiving and using these items must consider them as part of the State budget funds allocated. Therefore, units must be responsible for receiving, storing, and using them according to the agreed purposes in the commitments with the aid organizations, striving to save and prevent any corruption in the management and use of the received goods.

In cases where sales of aid goods generate income (if permitted), the unit must report to the corresponding financial agency to adjust its financial plan.

Domestic reception and management costs (if necessary) must be arranged and included in the State budget plan by the corresponding financial agency. Strictly prohibited is the extraction of any form of income from international aid funds to cover costs without written approval from the Chairman of the Council of Ministers or the Ministry of Finance.

2. Aid in the form of equipment and spare parts such as: complete sets of equipment, individual technological equipment, spare parts accompanying complete sets of equipment for construction projects... units receiving and using these goods must manage and use them according to the intended purpose, target, and current State investment and construction management regulations.

Based on the nature of the goods and the commitments between our country and the aid organization specified for each project, the corresponding financial agency will examine and record the aid funds into the annual revenue and expenditure plan of the unit in line with the State plan.

3. Aid in the form of currency (cash, various types of checks):

a) All direct foreign currency aid (covering hosting scientific conferences, seminars, domestic and international tours, expert fees, purchasing materials and equipment domestically...) provided to all units must comply with the State's regulations on foreign currency management as stipulated in Decision No. 161/HĐBT dated October 18, 1988 of the Council of Ministers and Circular No. 27-TC/KBNN dated May 27, 1991 of the Ministry of Finance.

第1行至第14行：已经完成。

第15行至第31行：继续翻译。

c) Foreign currency aid sources for purchasing goods from abroad according to commitments with each country shall be managed as follows:

- Foreign currency for purchasing aid goods used for investment in construction projects, known as "hardware," shall be managed by the Ministry of Finance through the Vietnam Investment and Development Bank to handle procedures and allocate to units purchasing goods abroad in accordance with Circular No. 17-TC/ĐT dated March 19, 1991 issued by the Ministry of Finance.

- In cases where foreign currency is used to purchase supplementary equipment not included in construction investment projects and for "software" used for technical support, training, seminars, tours, experts..., the Ministry of Finance (International Aid Management Board) shall directly handle procedures for units.

B- FOR PRODUCTION AND BUSINESS UNITS
(INCLUDING NON-GOVERNMENT ECONOMIC UNITS)

1. Aid in the form of raw materials and consumer goods:

Units receiving aid must use their own legal capital (own capital or bank loans) to pay the full value of the foreign currency of the aid goods to the State budget at the buying rate published by the Bank at the time of receipt of the goods.

In special cases, if the value of the foreign currency of the aid goods converted to Vietnamese currency at the buying rate published by the Bank is higher or lower than the prices of comparable domestic goods (retail market prices), the unit shall pay at the price of comparable domestic goods after inspection, review, and approval by the financial authority at the same level.

In cases where the aid goods have no original currency value (or no comparable domestic goods prices), the value of the aid goods must be determined by the Pricing Council (comprising representatives of the State Price Commission, the financial authority at the same level, the main department, and the receiving unit). The unit shall pay the State budget according to the price determined in writing by the Pricing Council.

2. Aid in the form of equipment and spare parts such as complete sets of equipment, individual technological equipment, spare parts accompanying complete sets of equipment... units receiving aid must use their own legal capital (own capital or bank loans) to pay the full value of the foreign currency of these aid goods to the State budget at the buying rate published by the Bank at the time of receipt of the goods.

Within thirty days from the date of receipt of aid goods (all types of goods), the unit must pay the full value of the aid goods to the State budget.

- Central-managed units must transfer the full value of the received aid goods into account number 01-383-017 of the International Aid Management Board at the Vietnam Foreign Trade Bank. The International Aid Management Board monitors and immediately pays into the State budget and reviews the results of aid transfer with the corresponding aid organization.

For local-managed units, the International Aid Management Board is responsible for transferring all documentation on aid amounts of the unit to the Provincial Department of Finance - Prices for the Provincial Department of Finance - Prices to urge payment into the budget according to the current system of decentralized management of the budget.

Beyond this period (from day 31 onwards), if the unit has not paid the value of the aid goods into the budget (or paid insufficiently), the bank serving the unit will deduct from the unit's deposit account at the bank to pay into the State budget and impose penalties as requested by the financial authority at the same level. The penalty for late payment each day (starting from day 31) is 0.5% (five thousandths) of the amount overdue and deducted from the unit's retained earnings.

Depending on the purpose of using the aid goods (complete sets of equipment, individual equipment used in construction projects; raw materials used in production and business operations...), units receiving and using the aid goods must strictly follow the current management systems to prevent loss, damage, misuse, and ensure effective use of the aid goods.

3. Aid in the form of foreign currency (cash, various checks):

All foreign currency aid must be deposited into the State's centralized foreign currency fund. When needed, units may repurchase the deposited foreign currency using their own legal capital (own capital or bank loans).

4. Foreign currency aid from governments (bilateral aid) according to signed programs and projects, the State will implement through a mechanism of selling to economic units or lending at preferential interest rates. The Ministry of Finance will issue separate guidelines.

III- PROCEDURES FOR PAYMENT THROUGH THE STATE BUDGET

A- OBJECTS, FORMS, AND PRINCIPLES OF PAYMENT

1. Objects and forms of payment:

All units receiving and utilizing international aid must make payments through the State budget.

- Administrative and service units (funded by the State budget): when receiving aid, they shall apply the form of recording income and expenditure through the budgets at various levels.

- Production and business units (not funded by the State budget): when receiving aid, the unit must directly pay the value of the aid into the budgets at various levels according to the current State budget classification.

2. Principles of payment:

Implementing Resolution No. 186/HĐBT dated November 27, 1989 of the Council of Ministers and Circular No. 57-TC/NSNN dated December 12, 1989 of the Ministry of Finance on the decentralization of budget management, international aid for units under which level of budget management shall be paid through that level of budget, specifically:

- Units under central budget management - payment at the Ministry of Finance.

- Units under local budget management - payment at the Provincial Departments of Finance - Prices.

B- BASIS FOR PAYMENT

1. Units receiving and using aid, upon receipt of notification of foreign currency aid goods, must go to the Ministry of Finance (International Aid Management Board) or the Management and Reception Board's representative office in Ho Chi Minh City, Da Nang Reception Board to confirm that the aid goods and foreign currency are in accordance with the model prescribed by the Ministry of Finance (Circular No. 2058-TC/VT dated December 21, 1990) for procedures to receive goods, withdraw money, and settle accounts with budgets at all levels.

2. The confirmation certificate of aid goods and foreign currency declared by the unit is a payment voucher through the budgets at all levels.

In cases where goods received at ports or airports have discrepancies such as surplus, shortage, loss, incorrect type, price... compared to the declaration or the actual amount received at the bank differs (increases or decreases) from the confirmed amount, then:

- The unit receiving goods must send the inspection report to the International Aid Management Board.

- The unit receiving money must report the results of receiving money to the International Aid Management Board.

The International Aid Management Board will review and adjust the confirmation certificate according to the actual received goods (or money) for the unit.

After fifteen days from the date of receiving aid goods and foreign currency, if the unit does not submit a report on the results of receiving money or an inspection report on goods to the International Aid Management Board, then the confirmation certificate declared by the unit according to the bill of lading mentioned above shall be considered a valid document for settlement with the budgets at all levels.

IV- REPORTING AND INSPECTION REGIME

A- CONTENT OF REPORTS

Every quarter, annually, and upon completion of projects, units receiving and using aid funds and goods must provide comprehensive reports on the situation of receiving, using, and settling aid funds and goods. The report must include the following contents:

a) The situation and results of receiving and distributing aid funds and goods.

b) The situation of using aid funds and goods (reporting detailed contents of using aid funds and goods for each specific object and work).

c) Costs incurred for receiving and managing aid funds and goods from the point of delivery to the point of use.

đ) Costs involved in implementing the project (if any).

e) Difficulties encountered and recommendations to the management agencies and related agencies regarding the reception, distribution, and use of aid funds and goods.

g) Evaluation of the effectiveness of the use of aid funds and goods.

B- PROCEDURE FOR REPORTING AND APPROVING SETTLEMENT

a) Units under central management (including Ministries acting as project leaders receiving and distributing aid goods for localities to use) must report the situation of using and settling aid funds and goods to the Ministry of Finance (International Aid Management Board).

The Ministry of Finance participates and coordinates with relevant ministries and sectors in approving the settlement of aid funds and goods of these units.

b) Units under local management must report the situation of using and settling aid funds and goods to the Provincial Department of Finance.

The Provincial Department of Finance participates and coordinates with the main provincial departments in approving the settlement of aid funds and goods of these units, while also compiling the overall situation of using and settling all aid funds and goods within the locality and sending it to the Ministry of Finance (International Aid Management Board).

c) The Ministry of Finance (International Aid Management Board) is responsible for compiling the overall situation of receiving, distributing, using, and settling with the State budget regarding aid funds and goods to report to the State, and simultaneously reporting to international aid organizations.

C- INSPECTION REGIME

To enhance the efficiency of managing international aid funds and goods; guide and assist units in resolving international disputes arising during the implementation of aid projects; and to detect and recommend measures to address violations in the management, distribution, and use of aid funds and goods. Management and finance agencies at all levels must regularly inspect units receiving and using aid.

Inspection content:

- Inspect the distribution and use of aid funds and goods in accordance with the intended purpose, commitments, and effectively.

- Inspect compliance with current state management regimes for aid funds and goods.

- Inspect costs associated with managing aid funds and goods.

- Inspect accounting and statistical work, as well as compliance with periodic state accounting and statistical reporting regimes.

V- IMPLEMENTATION PROVISIONS

1. Units receiving and using international aid funds and goods are responsible for strictly implementing the provisions of this Circular.

2. It is requested that the State Bank, National Bank, Ministry of Home Affairs, General Customs Department, and other relevant agencies closely coordinate with the Ministry of Finance (International Aid Management Board, Provincial Departments of Finance under the central government) in the implementation of state financial management of international aid funds and goods.

3. This Circular takes effect from the date of signature. Any financial management regulations contrary to this Circular are abolished.

During the implementation process, if there are difficulties or obstacles, it is recommended that relevant sectors, levels, and grassroots units reflect them to the Ministry of Finance (International Aid Management Board) for research, supplementation, and amendment.