Decree No. 156/2013/ND-CP on the functions, tasks, powers, and organizational structure of the State Bank of Vietnam

DECREE

Regulations on functions, tasks, powers, and organizational structure

of the State Bank of Vietnam

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 Decree No. 36/2012/NĐ-CP dated April 18, 2012, of the Government stipulating the functions, tasks, powers, and organizational structure of Ministries and ministerial-level agencies;

At the proposal of the Governor of the State Bank of Vietnam;

The Government promulgates the Decree stipulating the functions, tasks, powers, and organizational structure of the State Bank of Vietnam,

Article 1. Position and Functions

The State Bank of Vietnam (hereinafter referred to as the State Bank) is an agency at the level of a Ministry under the Government, the Central Bank of the Socialist Republic of Vietnam; it performs the function of state management over currency, banking activities, and foreign exchange; it performs the functions of the Central Bank regarding issuance of currency, banking for credit organizations, and provision of monetary services to the Government; it manages public services within its scope of state management.

b) Draft five-year and annual socio-economic development plans for the province; major economic and social balances for the province; draft five-year and annual plans, programs, projects, measures to organize and implement tasks related to socio-economic development, finance-budget, planning-investment, and other tasks within the scope of state management of the Department of Finance as prescribed by law;

The State Bank shall perform the tasks and powers prescribed in the Law on the State Bank of Vietnam, Decree No. 36/2012/NĐ-CP dated April 18, 2012 of the Government stipulating the functions, tasks, powers, and organizational structure of Ministries and agencies at the level of a Ministry, and the following specific tasks and powers:

1. Submit draft laws, draft resolutions of the National Assembly, draft ordinances, draft resolutions of the Standing Committee of the National Assembly; draft decrees of the Government according to the annual legislative program of the State Bank that has been approved, and projects and programs assigned by the Government, Prime Minister; strategies, plans for development annually and long-term; national target programs, action programs, and important national projects and works within the scope of management of the State Bank.

2. Submit draft decisions, directives, and other documents within the scope of management of the State Bank or as assigned by the Prime Minister.

3. Issue circulars, directives, and other documents within the scope of state management of the State Bank. Direct, guide, inspect, and be responsible for organizing the implementation of normative legal documents; programs, projects, and development plans that have been issued or approved within the scope of management of the State Bank.

4. Develop annual inflation targets to submit to the Government; use tools to implement national monetary policy, including: rediscounting, interest rates, exchange rates, reserve requirements, open market operations, and other tools and measures to implement national monetary policy.

5. Organize statistics, collect information on the economy, currency, and banking both domestically and internationally to serve research, analysis, and forecasting of monetary trends to build and manage national monetary policy; disclose information on currency and banking in accordance with the provisions of the law.

6. Grant, amend, supplement, revoke licenses for the establishment and operation of credit organizations, licenses for the establishment of branches of foreign banks, licenses for the establishment of representative offices of foreign credit organizations, and other foreign organizations engaged in banking activities; grant, revoke licenses for non-bank organizations to provide payment intermediary services; grant, revoke licenses for organizations to provide credit information services; approve the purchase, sale, division, merger, dissolution of credit organizations in accordance with the provisions of the law.

7. Decide to apply special measures against credit organizations seriously violating the provisions of the law on currency and banking experiencing financial difficulties and posing risks to the safety of the banking system, including purchasing shares of credit organizations; suspending, temporarily suspending, removing from office managers and executives of credit organizations; deciding to merge, consolidate, dissolve credit organizations; placing credit organizations in a special control status; performing its duties and powers in accordance with the provisions of the law on bankruptcy concerning credit organizations.

8. Take the lead, coordinate with relevant agencies to develop policies, plans, and organize the implementation of anti-money laundering measures.

9. Inspect, audit, supervise banking; inspect, audit foreign exchange activities and gold trading activities; monitor credit; handle violations of the law in the fields of currency, banking activities, and foreign exchange in accordance with the provisions of the law.

10. Implement state management over deposit insurance in accordance with the provisions of the law on deposit insurance.

11. Take the lead in establishing, monitoring, forecasting, and analyzing the results of implementing the balance of payments; report on the implementation of the balance of payments of Vietnam in accordance with the provisions of the law; act as the focal point for providing balance of payments data of Vietnam to domestic and foreign organizations in accordance with the provisions of the law.

12. Organize, manage, operate, and supervise to ensure the safety and effectiveness of the national payment system, provide payment services to banks; supervise the provision of payment intermediary services; manage payment instruments in the economy.

13. Implement state management over foreign exchange, foreign exchange activities, and gold trading activities:

a) Manage foreign exchange and foreign exchange transactions in current accounts, capital accounts, and the use of foreign exchange on Vietnamese territory; gold trading and foreign exchange service provision and other transactions related to foreign exchange; border area foreign exchange activities in accordance with the provisions of the law;

b) Manage the State's foreign exchange reserves in accordance with the provisions of the law; buy and sell foreign exchange on the domestic market for the purpose of national monetary policy; buy and sell foreign exchange with the state budget, international organizations, and other sources; buy and sell foreign exchange on the international market and conduct other foreign exchange transactions in accordance with the provisions of the law;

c) Announce exchange rates; decide on exchange rate regimes and mechanisms for managing exchange rates.

d) Issue and revoke approval documents for foreign exchange business operations and services to credit institutions, foreign bank branches, and other organizations in accordance with the provisions of the law.

đ) Manage foreign exchange activities related to foreign direct investment in Vietnam and Vietnamese investment abroad in accordance with the provisions of the law.

e) Manage gold trading activities in accordance with the law.

14. Implement management over borrowing and repayment of foreign debt by resident entities eligible to borrow and repay foreign debt independently in accordance with the law; guide procedures for organizing and implementing registration, changes to registration, revocation, or termination of the validity of confirmation documents for foreign loans guaranteed by the Government.

15. Implement management over lending, recovery of foreign debts, and guarantees for non-residents by credit organizations and economic organizations in accordance with the law.

16. To represent the Socialist Republic of Vietnam at the International Monetary Fund (IMF), the World Bank Group (WB), the Asian Development Bank (ADB), the International Investment Bank (IIB), the International Economic Cooperation Bank (IBEC), and other international monetary and banking organizations.

To exercise the rights and obligations of Vietnam at international monetary and banking organizations where the State Bank of Vietnam is the representative; to propose policies and measures to the Government and the Prime Minister for developing and expanding cooperation with these organizations.

17. To chair and coordinate with relevant agencies in preparing the content, conducting negotiations, and signing international treaties with international financial and monetary organizations where the State Bank of Vietnam is the representative and the official borrower as stipulated in the international treaties, pursuant to the assignment and authorization of the President or the Government.

To implement international cooperation in the fields of money, banking, and foreign exchange as prescribed by law; to participate and implement Vietnam's obligations as a member of international organizations for preventing and combating money laundering.

19. To stabilize the monetary and financial system.

a) Aggregate, analyze, and forecast monetary and financial conditions; propose measures to prevent systemic risks in the monetary and financial sectors.

b) Develop policies and measures to respond to crises, ensuring stability in the monetary, banking, and financial systems.

20. To perform central bank operations:

a) To organize the printing, minting, storage, and transportation of paper and metal currency; to carry out issuance, withdrawal, replacement, and destruction of paper and metal currency.

b) Provide refinancing aimed at supplying short-term capital and payment means to credit institutions;

c) Organize, manage, and develop the money market; manage and operate the domestic currency market and the interbank foreign exchange market.

21. To organize a credit information system and provide credit information services; to perform state management functions over credit information organizations; to analyze and rank corporate and individual credit ratings within Vietnam.

22. Act as an agent and provide banking services for the National Treasury.

23. Participate with the Ministry of Finance in the issuance of government bonds and government-guaranteed bonds.

24. To approve and organize the implementation of investment projects within its authority; to review and inspect the implementation of investment projects in the banking sector as prescribed by law.

25. Organize and direct scientific research, application of technological progress, and environmental protection in the banking sector in accordance with the provisions of the law.

26. Organize training and professional development in money and banking in accordance with the provisions of the law.

27. To decide on specific policies and measures and to direct the operation mechanism of public service units in the monetary field, banking activities, and foreign exchange; to manage public service units under its authority as prescribed by law.

28. To act as the owner representative of the state capital in enterprises with state capital:

a) To develop and submit to the Prime Minister proposals for establishing, restructuring, reorganizing, and converting ownership of state-owned enterprises under the State Bank of Vietnam's management and to direct their implementation after approval;

b) To approve or submit to the Prime Minister for approval the charter of organization and operation of state-owned enterprises operating in the banking sector within its authority;

c) To appoint representatives for the state capital, to appoint positions of Chairman of the Board of Members and members of the Board of Members, General Director and Deputy General Directors, Chief Accountant, Head of the Supervisory Board and members of the Supervisory Board in state-owned commercial banks where the state holds 100% of the charter capital.

To appoint representatives for the state capital in joint-stock commercial banks with state participation.

To approve lists of candidates proposed for election or appointment as members of the Management Board, members of the Board of Members, members of the Supervisory Board, and General Directors (Directors) of credit institutions that are joint-stock companies or limited liability companies.

d) To use statutory capital to contribute to the establishment of special-purpose enterprises to fulfill the functions and tasks of the State Bank of Vietnam as decided by the Prime Minister.

29. Fulfill duties and powers over associations and non-governmental organizations under the State Bank of Vietnam's jurisdiction in accordance with the provisions of the law.

30. To conduct inspections, audits, handle complaints and reports; to prevent and combat corruption, inefficiency, bureaucracy, and favoritism; to practice thrift and combat waste as prescribed by law.

31. To decide and direct the implementation of the State Bank of Vietnam's administrative reform program according to the goals and content of the Government's administrative reform program and the Prime Minister's directives; to decide and direct changes in working methods, modernization of offices, and the application of information technology to serve the activities of the State Bank of Vietnam.

32. To manage organizational structure, civil servant staffing, job positions, and the number of personnel in public service units based on occupational titles as prescribed by law; to decide on rotation, transfer, appointment, dismissal, removal from office, retirement, resignation, commendation, and disciplinary actions; and to decide on training and development policies for cadres, civil servants, and staff within its authority as prescribed by law.

33. To submit to the Prime Minister for regulations on recruitment mechanisms and remuneration policies for cadres and civil servants suitable for the special operational activities of the State Bank of Vietnam.

34. To manage finances and assets assigned as prescribed by law.

35. Perform other tasks and powers delegated by the Government and Prime Minister and according to the provisions of the law.

Article 3. Organizational Structure

1. Department of Monetary Policy.

2. Department of Foreign Exchange Management.

3. Department of Payment.

4. Department of Credit for Economic Sectors.

5. Department of Forecasting and Statistics.

6. Department of International Cooperation.

7. Department of Monetary and Financial Stability.

8. Department of Internal Audit.

9. Legal Affairs Department.

10. Department of Finance and Accounting.

11. Department of Organization and Cadre Management.

12. Department of Mobilization and Awards.

13. Office.

14. The Department of Information Technology.

15. Issuance and Treasury Bureau.

16. The Administrative Department.

17. The Trading Department.

18. The Banking Inspection and Supervision Agency.

19. Branches in provinces and centrally-administered cities.

20. Representative Office in Ho Chi Minh City.

21. Institute of Banking Strategy.

22. National Credit Information Center of Vietnam.

23. Banking Times.

24. Banking Magazine.

25. Cadre Training Institute.

26. Ho Chi Minh City University of Banking.

27. Banking Academy.

In this Article, units specified from Clause 1 to Clause 20 assist the Governor of the State Bank of Vietnam in performing state management functions and central bank functions; units specified from Clause 21 to Clause 27 are public service units serving the state management functions of the State Bank of Vietnam.

Units within the organizational structure of the State Bank of Vietnam may establish departments as required by actual work needs.

The Governor of the State Bank of Vietnam shall submit to the Prime Minister for promulgation of a Decision specifying the functions, tasks, powers, and organizational structure of the Banking Inspection and Supervision Agency.

The Governor of the State Bank of Vietnam shall specify the functions, tasks, powers, and organizational structure of units directly under the State Bank of Vietnam, except for the Banking Inspection and Supervision Agency.

Article 4. Effective date

This Decree takes effect from December 26, 2013, replacing Decree No. 96/2008/NĐ-CP dated August 26, 2008, of the Government on the functions, tasks, powers, and organizational structure of the State Bank of Vietnam.

Other previous provisions contrary to this Decree are abolished.

Article 5. Transitional Provisions

The Banking Supervisory Agency shall continue to implement in accordance with current laws until the Prime Minister issues a Decision stipulating the functions, tasks, powers, and organizational structure of the Banking Supervisory Agency.

Article 6. Responsibility for Implementation

The Governor of the State Bank of Vietnam, Ministers, Heads of ministerial-level agencies, Heads of government-affiliated agencies, Chairpersons of provincial People's Committees under central cities are responsible for implementing this Decree./.