Decision No. 163/2003/QD-BTC of the Minister of Finance stipulates the functions, tasks, powers, and organizational structure of the Department of Foreign Financial Affairs.

DECISION OF THE MINISTER OF FINANCE

Regulations on the functions, tasks, powers, and organizational structure of the Department of Foreign Finance

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 THE MINISTER OF FINANCE

Pursuant to Decree No. 86/2002/NĐ-CP dated November 5, 2002 of the Government stipulating the functions, tasks, powers, and organizational structure of ministries and ministerial-level agencies;

Pursuant to Decree No. 77/2003/NĐ-CP dated July 1, 2003 of the Government stipulating the functions, tasks, powers, and organizational structure of the Ministry of Finance;

Pursuant to Circular No. 1912/BNV-TCBC dated August 15, 2003 of the Ministry of Home Affairs regarding agreement on establishing rooms at some units of the Ministry of Finance;

Considering the proposal of the Head of the Department of Foreign Finance and the Head of the Department of Organization and Cadres,

DECISION:

Article 1: The Department of Foreign Finance is an entity under the state management machinery of the Ministry of Finance, with the function of assisting the Minister of Finance in representing the Government and the State of the Socialist Republic of Vietnam in financial relations with foreign countries; uniformly managing state affairs concerning borrowing and repaying foreign debts of the Government, borrowing and repaying foreign debts of the nation; managing international aid sources; managing finance for the field of foreign direct investment; managing the centralized foreign currency fund under the state budget.

Article 2: The Department of Foreign Finance has the following tasks:

1. Regarding state management over borrowing and repaying foreign debts of the Government, borrowing and repaying foreign debts of the nation, and financial management of borrowed funds from foreign debts of the Government:

a. Submitting to the Ministry the strategy for borrowing and repaying foreign debts of the nation; long-term plans, five-year plans, annual plans on borrowing and repaying of the Government and the nation; mechanisms for monitoring, analyzing, evaluating, providing, and exchanging information on the status of foreign debts of the Government and the nation (including criteria and borrowing limits). Organizing implementation, guiding, and inspecting the execution of these strategies, plans, and mechanisms after approval;

b. Assisting the Ministry in participating in opinions on strategies, planning, attracting, using, and coordinating official development assistance (ODA) capital, analyzing and evaluating the effectiveness of ODA capital usage; according to the division of the Ministry, participating in opinions with the Investment Department (for construction investment projects) or taking the lead in participating in opinions with relevant agencies in preparing, reviewing, and approving programs and projects expected to use ODA capital; taking the lead in participating in the independent review process of sponsors (if any) for selected projects using ODA loans;

c. Submitting to the Ministry the financial management regulations for ODA loan programs and projects, documents guiding disbursement and financial management for ODA loan programs and projects; organizing implementation and guiding, inspecting the execution after approval; serving as the focal point for handling financial issues during the implementation of ODA loan programs and projects;

d. Submitting to the Ministry the financial mechanism applicable to ODA loan programs and projects, selecting credit institutions or state financial organizations to delegate authority for lending ODA loans; supervising and urging the recovery of delegated loan capital from these organizations;

đ. Participating with units within the Ministry in annual financial plans (foreign capital and counterpart capital) of ODA loan programs and projects; coordinating in the procedures for accounting the state budget for ODA capital sources;

e. Studying, proposing, and implementing schemes for raising foreign capital on the international capital market of the Government (issuing government bonds and other forms of fundraising); participating in opinions with economic organizations in foreign capital fundraising projects (issuing bonds or other forms of commercial loans);

g. Implementing guarantees for foreign borrowing for enterprises according to the Government's guarantee regulations;

h. Studying, proposing, and implementing solutions to reduce the debt obligations of the Government and the Nation; guiding and organizing the repayment of foreign debts from the state budget. Managing the Debt Repayment Reserve Fund according to the provisions of the Minister of Finance;

i. Organizing statistics and accounting of borrowing and repaying foreign debts of the Government; compiling and periodically submitting to the Ministry reports to the Prime Minister and reporting to the National Assembly and the President on the situation of borrowing, managing, using borrowed capital, and repaying foreign debts of the Government and the Nation as required;

2. Regarding the task of assisting the Minister in performing the role of representing the Government and the State of Vietnam in financial relations with foreign countries:

a. Organizing negotiations, signing, or preparing for the leadership of the Ministry to sign foreign loan agreements for approved programs and projects; related agreements on raising capital on the international capital market, agreements on handling or restructuring foreign debts within the responsibility of the state budget;

b. Preparing necessary contents and documents to assist the Ministry in participating as part of the Vietnamese side in inter-governmental committees or at other international forums as assigned by the Minister;

c. Organizing the preparation of necessary contents and documents for the Ministry to work with authorized representatives of foreign governments, organizations, and individuals on Vietnam's financial relations with foreign countries; assisting the Ministry in participating in opinions on financial conditions in international treaties between the Government of Vietnam and foreign countries;

3. Regarding financial management of foreign direct investment capital into Vietnam (FDI) and direct investment by Vietnam abroad:

a. Submitting to the Ministry financial measures to attract foreign investment; proposals to the Government or participating with ministries, sectors, and localities on directions and methods to attract and manage foreign direct investment into Vietnam; participating in opinions on regulatory legal documents related to foreign direct investment into Vietnam and direct investment by Vietnam abroad; drafting and submitting to the Ministry for issuance of guiding documents;

b. Serving as the focal point for coordinating with relevant units within the Ministry to review the financial aspects of foreign direct investment projects into Vietnam and direct investment projects by Vietnam abroad; participating in opinions on partner selection for foreign direct investment projects; compiling and submitting to the Ministry for processing financial-related issues concerning foreign direct investment projects; participating in inspections of foreign direct investment project activities;

c. Compile annual reports and special reports at the request of the Minister on the implementation of foreign direct investment capital, financial operations, and budget revenues from the economic sector with foreign direct investment;

d. Assist the Minister in implementing guarantees for the financial obligations of the Government under BOT contracts and other forms of foreign direct investment according to the division of labor by the Government;

4. On financial management of international aid sources:

a. Lead in developing mechanisms, policies, and systems for managing finances suitable for the characteristics of non-repayable aid funds (hereinafter referred to as aid); guide sectors, localities, units, and project sponsors in implementing issued policies and systems;

b. Draft aid plans according to trade targets and state budget balance targets for each Ministry, sector, locality for the Ministry of Finance to consolidate in the annual state budget estimate; handle procedures to confirm aid, disburse, and allocate budget or lend back aid funds; compile, statistically analyze the implementation and disbursement of aid funds quarterly and annually, report to the Ministry;

c. Lead and coordinate with related units to propose to the Ministry or participate with the Ministry of Planning and Investment, Ministries, sectors, localities regarding the allocation of aid funds; participate in appraising programs and projects expected to use aid funds or provide opinions with the Investment Department in the appraisal process for construction projects expected to use aid funds;

d. Participate with the Committee for Work with Non-Governmental Organizations and related agencies in mobilizing, evaluating the situation and effectiveness of non-governmental organization (NGO) foreign aid sources; lead exchanges with the Ministry of Planning and Investment, Vietnam Friendship Association, and related agencies, compile opinions to present to authorized authorities for decision-making on the distribution and use of non-project NGO aid sources and emergency relief funds without specific addresses;

đ. Lead or participate in inspecting financial management, distribution, and use of aid funds for programs and projects; explain aid receipts and expenditures recorded for Ministries, equivalent Ministries, government agencies, and other central agencies to send to relevant units within the Ministry; participate with financial agencies at all levels in checking final accounts data for aid programs and projects; compile financial settlements for non-governmental aid funds;

e. Organize the receipt, management, sale, and revenue collection of aid goods; manage and use aid funds in goods or cash according to committed objectives and government regulations; organize service reception and delivery of aid goods upon commission from international organizations and project sponsors;

g. Lead or coordinate with related sectors, project sponsors, to resolve disputes arising during aid delivery; coordinate with project sponsors to prepare external reports to aid organizations (if requested) on receipt results: quantity, condition of goods, surplus, shortage, losses, and any issues that arise;

h. Serve as the focal point for receiving, managing, and distributing emergency foreign aid in cases of natural disasters and storms; monitor, coordinate with related agencies, and report to the Government on the receipt and distribution of emergency aid goods;

i. Directly manage the operation of the International Aid Goods Delivery Service Station;

5. Regarding manage the State's centralized foreign currency fund:  

a. Submit to the Ministry for issuance, supplementation, and amendment of guiding documents for managing certain revenue sources, expenditure regimes, and standards from the State's centralized foreign currency fund;

b. Implement disbursements from the State's centralized foreign currency fund (including the temporary holding fund of the State Budget at Vietnamese representative offices abroad) according to the content and recipients designated by the Minister; review and settle foreign currency expenditures of the recipients;

c. Inspect or participate in inspections of foreign currency expenditures by recipient units; urge and inspect foreign currency collections by units according to established regimes;

6. Regarding tasks in managing aid funds, loans, and cooperation between the Government of Vietnam and foreign countries:

a. Submit to the Ministry for issuance and guidance on implementing financial management regulations for aid, loan, and cooperation funds of the Government of Vietnam; implement aid, loan, and cooperation according to the Government's commitments; inspect or participate in inspections of expenditures from aid, loan, and cooperation funds for Vietnamese units assigned to implement programs and projects using these funds;

b. Lead in assisting the Ministry to provide opinions on strategies, plans, and agreements for cooperation between the Government of Vietnam and the Governments of Laos and Cambodia; prepare credit agreements for foreign loans according to special agreements of the Government;

c. Compile and reconcile annual and periodical figures on aid, loans, and cooperation provided by the Government of Vietnam to foreign countries; handle accounting procedures for state budget expenditures for the aforementioned items;

7. Nominate representatives to join the Steering Committees of programs and projects using borrowed funds, aid, and foreign direct investment, or inter-ministerial working groups as proposed by leading agencies and assigned by the Minister;

8. Organize statistical work, analysis, and forecasting in areas managed by the Department; implement information and reporting systems as prescribed by the Ministry;

9. Organize scientific research or cooperate in scientific research with units inside and outside the sector according to approved plans and topics;

10. Perform other tasks as assigned by the Minister;

Article 3: The Director of the Department of Foreign Financial Affairs has the authority:

1. To exchange with domestic and foreign agencies related to resolving professional issues within the scope of tasks assigned by the Ministry; receive necessary files, documents, and data for the Department's tasks.

2. Sign business documents and certificates; explanatory letters regarding professional matters within the scope of responsibility of the Department; working letters or other official documents.

3. Sign letters and telegrams for transactions with agencies, embassies, representatives of international organizations, foreign companies on issues related to the professional responsibilities of the Department, pursuant to the authorization of the Minister of Finance.

 Article 4: The Department of Foreign Finance has a Director and several Deputy Directors.

The Director is responsible for comprehensively managing the civil servants of the Department according to the regulations of the Ministry; organizing training and enhancing the qualifications of civil servants.

The Director is accountable to the Minister of Finance for all activities of the Department.

Deputy Directors are accountable to the Director for the tasks assigned to them.

The Department of Foreign Finance has the following divisions:

1. Bilateral Division I

2. Bilateral Division II

3. Multilateral Division

4. International Organization and Non-Governmental Organization Division

5. Foreign Investment Division

6. General Division.

Specific tasks of each division are stipulated by the Director of the Department of Foreign Finance.

The Department of Foreign Finance operates under a system combining individual specialists with divisional organization.

For tasks carried out by individual specialists, the Director of the Department of Foreign Finance is responsible for organizing work and assigning tasks to civil servants in accordance with their job titles, standards, capabilities, and trained specialties to fulfill assigned duties.

The unit responsible for managing and receiving international aid in Da Nang City and Ho Chi Minh City shall be organized according to separate regulations of the Minister.

The staffing of the Department of Foreign Finance is determined by the Minister of Finance.

Article 5: This Decision takes effect from the date of signing. Decisions No. 98 TC/QĐ/BTC dated February 14, 1996 issued by the Minister of Finance on the Regulations on the Organization and Operation of the Department of Foreign Finance, and Decision No. 976 TC/QĐ/BTC dated October 30, 1996 issued by the Minister of Finance on the Regulations on the Organization and Operation of the Management and Reception of International Aid Board are hereby repealed.

The Director of the Department of Foreign Finance, the Director of the Department of Cadre and Civil Service, the Head of the Ministry of Finance's Office, and the Heads of affiliated organizations and units of the Ministry are responsible for implementing this decision./.