Circular No. 22/2017/TT-BTC on the repurchase of government bonds in the domestic market

CIRCULAR

Regarding the repurchase of government bonds in the domestic market

Pursuant to the Law on Public Debt Management dated June 17, 2009;

Pursuant to the State Budget Law dated June 25, 2015;

Pursuant to Decree No. 215/2013/NĐ-CP dated December 23, 2013 stipulating the functions, tasks, powers, and organizational structure of the Ministry of Finance;

Pursuant to Decree No. 01/2011/NĐ-CP dated January 5, 2011 on the issuance of government bonds, government-guaranteed bonds, and local government bonds;

Pursuant to Decision No. 56/2012/QĐ-TTg of the Prime Minister dated December 21, 2012 promulgating the regulations on management and risk handling for the public debt portfolio;

At the proposal of the Director of the Department of Banking and Financial Organization Finance,

The Minister of Finance issues this Circular stipulating the repurchase of government bonds in the domestic market.

PART I

GENERAL PROVISIONS

Article 1. Scope of Regulation and Applicability

Article 1. This Circular stipulates the repurchase of government bonds (hereinafter referred to as bonds) before their maturity date in the domestic market.

Article 2. The subjects to which this Circular applies are the State Treasury, Securities Exchanges, the Vietnam Securities Depository Center, and organizations and individuals related to the repurchase of bonds.

Article 2. Explanation of terms

In addition to the terms defined in Decree No. 01/2011/NĐ-CP dated January 5, 2011 on the issuance of government bonds, government-guaranteed bonds, and local government bonds (hereinafter referred to as Decree No. 01/2011/NĐ-CP), the following terms shall be understood as follows:

Point 1. "Repurchasing bonds" means the State Treasury repurchases bonds before their maturity date.

Point 2. "Reselling bonds" means the bondholder sells bonds back to the State Treasury before their maturity date.

Point 3. "Last registration day for reselling bonds" means the last day the bondholder or the organization authorized by the bondholder registers to participate in reselling bonds according to the announcement of the State Treasury for each bond repurchase round. The State Treasury decides the last registration day for reselling bonds for each bond repurchase round but must ensure at least three (03) working days prior to the bond repurchase organization date.

Point 4. "Bond freezing day" means the day the Vietnam Securities Depository Center freezes bonds on the bondholder's deposit account. The State Treasury decides the bond freezing day for each bond repurchase round but must ensure at least two (02) working days prior to the bond repurchase organization date.

Point 5. "Bond repurchase organization date" means:

Subpoint a. The day the State Treasury negotiates and signs the bond repurchase contract with respect to bonds repurchased through negotiation.

Subpoint b. The day the State Treasury organizes a tender to repurchase bonds with respect to bonds repurchased through tender.

Point 6. "Bond repurchase date" means the day the State Treasury pays the bond repurchase amount to the bondholder.

Point 7. "Repurchased bonds" means bonds issued by the State Treasury and not yet due for maturity.

Point 8. "Bondholder" means an organization or individual holding bonds in accordance with the laws on the issuance and trading of government bonds.

Point 9. "Bond repurchase round" means the period from the last registration day for reselling bonds according to the State Treasury's announcement to the day the State Treasury repurchases bonds.

Point 10. "Nominal interest rate of bonds" means the annual percentage (%) interest calculated on the face value of the bonds that the State Treasury must pay to the bondholder according to the conditions and terms of the bonds when they were issued.

Point 11. "Bond repurchase interest rate" means the auction-winning interest rate or the agreed interest rate determined by the State Treasury based on the auction results or the negotiation results of bond repurchase as stipulated in this Circular.

Point 12. "Single-price bidding" means the method of determining the auction result whereby the bond repurchase interest rate is the lowest winning bid rate applied uniformly to all successful bidders.

Point 13. "Multiple-price bidding" means the method of determining the auction result whereby the winning bid rate for each bidder is exactly equal to the bid rate of that bidder.

Point 14. "Next interest payment period assumed" means the next interest payment period according to the conditions and terms of the bonds in the case where the bonds are not repurchased.

Point 15. "Next interest payment date assumed" means the next interest payment date according to the conditions and terms of the bonds in the case where the bonds are not repurchased.

Article 3. Interest Rate for Repurchasing Bonds

1. The Ministry of Finance shall stipulate the minimum interest rate framework for repurchasing bonds for each period or for each bond repurchase round.

2. Based on the minimum interest rate framework prescribed in Clause 1 of this Article, the State Treasury shall select and decide the interest rate for repurchasing bonds for each repurchase round.

Article 4. Purpose of Bond Repurchase

1. To restructure the portfolio of government bond debt according to the approved restructuring plan.

2. To develop the government bond market through supporting the formation of benchmark interest rates in the market and enhancing market liquidity.

Article 5. Principles of Bond Repurchase

1. Implement the bond repurchase scheme approved by the competent authority as provided for in Clause 3, Article 8 of this Circular.

2. Ensure transparency and openness in organizing the repurchase of bonds.

3. Comply with the provisions of this Circular and relevant laws.

Article 6. Conditions for Bonds Eligible for Repurchase

1. Bonds issued by the State Treasury that have not yet reached their maturity date.

2. Not subject to any security transaction relationships from the time the bond owner registers to sell back the bonds.

Article 7. Methods of Bond Repurchase

1. Bond repurchase shall be carried out in accordance with one of the following methods:

a) Direct negotiation with bond owners;

b) Auction through the Stock Exchange.

2. The State Treasury shall notify specifically the method of bond repurchase for each repurchase round before organizing its implementation.

Article 8. Bond Repurchase Scheme

1. Based on the need to restructure the portfolio of government bond debt and develop the government bond market, the State Treasury shall develop a bond repurchase scheme as prescribed in Clause 2 of this Article, report to the Ministry of Finance for approval by the Ministry of Finance or submit it for approval.

2. The basic contents of the bond repurchase scheme include:

a) Purpose of repurchase;

b) Conditions and terms of the bonds expected to be repurchased including: bond code, scale of the bond code, first issuance date, maturity date, remaining term of the bond at the time of the expected organization of the repurchase round, nominal interest rate, principal and interest payment method, list of bond owners at the time of developing the scheme;

c) Expected repurchase method;

d) Source of bond repurchase, costs of implementing bond repurchase;

đ) Expected time to organize the bond repurchase round.

3. Based on the approval authority of the repurchase scheme prescribed in Article 13 of Decision No. 56/2012/QĐ-TTg dated December 21, 2012,

4. Based on the repurchase scheme approved by the competent authority as prescribed in Clause 3 of this Article and the repurchase source allocated in the state budget estimate, the State Treasury shall organize the repurchase of government bonds in accordance with this Circular.

Chapter II

ORGANIZATION OF BOND REPURCHASE REGISTRATION AND DEPOSITED AT

VIETNAM SECURITIES DEPOSITORY CENTER

Section 1

NEGOTIATION FOR BOND REPURCHASE

Article 9. Procedure for Organizing Negotiation for Bond Repurchase

1. At least five (5) working days prior to the date of organizing the bond repurchase, the State Treasury shall announce information about the bond repurchase round on the website of the Ministry of Finance, the State Treasury, and the Stock Exchange. The announcement includes:

a) Terms of the bonds expected to be repurchased, including: bond code, scale of the bond code, first issuance date, maturity date, nominal interest rate, principal and interest payment method;

b) Quantity of bonds expected to be repurchased for each bond code;

c) Last day to register to sell back bonds, last day to freeze bonds, date to organize the bond repurchase, and expected bond repurchase date.

2. Based on the announcement about the bond repurchase round prescribed in Clause 1 of this Article, the bond owner or the organization authorized by the bond owner to register to sell back bonds to the State Treasury according to the form in Appendix 1 of this Circular. Registration forms submitted after the last day to register to sell back bonds are invalid.

3. After the last day to register to sell back bonds, based on the registration information to sell back bonds, the State Treasury shall notify the Vietnam Securities Depository Center to freeze the quantity of bonds registered to sell back according to the form in Appendix 2 of this Circular. The Vietnam Securities Depository Center shall freeze the quantity of bonds registered to sell back by the bond owner and notify the State Treasury about the freezing.

4. On the date of organizing the bond repurchase, based on the registration information to sell back bonds by the bond owner, the notification of freezing bonds registered to sell back by the Vietnam Securities Depository Center, the State Treasury shall negotiate and agree with the bond owners or organizations authorized by the bond owners regarding the terms of bond repurchase. The negotiation content includes:

a) Quantity of bonds to be repurchased for each bond code;

b) Repurchase interest rate for each bond code as prescribed in Article 3 of this Circular;

c) Date of bond repurchase;

d) Price of one repurchased bond. The repurchase price of bonds is determined according to the provisions of Article 14 of this Circular;

đ) Total amount of bond repurchase, calculated by multiplying the quantity of bonds repurchased by the price of one (01) bond.

5. Based on the agreed negotiation results, the State Treasury and the bond owner or the organization authorized by the bond owner shall sign a Contract on bond repurchase according to the form in Appendix 3 of this Circular on the same day of organizing the bond repurchase.

6. No later than one (01) working day immediately following the date of organizing the bond repurchase, the State Treasury shall notify the Vietnam Securities Depository Center and the Stock Exchange of the negotiation results for bond repurchase according to the form in Appendix 4 of this Circular. Based on the notification of the State Treasury, the Vietnam Securities Depository Center shall continue to freeze the bonds that have signed repurchase contracts and unfreeze the bonds that were not repurchased.

7. On the bond repurchase date according to the contract signed with the bond owner, the State Treasury shall transfer the repurchase funds for bonds according to the provisions of Article 16 of this Circular.

8. The delisting, deregistration, and withdrawal of custody of repurchased bonds shall be carried out in accordance with the provisions of Article 17 of this Circular.

9. Upon completion of the bond repurchase period, the State Treasury shall disclose information on the results of the bond repurchase in accordance with the provisions of Article 18 of this Circular.

Section 2

BIDDING FOR THE REPURCHASE OF BONDS

Article 10. Principles of bidding, forms of bidding, and methods for determining the winning bid price

1. Principles of bidding.

a) Equality of rights and obligations among participants in the bidding for government bonds in accordance with the provisions of the law;

b) Confidentiality of all bidding information of participants in the bidding for government bonds.

2. Forms of bidding. The bidding for the repurchase of bonds shall be conducted in one (01) of two (02) forms, including:

a) Competitive bidding based on interest rate;

b) Combined competitive bidding based on interest rate and non-competitive bidding based on interest rate. In the case where the bidding session is organized in the form of combined competitive bidding based on interest rate and non-competitive bidding based on interest rate, the total volume of bonds repurchased from non-competitive bidding participants must not exceed thirty percent (30%) of the total volume of bonds called for repurchase in the bidding session.

3. Methods for determining the winning bid price. The results of the bidding for bonds shall be determined according to one (01) of two (02) methods as follows:

a) Single-price bidding;

b) Multiple-price bidding.

4. The State Treasury shall notify in detail the form of bidding and the method for determining the results of the bidding for each repurchase bidding session of bonds.

Article 11. Subjects eligible to participate in the bidding for the repurchase of bonds

1. They are participants in the bidding for government bonds as announced annually by the Ministry of Finance.

2. Participants may sell their own bonds or act as agents to sell bonds belonging to customers upon authorization by the bond owners.

Article 12. Procedure for the repurchase of bonds

1. At least five (5) working days before the date of the bond repurchase, at the request of the State Treasury, the Securities Trading Department shall send a notice regarding the bond repurchase to all bidding participants and publish the information on its electronic news website. The content of the notice includes:

a) The terms of the bonds expected to be repurchased, including: bond code, scale of the bond code, issue date, maturity date, nominal interest rate, principal repayment method, bond interest payment method;

b) Quantity of bonds expected to be repurchased for each bond code;

c) The last day for registering to sell bonds, the day of bond freeze, the day of organizing the bond repurchase, and the day of bond repurchase;

d) Form of bidding and method for determining the results of the bidding.

2. Based on the notice regarding the bond repurchase as stipulated in Clause 1 of this Article, participants in the bidding for government bonds shall submit to the Securities Trading Department a registration form for selling bonds in accordance with the model prescribed in Appendix 5 of this Circular. Registration forms submitted after the last day for registering to sell bonds are invalid.

3. After the last day for registering to sell bonds, based on the registration information for selling bonds of participants in the bidding for government bonds as stipulated in Clause 2 of this Article, the Securities Trading Department shall notify the Vietnam Securities Depository to freeze the number of bonds registered for sale in accordance with the model in Appendix 6 of this Circular. The Vietnam Securities Depository shall freeze the number of bonds registered for sale by the bond owners and notify the Securities Trading Department and the State Treasury of the bond freeze.

4. Not later than 10 hours and 30 minutes on the day of the bond repurchase organization, bidding participants shall submit bidding information to the Securities Trading Department in accordance with the bidding registration process and form prescribed by the Securities Trading Department. Each bidding participant and each customer of a bidding participant participating in competitive bidding based on interest rate may place a maximum of five (05) bids on each bidding form for each bond code called for bidding, each bid including the bid interest rate (to two decimal places) and the corresponding quantity of bonds bid. For cases of bidding on behalf of customers, bidding participants must provide full customer names, bid interest rates, and corresponding quantities bid for each customer.

5. Not later than fifteen (15) minutes after the last time for submitting bidding information as stipulated in Clause 4 of this Article, the Securities Trading Department shall open the bids, compile the bidding information, and send it to the State Treasury.

6. Based on the compiled bidding information received from the Securities Trading Department, the State Treasury shall determine the repurchase interest rate for each bond code called for bidding and notify the Securities Trading Department to determine the results of the bond bidding in accordance with Article 13 of this Circular.

7. Upon completion of the bond repurchase bidding session, the Securities Trading Department shall notify the bidding results to the bidding participants through the electronic bond bidding system.

8. Upon completion of the bond repurchase bidding session, the Securities Trading Department shall notify the results of the bond repurchase bidding to the State Treasury and the Vietnam Securities Depository in accordance with the model in Appendix 7 of this Circular. The Vietnam Securities Depository shall continue to freeze the bonds that have won the repurchase bid and unfreeze the bonds that did not win the repurchase bid on the day of the bond repurchase organization.

9. On the day of the bond repurchase, the State Treasury shall carry out the transfer of funds for the bond repurchase in accordance with Article 16 of this Circular.

10. The delisting, deregistration, and withdrawal of custody of bonds shall be carried out in accordance with the provisions of Article 17 of this Circular.

11. Upon completion of the bond repurchase period, relevant units shall disclose information in accordance with the provisions of Article 18 of this Circular.

Article 13. Determination of Auction Results

1. Basis for determining the winning bid interest rate, winning bid volume, and repurchase price of bonds:

a) The volume of bonds called for auction repurchase;

b) Interest rate and volume of bonds tendered;

c) Minimum repurchase bond interest rate range as prescribed in Article 3 of this Circular.

2. Method for determining the winning bid interest rate:

a) For single-price bidding method

The winning bid interest rate is the lowest tendered interest rate applicable to all successful bidders (both competitive and non-competitive interest rate bidders), selected in descending order of tendered interest rates, satisfying simultaneously the following two conditions:

- Within the minimum interest rate range specified by the Ministry of Finance;

- The cumulative volume of bonds repurchased up to the winning bid interest rate does not exceed the announced repurchase bond volume.

b) For multiple-price bidding method

- The winning bid interest rate applied to each competitive interest rate bidder is their tendered interest rate, selected in descending order of tendered interest rates, satisfying simultaneously the following two conditions:

+ The weighted average of winning bid interest rates is not lower than the minimum repurchase bond interest rate range specified by the Ministry of Finance;

+ The cumulative volume of bonds repurchased up to the lowest winning bid interest rate does not exceed the auctioned bond volume.

- The winning bid interest rate applied to non-competitive interest rate bidders is the weighted average of winning bid interest rates, rounded down to two decimal places.

3. Method for determining the volume of bonds won by each bidder:

a) For bonds bid under competitive interest rate method:

The volume of bonds repurchased for each competitive interest rate bidder is equivalent to their tendered bond volume. In case the cumulative tendered bond volume at the lowest winning bid interest rate exceeds the auctioned bond volume, after deducting the tendered bond volumes at higher interest rates, the remaining portion of the auctioned bond volume is allocated among the bidders at the lowest winning bid interest rate in proportion to their tendered bond volumes. The allocated bond volume for each bidder is rounded down to ten thousand (10,000) units of bonds.

b) For bonds bid under combined competitive and non-competitive interest rate method:

- The volume of bonds repurchased from each competitive interest rate bidder is equivalent to their tendered bond volume. In case the cumulative tendered bond volume at the lowest winning bid interest rate exceeds the auctioned bond volume, after deducting the tendered bond volumes at higher interest rates and the repurchased bond volumes from non-competitive interest rate bidders, the remaining portion is allocated among the bidders at the lowest winning bid interest rate in proportion to their tendered bond volumes and rounded down to ten thousand (10,000) units of bonds.

- The volume of bonds repurchased from each non-competitive interest rate bidder is equivalent to their tendered bond volume. In case the total tendered volume exceeds the limit specified in Point b Clause 2 Article 10 of this Circular, the repurchased bond volume for each non-competitive interest rate bidder is allocated in proportion to their tendered bond volume and rounded down to ten thousand (10,000) units of bonds.

- If all competitive interest rate bidders fail to win the bid, bonds will not be repurchased from non-competitive interest rate bidders.

4. The total repurchase amount of bonds is determined by multiplying the volume of bonds repurchased from bondholders by the price of one (1) bond. The repurchase price of one (1) bond is determined according to Article 14 of this Circular.

Article 14. Determining the repurchase price of one (01) bond

1. Determining the repurchase price of one (01) bond that does not pay periodic interest:

Where: GG = Repurchase price of one (01) bond (rounded to the nearest unit of currency)

MG = Face value of the bond

a = Number of days from the date of repurchasing the bond to the next assumed interest payment date

E = Number of days in the assumed interest period during which the bond is repurchased t = Number of assumed interest payments from the date of repurchasing the bond to the maturity date of the bond

Lt = Bond repurchase interest rate (% per year)

2. Determining the repurchase price of one (01) bond with a fixed nominal interest rate, paying periodic interest, and having equal interest periods:

a) In the case where the date of repurchasing the bond is before or on the last registration day for the next assumed interest period, the repurchase price of one (01) bond is determined as follows:

b) In the case where the date of repurchasing the bond is after the last registration day for the next assumed interest period, the repurchase price of one (01) bond is determined as follows:

Where: GG = Repurchase price of one (01) bond (rounded to the nearest unit of currency)

MG = Face value of the bond

Lc = Nominal interest rate of the bond (% per year).

k = Number of periodic interest payments in one year

d = Actual number of days between the date of repurchasing the bond and the next assumed interest payment date

E = Actual number of days in the interest period during which the bond is repurchased

t = Number of interest payments between the date of repurchasing the bond and the maturity date of the bond.

Lt = Bond repurchase interest rate (% per year)

3. Determining the repurchase price of one (01) bond with a fixed nominal interest rate, paying periodic interest, and having the first interest period shorter or longer than subsequent interest periods:

a) In the case where the date of repurchasing the bond is before or on the last registration day to receive the interest of the first interest period:

- For the case where the actual number of days from the date of repurchasing the bond to the interest payment date of the first interest period is shorter than one (01) regular interest period, the purchase price of one (01) bond is determined as follows:

- For the case where the actual number of days from the date of repurchasing the bond to the interest payment date of the first interest period is longer than one (01) regular interest period, the purchase price of one (01) bond is determined as follows:

- For the case where the actual number of days from the date of repurchasing the bond to the interest payment date of the first interest period is longer than one (01) regular interest period, the purchase price of one (01) bond is determined as follows:

GG = Purchase price of one (01) bond (rounded to the nearest unit of currency)

GL1 = Amount of interest paid for one (01) bond for the first interest period according to the terms of the bond at issuance

MG = Face value of the bond

Lt = Bond repurchase interest rate (% per year)

Lc = Nominal interest rate of the bond (% per year)

k = Number of periodic interest payments in one year

a1 = Actual number of days between the date of repurchasing the bond and the first interest payment date according to the terms of the bond at issuance

a2 = Actual number of days from the date of repurchasing the bond to the regular interest payment date according to the assumption

E = Number of days in the regular interest period according to the terms of the bond at issuance

t = Number of interest payments between the date of repurchasing the bond and the maturity date of the bond

b) In the case where the date of repurchasing the bond is after the last registration day to receive the interest of the first interest period, the repurchase price of one (01) bond is determined according to the formula applicable to bonds with equal interest periods as stipulated in Clause 2 of this Article.

4. In the case where the nominal interest rate of the bond is a floating interest rate, the Ministry of Finance will announce the method of determining the interest rate and the repurchase price of the bond at each repurchase period.

Section 3

PAYMENT OF REPURCHASE PRICE FOR BONDS, CANCELLATION OF REGISTRATION AND LISTING OF BONDS, AND ANNOUNCEMENT OF INFORMATION

Article 15. Sources for the Purchase of Bonds

The sources for purchasing bonds and the costs associated with the organization of bond purchases shall be funded from the central government budget in accordance with the provisions of the State Budget Law, the Public Debt Management Law, and guiding documents.

Article 16. Payment for Bond Repurchase

1. For bonds repurchased through negotiation: By no later than 11:30 on the day specified in the bond repurchase contract, the State Treasury must ensure that the full amount for the bond repurchase has been paid and credited to the account of the bondholder. After completing the payment, the State Treasury shall notify the Securities Trading Center to delist the bonds in accordance with Article 17 of this Circular.

2. For bonds repurchased through auction:

a) By no later than 11:30 on the day of bond repurchase, the State Treasury must ensure that the full amount for the bond repurchase (including the amount for the bond repurchase of the customers of the bidding members) has been paid and credited to the account of the Vietnam Securities Depository.

b) On the day of bond repurchase, the Vietnam Securities Depository shall transfer the payment to the bondholders based on the list notified by the State Treasury. After completing the payment, the Vietnam Securities Depository shall notify the Securities Trading Center to delist the bonds in accordance with Article 17 of this Circular.

Article 17. Delisting, Deregistration, and Withdrawal of Bond Registration

1. The Securities Trading Center shall delist the auction-winning bonds on the day of bond repurchase upon receipt of confirmation of the completion of payment from the State Treasury (in the case of negotiation-based repurchase) or from the Vietnam Securities Depository (in the case of auction-based repurchase). Following delisting, the Securities Trading Center shall notify the Vietnam Securities Depository to deregister and withdraw the registration of the repurchased bonds on the same day.

2. The Vietnam Securities Depository shall deregister and withdraw the registration of the bonds upon receipt of the notice of bond delisting from the Securities Trading Center.

3. The Vietnam Securities Depository shall send a notification of bond deregistration to the State Treasury, the Securities Trading Center, and the depositary members.

Article 18. Disclosure of Information

1. Within five (05) working days after the bond repurchase date, the State Treasury shall publish on the websites of the Ministry of Finance, the State Treasury, and the Securities Trading Center information about the results of each bond repurchase code, including:

a) The initial issuance date, maturity date, nominal interest rate, principal repayment method, and interest payment method;

b) The bond repurchase date, repurchase interest rate, quantity of repurchased bonds, and bond repurchase method.

2. The Securities Trading Center shall announce on its website the delisting of repurchased bonds in accordance with Clause 1 of Article 17 of this Circular.

3. The Vietnam Securities Depository shall announce on its website the deregistration of repurchased bonds in accordance with Clause 2 of Article 17 of this Circular.

Chapter III

RESPONSIBILITIES OF RELATED ORGANIZATIONS

Article 19. Responsibilities of the Ministry of Finance

1. Approval or submission for approval

2. Allocation of funds for the repurchase of Government bonds from the central government budget.

3. Setting the minimum interest rate framework for bond repurchase during each period or each repurchase round in accordance with Clause 1 of Article 3 of this Circular.

Article 20. Responsibilities of the State Treasury

1. Develop and report to the Ministry of Finance the plan for purchasing government bonds as prescribed in this Circular.

2. Organize the purchase of government bonds according to the provisions of this Circular.

3. Fully implement reporting and accounting procedures related to the purchase of government bonds as prescribed in this Circular and other current regulatory legal documents.

4. Coordinate with the Vietnam Securities Depository Center and the Stock Exchange to publish information as prescribed in this Circular.

Article 21. Responsibilities of the Stock Exchange

1. Organize auctions for purchasing government bonds as prescribed in this Circular.

2. Retain and safeguard information related to auction purchases of government bonds according to prescribed regulations.

3. Publish information as prescribed in this Circular.

4. Implement delisting of government bonds according to the provisions of this Circular.

Article 22. Responsibilities of the Vietnam Securities Depository Center

1. Implement freezing, unfreezing, deregistration, and withdrawal of custody of government bonds according to the provisions of this Circular.

2. Pay the purchase price of government bonds to their owners as prescribed in this Circular.

3. Publish information as prescribed in this Circular.

Chapter IV

IMPLEMENTING PROVISIONS

Article 23. Implementation Provisions

1. This Circular takes effect from May 1, 2017.

2. The State Treasury may apply the negotiation procedure for purchasing government bonds prescribed in Clause 4, Article 9 of this Circular to purchase government bonds that have not been registered or deposited at the Vietnam Securities Depository Center.

3. Decision No. 2346/QD-BTC dated September 28, 2009 of the Minister of Finance on the early redemption rules for government bonds ceases to be effective from the date this Circular takes effect.

Article 24. Implementation Organization

1. The Director of the Ministry of Finance's Office, the Head of the Department of Banking and Financial Institutions' Finance, the General Director of the State Treasury, the General Director of the Stock Exchange, the General Director of the Vietnam Securities Depository Center, and the Heads of relevant units shall be responsible for implementation according to this Circular.

2. During the implementation process, if there are difficulties or obstacles, the State Treasury and relevant units shall promptly report to the Ministry of Finance for review and specific guidance./.