Decision No. 23/2008/QĐ-NHNN Issuing Financial Reporting System for the State Bank of Vietnam

Pursuant to …;

Issuing Financial Reporting Regulations for the State Bank of Vietnam

GOVERNOR OF THE STATE BANK OF VIETNAM

Pursuant to the Law on the State Bank of Vietnam 1997 and the Law Amending and Supplementing Certain Provisions of the Law on the State Bank of Vietnam 2003;

Pursuant to the Accounting Law 2003;

Pursuant to Decree No. 52/2003/NĐ-CP dated May 19, 2003 of the Government stipulating the functions, tasks, powers, and organizational structure of the State Bank of Vietnam;

Pursuant to Decree No. 07/2006/NĐ-CP dated January 10, 2006 of the Government on the Financial System of the State Bank of Vietnam;

After reaching consensus with the Ministry of Finance in Document No. 4813/BTC-CĐKT dated April 23, 2008;

At the proposal of the Director of the Accounting and Finance Department,

Pursuant to …;:

Article 1. Issuing herein the Financial Reporting Regulations for the State Bank of Vietnam.

Article 2. This Decision takes effect from January 1, 2009 and replaces Decision No. 1511/2001/QĐ-NHNN dated November 30, 2001 on the issuance of Financial Reporting Regulations for the State Bank and Decision No. 1405/2002/QĐ-NHNN dated December 19, 2002 of the Governor of the State Bank on amending and supplementing certain indicators in the Balance Sheet of the State Bank at the Financial Reporting Regulations of the State Bank.

Article 3. The Head of the Office, the Director of the Accounting and Finance Department, the Director of the Banking Information Technology Department, the Director of the General Supervision Department, and the Heads of units related to the State Bank shall be responsible for implementing this Decision./.

                                                                                                                                          

FINANCIAL REPORTING REGULATIONS

FOR THE STATE BANK OF VIETNAM

(Issued together with Decision No. 23/2008/QĐ-NHNN dated August 8, 2008 of the Governor of the State Bank)

Chapter I.

GENERAL PROVISIONS

Article 1. Scope of Regulation and Applicability

1. These regulations specify the contents, methods of preparation, consolidation, presentation, and other relevant matters concerning financial reports for the State Bank of Vietnam (hereinafter referred to as SBV), including:

a. Preparation, presentation, and submission of financial reports of units under the SBV system;

b. Consolidation and preparation of financial reports for the entire SBV system (hereinafter referred to as SBV financial report).

The objects regulated by these regulations are units under the SBV system (excluding units directly receiving and settling budget funds with the state budget).

Article 2. Interpretation of Terms

In these regulations, the following terms are understood as follows:

1. SBV financial report is a comprehensive and explanatory report of key financial and monetary indicators of the entire SBV system, prepared according to the current accounting system based on the consolidation and integration of reports from units under the SBV system.

2. Financial reports of units under the SBV system are part of the SBV financial report prepared by units under the SBV system based on their financial and monetary situation.

Units under the SBV system include: SBV units and SBV-affiliated public service units (hereinafter collectively referred to as reporting units), specifically:

a. SBV units are dependent accounting units, including: SBV provincial and municipal branches; the Accounting and Finance Department; the SBV Trading Center; the SBV Management Bureau; the SBV Issue and Treasury Bureau; the SBV Issue and Treasury Sub-bureau; the SBV Information Technology Bureau; the SBV Information Technology Sub-bureau; the SBV Representative Office in Ho Chi Minh City; the International Credit Project Management Board.

b. SBV-affiliated public service units are independent accounting units directly subordinate to the SBV, including: the Credit Information Center; the Safekeeping Service Center; the Banking Times; the Banking Magazine; the SBV Training Center; and other SBV-affiliated public service units (excluding the Banking Academy and the Ho Chi Minh City Banking University).

Article 3. Basis and General Principles for Preparing Financial Reports

1. Financial reports shall be prepared based on data from accounts both within and outside the Balance Sheet according to the nature and content of the accounts as prescribed in the current accounting chart system of the State Bank of Vietnam and the current accounting chart system for administrative and public service units.

2. Financial reports must reflect promptly, fully, accurately, honestly, and objectively the data on the activities of reporting units. For certain financial report forms that require explanatory notes, these must be clearly and fully presented.

Article 4. Form of Financial Report

Financial reports shall be presented in the form of written documents and data files on information carriers (tapes, magnetic disks...) or transmitted through computer networks. Written reports and data files on information carriers or transmitted through computer networks must match each other.

Article 5. Fiscal Year

The fiscal year of the State Bank of Vietnam begins on January 1 and ends at the end of December 31 of the Gregorian calendar year.

Article 6. Disclosure of Financial Reports

The disclosure of financial reports or the provision of data from financial reports shall be carried out in accordance with current regulations. The disclosure of data within the scope of state secrets in the banking sector must be implemented strictly in accordance with current laws on protecting state secrets.

Article 7. Responsibilities of Reporting Units

Heads of reporting units are responsible for organizing the preparation and presentation of financial reports and are accountable for the accuracy, completeness, and honesty of the information in their unit's financial reports, specifically as follows:

1. Prepare and submit complete and timely financial reports in accordance with the provisions of this Regulation.

2. For financial reports in written form, two copies (one sent to the Accounting and Finance Department and one retained at the reporting unit) must be prepared, and they must bear the full signatures and seals of the unit.

3. For financial reports in the form of data files on information carriers or transmitted through computer networks, they must be encrypted, secured, and processed for transmission (sent) in accordance with the current regulations of the State Bank of Vietnam on transmitting and receiving information and reports through networks or tapes, disks.

4. Upon receiving a review of a financial report containing errors from the receiving unit, the reporting unit must recheck and if there are errors, immediately correct them by canceling the erroneous report and resubmitting the corrected report to the receiving unit, accompanied by a response to the review stating "Errors have been corrected”; In cases where the reporting unit discovers errors in its own financial report, it must proactively correct them as instructed above.

The correction of errors under this provision may only be carried out before the deadline for submitting financial reports to agencies outside the sector as stipulated in Clause 3, Article 15 of this Regulation. Cases of errors after this time must be detailed in writing and corrected in accordance with current regulations on correcting accounting errors.

5. Public service units under the State Bank of Vietnam, after preparing financial reports in accordance with Article 12 of this Regulation, must convert relevant indicators in accordance with the guidance of the State Bank of Vietnam to aggregate and consolidate into the State Bank of Vietnam's financial report.

Article 8. Responsibilities of Departments and Agencies under the State Bank of Vietnam

1. Accounting and Finance Department

a. Guide the implementation and coordinate inspections on the execution of this Regulation at units within the State Bank of Vietnam system.

b. Receive and strictly control the numerical accuracy of financial statements reported by units. Upon discovering errors in financial statements, immediately review the reporting unit (issue a review letter for written financial statements or electronically review through data files transmitted via computer network), clearly stating the errors in the letter or electronic review; the review letter must be fully signed by the reviewer and the controller.

c. Aggregate, compile, and submit the State Bank of Vietnam's financial statements to internal and external agencies and units as stipulated in Article 15 of this Regulation.

d. Manage and archive the State Bank of Vietnam system's written financial statements according to assigned functions and tasks.

2. Banking Information Technology Agency

a. Serve as the intermediary point for receiving financial statements transmitted through communication networks or carriers from reporting units; organize secure and confidential storage of financial statement data and forward them to the State Bank of Vietnam's Accounting and Finance Department according to specific regulations as follows:

- Verify the numerical accuracy of financial statements upon receipt of those transmitted through communication networks or carriers; specifically, the balance sheet must reconcile the beginning-of-period balance with the previous period's ending balance to ensure correctness.

- After receiving, verifying, and reconciling financial statements as required; if there are no errors, immediately transmit to the receiving unit; if errors are found, require the reporting unit to check, adjust, and retransmit for further processing according to regulations.

b. Aggregate indicators on the State Bank of Vietnam's financial statements based on the needs of exploitation and use by relevant Departments, Agencies, and units within the State Bank of Vietnam.

c. Guide units within the State Bank of Vietnam system and relevant Departments, Agencies, and units within the State Bank of Vietnam on using equipment, applications, and information technology to directly establish, send, receive, control, aggregate, and exploit financial statement information over communication networks or carriers as prescribed.

d. Ensure smooth, timely, accurate, secure, and confidential transmission of information.

đ. Provide software programs for converting data for affiliated units within the State Bank of Vietnam to facilitate comprehensive data aggregation work.

3. General Audit Department

Lead coordination with the Accounting and Finance Department to inspect the implementation of this Regulation.

4. Departments, Agencies, and Related Units within the State Bank of Vietnam

Based on their functions and tasks defined by the Governor of the State Bank of Vietnam, these Departments, Agencies, and related units register with the Banking Information Technology Agency and the Accounting and Finance Department to access financial statements according to specific needs and are responsible for managing, utilizing, and securing such information internally within their units.

Article 9. Auditing Financial Statements

The annual auditing and verification of the State Bank of Vietnam's financial statements shall be carried out in accordance with legal provisions.

Article 10. Storage of Financial Reports

Financial reports must be stored and preserved in accordance with the provisions of the accounting law.

Chapter II.

SPECIFIC PROVISIONS

Section 1. FINANCIAL REPORTS OF UNITS UNDER THE STATE BANK SYSTEM

Article 11. Financial reports of State Bank units

1. The financial reports of State Bank units include four forms and are prepared periodically as follows:

2. The content, method of preparation, and presentation of these financial report forms for State Bank units are implemented according to detailed guidance in Section 3, Chapter II of this Regulation.

Article 12. Financial reports of public service units under the State Bank

Public service units under the State Bank shall prepare and present financial reports in accordance with the current administrative and public service accounting system and detailed guidance from the State Bank.

Article 13. Deadline for submission of financial reports of units under the State Bank system

Periodically (monthly, quarterly, annually), units under the State Bank system shall prepare financial reports in accordance with Articles 11 and 12 and submit them to the State Bank (Accounting and Finance Department) as follows:

1. For monthly financial reports: no later than two days after the end of the month.

2. For quarterly financial reports: no later than five days after the end of the quarter.

3. For annual financial reports: no later than ten days after the end of the fiscal year.

If the last day of the submission deadline falls on a holiday, festival, or weekend, then the submission date for the financial report will be the next working day immediately following the holiday, festival, or weekend.

Section 2. FINANCIAL REPORTS OF THE STATE BANK

Article 14. Financial reports of the State Bank

The financial reports of the State Bank are compiled and consolidated based on data from the financial reports of units under the State Bank system. The State Bank's financial reporting system includes five forms and is prepared periodically as follows:

Article 15. Recipient and deadline for submission of State Bank financial reports

1. Recipient of State Bank financial reports:

2. Periodic submission of State Bank financial reports:

a. Monthly, quarterly, and annual State Bank financial reports are submitted to units within the industry.

b. Quarterly and annual State Bank financial reports are submitted to the Ministry of Finance and the National Audit Office.

3. Submission deadlines for State Bank financial reports:

a. Monthly financial reports: no later than ten days after the end of the month.

b. Quarterly financial reports: no later than twenty days after the end of the quarter.

c. Annual financial reports: no later than forty-five days after the end of the year.

Section 3. METHODS OF PREPARATION AND PRESENTATION ON FINANCIAL REPORT FORMS

Article 16. Accounting account balance sheet

1. Purpose of the report:

a. The accounting account balance sheet reflects turnover activity, beginning balances, ending balances, and cumulative totals from the start of the year for all accounts from level III to level I in an accounting period.

b. The accounting account balance sheet is prepared for both internal and external accounts as defined in the State Bank's accounting chart of accounts.

2. Basis for preparation:

- Combined account table of the previous month/year;

- Detailed accounting books and summary accounting books;

- Accounting account balance sheet of the previous month/year.

3. Method of preparing indicators:

a. Accounting account balance sheet (Form B01a/NHNN):

When preparing the monthly accounting account balance sheet, the following regulations must be followed:

- Level III accounts with two balances must retain both balances on the accounting account balance sheet without offsetting each other.

- Total opening debit balance must equal total opening credit balance; total debit transactions during the period must equal total credit transactions during the period; total cumulative debit transactions from the start of the year must equal total cumulative credit transactions from the start of the year; total closing debit balance must equal total closing credit balance.

- The opening debit and credit balances must equal the closing debit and credit balances of the previous period.

- Data in columns (7) and (8) "Cumulative from the start of the year" are calculated as follows:

+ Column (7) of the current report = Column (7) of the previous report + Column (5) of the current report.

+ Column (8) of the current report = Column (8) of the previous report + Column (6) of the current report.

b. Accounting account balance sheet and annual settlement turnover (Form B01b/NHNN):

When preparing the accounting account balance sheet and annual settlement turnover, the following regulations must be followed:

- Level III accounts with two balances must retain both balances on the accounting account balance sheet without offsetting each other.

- The total turnover of twelve months on the annual accounting account balance sheet must equal the sum of turnovers on twelve monthly accounting account balance sheets.

- The section "Annual Settlement Turnover"reflects all income and expense accounts that have occurred during the fiscal year and the implementation of transfers from these accounts to the surplus or deficit account at the end of the fiscal year.” - The total annual settlement turnover must equal the sum of turnovers transferred from the "Income," "Expenses," and "Surplus or Deficit" accounts.

- The total settled turnover in the "Annual Settlement Turnover" section must equal the income, expenses, and revenue-expenditure difference amounts from the respective accounts combined.

Article 17. Balance Sheet

1. Purpose of the report:

The Balance Sheet is a comprehensive Financial Statement reflecting generally the total value of assets currently held and the sources forming those assets at a specific point in time.

Data on the Balance Sheet provides the total value of current assets at the reporting entity according to the structure of assets, capital sources, and the structure of capital forming those assets. Based on the Balance Sheet, it is possible to make general observations and evaluations of the financial situation at the reporting entity.

2. Basis for preparation:

- Detailed accounting books and consolidated accounting books;

- The previous period's and current period's account balance sheet;

- The previous period's Balance Sheet.

3. Method of preparing indicators:

- The Balance Sheet is prepared according to the form B02/NHNN issued together with this Regulation.

- Column (2) "Explanation" of this report shows detailed data of this indicator in the Explanation of the Quarterly/Annual Financial Report.

- The method of obtaining data from the account balance sheet and detailed accounting books is carried out according to the guidance of the State Bank of Vietnam.

Article 18. Income and Expense Report of the State Bank Unit and Income, Expense, and Operating Results Report

1. Income and Expense Report of the State Bank Unit:

a. Purpose of the report:

The Income and Expense Report of the State Bank Unit is a comprehensive report reflecting generally the income and expense situation during an accounting period at the State Bank Unit. The Income and Expense Report of the unit also serves as a basis for checking and monitoring the financial income and expenditure situation of the reporting unit.

b. Basis for preparation:

- The previous quarter/year's Income and Expense Report of the State Bank Unit;

- The previous month's account balance sheet, the account balance sheet, and the year-end settlement turnover of the State Bank Unit;

- Data on accounts under type 7 "Incomes" and accounts under type 8 "Expenses" at the State Bank Unit.

c. Method of preparing indicators:

- Data in column (5) "Cumulative from the beginning of the year to this period" is calculated as follows:

Column (5) of the current report = Column (5) of the previous report + Column (4) of the current report.

- The method of obtaining data from the account balance sheet and detailed accounting books is carried out according to the guidance of the State Bank of Vietnam.

2. Income, Expense, and Operating Results Report:

a. Purpose of the report:

The Income, Expense, and Operating Results Report is a comprehensive Financial Statement reflecting generally the situation and results of operations during an accounting period of the entire State Bank system, serving as a basis for checking and monitoring the financial income and expenditure situation of the reporting unit.

b. Basis for preparation:

- Previous quarter/year's Income and Expense Reports of the State Bank Units;

- Previous quarter/year's Income, Expense, and Operating Results Report;

- The previous month's account balance sheet, the account balance sheet, and the year-end settlement turnover (combined version of the entire State Bank system);

- Data on accounts under type 7 "Incomes" and accounts under type 8 "Expenses" on the account balance sheet up to the time of preparing the report of the entire State Bank system.

c. Method of preparing indicators:

- Column (2) "Explanation" of this form shows detailed data of this indicator in the Explanation of the Quarterly/Annual Financial Report.

- The data recorded in column (4) "Previous Period" of the current report is the same as the data recorded in column (3) "Current Period" of each indicator in the previous report.

- The method of obtaining data from the account balance sheet and detailed accounting books is carried out according to the guidance of the State Bank of Vietnam.

Article 19. Financial Explanation of the State Bank Unit and Financial Report Explanation

1. Financial Explanation of the State Bank Unit:

a. Purpose of the report:

The Financial Explanation of the State Bank Unit is a report explaining certain contents in the reports sent to the State Bank (Accounting and Finance Department), thereby clarifying certain indicators about assets and the income and expense situation at the State Bank Unit.

b. Basis for preparation:

- Monthly account balance sheet / account balance sheet and annual settlement turnover;

- Previous period's Income and Expense Report; Financial Explanation of the State Bank Unit;

- Consolidated accounting books and detailed accounting books;

- Actual situation of units and related documents.

c. Method of preparing indicators:

- The preparation of indicators in the Financial Explanation of the State Bank Unit is carried out according to the indicators specified in form B04/ĐV-NHNN issued together with this Regulation.

- Reporting units are not allowed to cut or add any indicators already specified in the form.

- State Bank Units authorized by the Governor of the State Bank of Vietnam to perform certain transactions such as Open Market Operations, Refinancing, Foreign Exchange Transactions, etc., need to provide additional explanations in Part III - Explanations and Explanations of Other Operational Situations and Results in form B04/ĐV-NHNN issued together with this Regulation.

- The method of obtaining data from the account balance sheet and detailed accounting books is carried out according to the guidance of the State Bank of Vietnam.

2. Financial Report Explanation:

a. Purpose of the report:

The Financial Report Explanation is an integral part of the Financial Report, used to provide information on the basis for preparing and presenting the Financial Report, accounting policies applied, and to provide supplementary information or detailed descriptions and analyses of the numerical data presented in the Balance Sheet, Income and Expense Report, and Operating Results Report that the State Bank and users of the report consider important and necessary.

b. Basis for preparation:

- Monthly account balance sheet / account balance sheet and annual settlement turnover;

- Balance Sheet; Income and Expense Report and Operating Results Report; Previous period's Financial Report Explanation;

- Consolidated accounting books and detailed accounting books;

- Actual situation of units and related documents.

c. Method of preparing indicators:

- The preparation of indicators in the Financial Report Explanation is carried out according to the indicators specified in form B04/NHNN issued together with this Regulation.

- For the report, no cutting or adding of indicators already specified in the form is allowed.

- The method of obtaining data from the account balance sheet and detailed accounting books is carried out according to the guidance of the State Bank of Vietnam.