Circular No. 315/2016/TT-BTC stipulates the management and use of accounts opened by the State Treasury at the State Bank of Vietnam and commercial banks.

CIRCULAR

Regulations on the management and use of accounts opened by the State Treasury at the State Bank of Vietnam and commercial banks
at the State Bank of Vietnam and commercial banks

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

Pursuant to Decree No. 24/2016/NĐ-CP dated April 5, 2016 of the Government stipulating the state treasury management system;

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

Pursuant to Decision No. 26/2015/QĐ-TTg dated August 8, 2015 of the Prime Minister stipulating the functions, tasks, powers, and organizational structure of the State Treasury under the Ministry of Finance; 7 2015 Prime Minister's Decree stipulating the functions, tasks, powers, and organizational structure of the State Treasury under the Ministry of Finance;

At the proposal of the Director General of the State Treasury;

The Minister of Finance promulgates this Circular stipulating the management and use of accounts of the State Treasury opened at the State Bank of Vietnam and commercial banks.

PART I

GENERAL PROVISIONS

Article 1. Scope of Regulation

This Circular stipulates the management and use of accounts of the State Treasury (ST) opened at the State Bank (SBV) of Vietnam and commercial banks (CBs) for the purpose of collecting and disbursing state funds.

ST units include: ST (Central), ST Trading Center, ST provincial level, provincial-level city directly under the Central Government (hereinafter referred to as ST provincial level), ST district, county, town, provincial-level city directly under the province, ST trading office under the ST provincial level (hereinafter referred to as ST district level).

Chapter II

SPECIFIC PROVISIONS

Article 3. Types of accounts of the State Treasury

4. The payment account of ST units (ST Trading Center, ST provincial level, ST district level) opened at CBs: This is an account with demand deposits, used to concentrate revenues and make payments for state expenditures.

5. The dedicated revenue account of ST provincial level and ST district level units opened at CBs in the same province and district: This is an ST payment account, used to concentrate state budget revenues.

b) Open general settlement accounts in VND and foreign currency at central CCBs."

b) Open consolidated payment accounts and VND payment accounts at central CBs;

c) Open consolidated payment accounts and foreign currency payment accounts at central CBs.

a) Open one VND payment account at the SBV branch in the same province;

b) Open a dedicated revenue account in VND at a CB branch in the same province to concentrate state budget revenues through the ST;

c) Open a foreign currency payment account at a CB branch or SBV branch in the same province to concentrate revenues and make payments for state expenditures in foreign currencies (only applicable to areas with foreign currency state budget revenues or expenditures).

3. For the ST district level:

a) Open one VND payment account at a branch or trading office of a CB in the same district that participates in bilateral electronic payments with the ST to concentrate revenues and make payments for state expenditures in VND.

Opening a payment account of the ST district level at a CB trading office can only be done at trading offices organized in a two-tier model (head office and first-tier branches; without second-tier branches).

In cases where there is no CB participating in bilateral electronic payments with the ST in the district where the ST district level headquarters is located, the ST district level may open one VND payment account at another CB in the most convenient district for transactions and participating in bilateral electronic payments with the ST or at a CB in the same district not participating in bilateral electronic payments with the ST (for remote districts). When there is a branch or trading office of a CB participating in bilateral electronic payments with the ST in the district, the ST district level must promptly close and settle the VND payment account mentioned above, and simultaneously proceed to open and use a VND payment account at the branch or trading office of a CB in the same district participating in bilateral electronic payments with the ST.

b) Open a dedicated revenue account in VND at a CB branch or trading office in the same district to concentrate state budget revenues.

a) The general settlement account of the National Accounting Office opened at the State Treasury Trading Center of the SBV is used to implement state treasury receipts and payments of the State Treasury Trading Center and provincial-level ST units through inter-bank electronic payment channels; transactions related to debt management; operations to manage account balances to ensure the payment capacity of the State Treasury at the State Treasury Trading Center of the SBV and commercial bank systems; temporary idle fund utilization transactions, handling temporary shortages of state treasury funds according to regulations, and other transactions (if any) in accordance with the law.

a) The consolidated payment account of the Treasury Trading Center opened at the State Bank of Vietnam Trading Center shall be used to implement state treasury receipts and payments of the Treasury Trading Center and provincial Treasuries through inter-bank electronic payment channels; related receipts and payments for debt management; transactions to manage account balances to ensure the Treasury's payment capacity at the State Bank of Vietnam Trading Center and commercial bank systems; temporary idle state treasury fund usage transactions, and handling of temporarily insufficient state treasury funds according to prescribed regulations;

b) The consolidated payment account of the Treasury Trading Center opened at central commercial banks shall be used to settle daily closing accounts of state treasury receipts and payments from payment accounts and dedicated receipt accounts of Treasury units (Treasury Trading Center, provincial Treasuries, district Treasuries) at commercial banks according to prescribed regulations;

c) The payment account of the Treasury Trading Center opened at commercial banks shall be used to implement state treasury receipts and payments; settle daily closing accounts of receipts and payments generated on the account to the consolidated payment account of the Treasury Trading Center within the same commercial bank system; temporary idle state treasury fund usage transactions, and handling of temporarily insufficient state treasury funds according to prescribed regulations; transactions to manage account balances to ensure the Treasury's payment capacity at the State Bank of Vietnam Trading Center and commercial bank systems;

d) The payment account of provincial Treasuries opened at State Bank branches in provinces and centrally-administered cities (in cases where provincial Treasuries have not yet joined inter-bank electronic payment systems) shall be used to implement state treasury receipts and payments through electronic clearing payment channels; transactions to manage account balances to ensure the provincial Treasury's payment capacity; depositing and withdrawing cash of provincial Treasuries;

e) Payment accounts of Treasury units (provincial Treasuries, district Treasuries) opened at commercial banks shall be used to implement state treasury receipts and payments; settle daily closing accounts of receipts and payments generated on the account to the consolidated payment account of the Treasury Trading Center within the same commercial bank system; depositing and withdrawing cash of district Treasuries;

g) Dedicated receipt accounts of provincial Treasuries and district Treasuries opened at commercial banks shall be used to concentrate national budget receipts; settle daily closing accounts of national budget receipts to the consolidated payment account of the Treasury Trading Center within the same commercial bank system;

2. Regarding the payment process

a) Receipts, payments, settlements, and reconciliation of data for the consolidated payment account of the Treasury Trading Center opened at the State Bank of Vietnam Trading Center and the payment account of provincial Treasuries opened at State Bank branches in provinces and centrally-administered cities (if applicable) shall be carried out in accordance with the regulations of the State Bank of Vietnam;

b) Receipts, payments, settlements, reconciliation of data, and daily closing settlements for consolidated payment accounts, payment accounts, and dedicated receipt accounts of Treasury units (Treasury Trading Center, provincial Treasuries, district Treasuries) at commercial banks shall be conducted according to the bilateral electronic payment process agreement between the Treasury (Central) and each commercial bank system. The Treasury will coordinate with commercial bank systems where accounts are opened to unify the bilateral electronic payment process agreement between the Treasury (Central) and each commercial bank system, in compliance with legal regulations;

In cases where district Treasuries open accounts at commercial banks on the same district territory that have not yet joined bilateral electronic payment systems with the Treasury as stipulated in Point a Clause 3 Article 4 of this Circular, manual settlement procedures using paper documents according to the regulations of the State Bank of Vietnam and the commercial bank where the district Treasury opens its account shall be implemented.

Article 6. Procedures for opening and closing accounts of the State Treasury

a) The State Treasury Trading Department may continue to use the existing consolidated payment accounts and current payment accounts opened at the State Bank of Vietnam Trading Department and central commercial banks to conduct inter-bank electronic payments and bilateral electronic payments;

b) Based on needs and actual circumstances, the General Director of the State Treasury shall consider and decide on selecting additional accounts to be opened at other commercial banks outside the systems where the State Treasury currently has accounts.

2. For provincial-level State Treasuries and district-level State Treasuries:

a) When there is a need to open new accounts, add additional accounts, or change the location of account openings for payment accounts or dedicated revenue accounts of provincial-level State Treasuries or subordinate district-level State Treasuries at commercial banks, the provincial-level State Treasury shall submit a written request to the State Treasury, clearly stating the reasons for opening new accounts, adding additional accounts, or changing the location of account openings. New account openings, additional account openings, or changes in the location of payment accounts or dedicated revenue accounts of provincial-level and district-level State Treasuries can only be carried out after written approval from the State Treasury; the procedures for opening accounts shall be conducted according to the regulations of the commercial bank where the State Treasury opens its accounts;

b) When there is a need to close and settle accounts at banks, provincial-level State Treasuries and district-level State Treasuries shall submit written requests and cooperate with the banks where their accounts are opened to complete the account closure procedures in accordance with the regulations of the State Bank of Vietnam and the commercial bank where the State Treasury opens its accounts.

Article 7. Interest Payment on Deposits and Service Fees for Payment Transactions

1. The payment of interest on account balances and the collection of service fees for payment transactions of State Treasury units shall be implemented in accordance with the provisions of Decree No. 24/2016/ND-CP dated April 5, 2016, of the Government on the regime of managing state treasury funds.

3. For accounts of State Treasury units opened at commercial banks, monthly interest and fee amounts shall be calculated, confirmed, and recorded through the account of the State Treasury at the commercial bank where the account is opened, and shall be reported as debits or credits, accompanied by a statement of interest and fee calculations through bilateral electronic payments.

Article 8. Tasks and Authorities of the State Treasury

1. Manage and utilize accounts in accordance with the provisions of this Circular to ensure that payment transactions are swift, accurate, and secure; while facilitating units and individuals in their dealings with the State Treasury.

3. Fully exercise the rights and obligations of the account holder at banks in accordance with the law.

Chapter III

IMPLEMENTING PROVISIONS

Article 9. Effective Date

1. This Circular shall take effect from January 15, 2017.

2. Abolish Decision No. 1163 TC/QĐ/KBNN dated November 16, 1995, issued by the Minister of Finance regarding the regulations on opening and using deposit accounts of the State Treasury at banks.

Article 10. Implementation Organization

1. State Treasury units (Trading Departments, provincial-level State Treasuries, district-level State Treasuries) shall review and verify accounts currently opened at banks (State Bank of Vietnam and commercial banks) and handle:

a) For accounts that comply with the provisions of this Circular, the units may continue to maintain the opening and use of these accounts;

b) For accounts that do not comply with the provisions of this Circular, they must complete the settlement and closure procedures according to the prescribed regulations; simultaneously, they must complete the procedures for opening and using accounts in accordance with the provisions of this Circular, ensuring that the closure of old accounts and the opening of new accounts are completed before January 14, 2017.

2. The State Treasury and related agencies, units, organizations, and individuals are responsible for implementing this Circular./.