Decision No. 657/2003/QD-NHNN On the issuance of financial management regulations for the State Bank

Pursuant to …;

OF THE HEAD OF THE STATE BANK

Regarding the issuance of the Financial Management Regulations of the State Bank

__________________

 

 

GOVERNOR OF THE STATE BANK OF VIETNAM

Pursuant to the Law on the State Bank of Vietnam No. 01/1997/QH10 dated December 12, 1997 Male number 01/1997/QH10 dated December 12, 1997;

Pursuant to Decree No. 86/2002/NĐ-CP dated 5/11/2002 of the Government stipulating the functions, tasks, powers, and organizational structure of Ministries and ministerial-level agencies;

Pursuant to Decree No. 100/1998/NĐ-CP dated 10/12/1998 of the Government on the financial system of the State Bank of Vietnam, Male;

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

 

DECISION:

Article 1. Now hereby promulgates with this Decision the Financial Management Regulations of the State Bank.

Article 2. This Decision shall take effect fifteen days from the date of publication in the Official Gazette. The following documents shall cease to be effective:

Decision No. 292/QĐ-NH2 dated December 28, 1992 of the Governor of the State Bank on the issuance of the financial system of the State Bank.

Circular No. 10/KT-TC2 dated January 12, 1994 of the State Bank guiding the financial system.

Directive No. 04/CT-NH2 dated June 1, 1994 of the Governor of the State Bank on rectifying and strengthening management of expenditures, purchases, and use of assets within the State Bank system.

Article 3. The Head of the Office, the Director of the Accounting and Finance Department, the Heads of Departments, the Directors of Bureaus, the Heads of units under the State Bank of Vietnam, and the Governors of the State Bank Branches in provinces and centrally governed cities are responsible for implementing this Decision.

 

REGULATIONS

FINANCIAL MANAGEMENT OF THE STATE BANK

(Issued together with Decision No. 657/2003/QĐ-NHNN)
dated 25/6/2003 of the Governor of the State Bank)

 

PART 1. GENERAL PROVISIONS

Article 1. These Regulations stipulate the contents and methods of managing and using various types of capital, funds, income, and expenses of the State Bank.

Article 2. The subjects to which these Regulations apply include: the Accounting and Finance Department, the State Bank Branches in provinces and centrally governed cities, the Representative Office of the State Bank in Ho Chi Minh City, the Administrative Bureau of the State Bank, the Information Technology Bureau of the State Bank, the Issue and Treasury Bureau, the Trading Department of the State Bank, and non-budgetary affiliated units (hereinafter referred to collectively as units).

Article 3. All units must collect revenues accurately and fully from all sources; use capital, funds, and budgets for their intended purposes in a reasonable, economical, and efficient manner to fully and promptly meet the operational needs of the State Bank; organize accounting in accordance with the nature of the accounts, with complete and valid supporting documents as prescribed by regulations.

Article 4. The heads of units must regularly direct and organize self-inspection, control, manage, and use unit capital and budgets safely, strictly, and in compliance with current financial management regulations; bear responsibility before the law and the Governor of the State Bank for the financial revenue and expenditure activities of their units.

 

PART II. SPECIFIC PROVISIONS

I. TYPES OF CAPITAL AND FUNDS OF THE STATE BANK

Article 5. Types of capital and funds

1. Statutory Capital: The statutory capital of the State Bank is five trillion Vietnamese dong (VND 5,000,000,000,000), sourced from state capital.

Statutory capital is formed from state budget allocations or other sources of capital.

Statutory capital is used for purposes serving the various aspects of the State Bank's operations (including enhancing material foundations and implementing monetary policy) according to the Governor's decision and national regulations.

Any change in the statutory capital level is decided by the Prime Minister.

Statutory capital is managed and accounted for centrally at the State Bank (Accounting and Finance Department).

2. Capital for basic construction investment and fixed asset acquisition

Capital for basic construction investment and fixed asset acquisition is formed from the following sources:

Basic depreciation of fixed assets.

State budget allocations for basic construction or fixed asset acquisition.

Amounts allocated from expenses to replenish the source of capital for fixed asset acquisition, technical equipment, and information technology security (equal to 12% of the average annual original value of fixed assets).

Grants or loans from foreign countries or international organizations through projects.

Proceeds from the sale, write-off, liquidation of fixed assets, and other lawful sources of capital.

Capital for basic construction investment and fixed asset acquisition is used for investment in basic construction of office premises, public service buildings, and acquisition of fixed assets, technical equipment, and security facilities.

Capital for basic construction investment and fixed asset acquisition is managed and accounted for centrally at the State Bank (Accounting and Finance Department).

Unutilized capital for basic construction investment and fixed asset acquisition in a year is carried forward to the next year for continued use.

3. Fund for implementing national monetary policy:

The fund for implementing national monetary policy is formed based on a 10% allocation of the annual surplus of the State Bank.

The fund for implementing national monetary policy is used according to the Governor's regulations for the purpose of implementing monetary policy.

The fund for implementing national monetary policy is managed and accounted for centrally at the State Bank (Accounting and Finance Department).

4. Provision for risk in banking operations:

The provision for risk in banking operations is formed based on a 10% allocation of the annual surplus before risk provisions.

The provision for risk in banking operations is used according to the Governor's regulations.

The provision for risk in banking operations is managed and accounted for centrally at the State Bank (Accounting and Finance Department).

5. Other types of capital are managed and accounted for according to current financial regulations.

6. The State Bank shall revalue the fixed assets in the following cases:

Inventory and revaluation of assets according to the decision of the competent authority.

Transfer or sale to organizations outside the State Bank.

II. INCOME AND EXPENSE ITEMS OF THE STATE BANK
STATE BANK OF VIETNAM

A. CONTENT OF INCOME AND EXPENSE ITEMS

Article 6. Income items of the State Bank:

The income of the State Bank includes revenues from its business and service activities, including:

1. Income from deposit and credit operations:

Interest income from deposits:

Interest income from deposits of the State Bank at credit institutions; interest income from foreign currency deposits of the State Bank abroad.

Interest income from loans:

Interest income from loans in Vietnamese dong and foreign currencies to domestic credit institutions, joint venture banks, and foreign banks.

Income from credit activities:

Other income outside the aforementioned income from credit business of the State Bank.

2. Income from open market operations:

Income from open market operations through short-term buying and selling of securities conducted by the State Bank on the money market to implement national monetary policy.

3. Income from foreign exchange activities:

Income from gold trading:

Income from gold trading activities such as interest from gold buying and selling, commission fees for selling gold on behalf of foreign entities.

Income from foreign currency trading:

Income from foreign currency trading activities such as interest from foreign currency buying and selling, conversion transactions on domestic and international markets.

Other income from foreign exchange transactions:

Other income outside the aforementioned income from foreign exchange activities of the State Bank.

4. Interest income from capital contributions to international organizations.

5. Income from banking services, including:

Payment service income:

Income from payment services provided by the State Bank to customers.

Information service income includes income from information exchange services related to money, credit, and other information services provided by the State Bank.

Treasury service income includes income from treasury services provided by the State Bank to customers.

Other service income:

Other income from services outside the aforementioned service income.

6. Fees and charges:

Revenue from issuing licenses for establishment and operation of credit institutions, foreign exchange operation licenses, appraisal fees, branch establishment fees, representative office establishment fees of foreign economic organizations in Vietnam applicable within the banking sector.

7. Other revenues:

Including other revenues outside the aforementioned revenues of the State Bank such as revenue from currency destruction, rental income from assets, proceeds from liquidation of labor tools and materials, excess fund income, income from newspaper and magazine issuance...

Article 7. Expenditures of the State Bank.

Expenditures of the State Bank are all expenses incurred to meet the requirements for the State Bank's operations, including:

1. Operational and service expenditures

1.1. Interest expense on deposits:

Expenses for paying interest on deposits in Vietnamese dong and foreign currencies to credit institutions, National Treasury, International Financial Institutions, and foreign legal persons.

1.2. Interest expense on loans:

Expenses for paying interest on foreign loans and interest on issued central bank bills to implement national monetary policy.

1.3. Open market operations expenses:

Expenses related to transactions through short-term buying and selling of securities conducted by the State Bank on the money market to implement national monetary policy.

1.4. Foreign exchange activity expenses:

Direct expenses in gold and foreign currency trading activities (including import taxes, transportation costs, packaging, gold processing fees, foreign currency consumption fees, foreign currency payment service fees, losses from foreign currency conversion, exchange rates, and other foreign exchange-related expenses).

1.5. Payment and information service expenses:

Direct expenses serving the payment field, postal charges for telecommunications networks, and expenses for postal fees, telegrams, leased communication channel fees paid to postal authorities and other providers (Swift, Reuters...), material expenses such as paper, ink, computer tape... to serve payment and information operations.

1.6. Tax, fee, and charge payments: These are tax payments, fees, and charges according to state regulations such as storage fees, handling fees... and insurance premiums and periodic inspection fees for transportation means (excluding registration fees) based on actual occurrence and valid documentation.

1.7. Printing, minting, preservation, and transportation expenses for money and securities:

Expenses for designing money models, engraving money models.

Payment expenses for purchasing special products (money). Expenses for purchasing paper for printing money and raw materials for minting money. Processing fees for units printing and minting products.

Expenses related to printing securities.

Expenses for receiving, transporting, preserving newly printed money and securities during the process of transferring them to the Central Money Warehouse.

1.8. Expenses for selecting, counting, preserving, transporting, and destroying money and securities:

Transportation and loading expenses for money and securities: Fuel expenses for transportation vehicles. Transportation vehicle rental expenses settled according to contracts signed with the lessor, loading expenses at Ports, Stations, Airports according to contracts signed with the lessor. Loading expenses at the State Bank's warehouse.

Selection, counting, bundling, sealing expenses for money, including:

Material expenses for selection, counting, sorting, and bundling money: The value of purchased materials actually used such as packaging, binding cords, adhesive, and other materials serving the selection, counting, sorting, bundling, and sealing processes.

Direct expenses for staff and officials performing selection, counting, bundling, and sealing money according to stipulated standards and selection and counting allowances set by the Governor of the State Bank.

Expenses for destroying money, including: Material expenses for the destruction work, allowances for staff directly involved in the destruction work. Allowance levels for staff participating in destruction work according to the Governor of the State Bank's regulations.

1.9. Money protection expenses:

Support expenses for police forces and State Bank personnel escorting and transporting money and securities on each trip, such as lunch expenses, travel expenses according to prescribed regulations.

Expenses for external agencies and organizations to inspect and authenticate counterfeit money.

Subsidies for guard and security forces protecting warehouses, escorting money, gold, silver, precious stones, and payment instruments.

1.10. Interest expense on construction project warranty deposits:

Interest expense for the amount of money the State Bank has retained but not yet returned to Party B during the construction project warranty period.

2. Staff and official salaries and allowances of the State Bank, contract employees, and welfare rewards:

2.1. Salary and allowance expenses:

Paying salaries according to rank, grade, position allowance, responsibility allowance, regional allowance, and overtime pay for officers and civil servants within the establishment and those under long-term contracts (contracts over 12 months or under 12 months but receiving salary according to rank and grade regulations) shall be carried out in accordance with the prescribed regime for the State Bank.

Paying wages for short-term contract employees (under 12 months) and daily contract workers.

2.2. Paying lunch expenses for officers, civil servants, and specialized staff working in mass organizations of the State Bank. The monthly expenditure per person shall not exceed the minimum wage stipulated by the state for civil servants and officials.

2.3. Paying transaction attire and labor protection expenses:

Transaction attire expenses shall be set separately by the Governor of the State Bank for each category (general officers and civil servants; other officers and civil servants such as inspectors, guards...).

Labor protection expenses (outside the transaction attire regime): Including expenses for purchasing gloves, regular fabric coats, hats, masks, towels... for certain categories in accordance with the state's prescribed regime and guidelines from the State Bank.

2.4. Paying hazardous work allowances:

The objects and levels of hazardous work allowances shall be implemented in accordance with the regulations of the Governor of the State Bank.

2.5. Paying rewards and welfare benefits:

Annually, the State Bank may allocate funds for periodic and extraordinary rewards and welfare benefits for its officers and civil servants based on the total payroll executed during the year (including the salaries of specialized staff working in mass organizations of the State Bank and the amount of income support for welfare and rewards provided to the Trade Union sector). This expenditure shall be carried out according to a special regulation established by the Governor of the State Bank.

2.6. Expenditures for contributions based on salary:

Including expenditures for social insurance, health insurance, trade union fees, and other contributions in accordance with the state's prescribed regime.

2.7. Social work expenditures:

Including travel expenses for officers and civil servants taking annual leave according to the prescribed regime, pension payments, funeral expenses, and other social work expenditures.

3. Expenditures supporting activities of mass organizations

Supporting expenditures for Party organizations, Trade Unions, Youth, Women. Expenditures for activities, political ideological education, cultural promotion, mass movement sports, arts, and performances.

4. Expenditures for hardship assistance and termination allowances

Emergency hardship assistance expenditures: Units may only implement them when guided by a document from the Governor of the State Bank.

Termination allowance expenditures: Implemented according to the current state regulations.

5. Expenditures for rewarding groups and individuals outside the industry

This expenditure shall be carried out according to the provisions of the Governor of the State Bank and recorded at the State Bank (Accounting and Finance Department).

6. Expenditures for management and public service activities

Management and public service expenditures include expenditures related to administrative management and public service activities that occur regularly to serve the operations of the State Bank. The State Bank will approve plans for expenditures for each unit based on the prescribed standards of the Ministry of Finance and according to the specific characteristics, scope, and scale of operations of each unit.

During implementation, if the approved plan does not meet the reasonable expenditure needs of the unit and unexpected expenditures, units must prepare supplementary plans and submit them to the State Bank (Accounting and Finance Department) for consideration and resolution.

Contents of management and public service expenditures include:

6.1. Expenditures for materials and printed documents:

Purchasing office supplies, inexpensive items prone to wear and tear, expenditures for various printed documents, information carriers, fuel, and other materials serving the operations of the State Bank (excluding paper, ink, information carriers, computer tape... serving payment transactions).

6.2. Postage, telephone, and telecommunications expenditures:

Expenditures for postal fees for sending official documents, parcels, and telephone charges (including both subscription fees and call charges for fixed-line phones, messaging devices, fax machines, mobile phones according to the prescribed regime). This expenditure does not include telecommunications network fees paid to the Postal Service when conducting payment and information transactions.

The provision of fixed-line telephones at home, mobile phones, and the management and usage regulations for telephones are implemented according to the Governor's Regulations of the State Bank.

6.3. Expenditures for electricity, water, and office sanitation, including:

Electricity expenditures paid to the Power Supply Authority: Payment for electricity used at offices, warehouses, and residential facilities.

Water expenditures used at offices and residential facilities paid to the Water Supply Authority.

Office sanitation expenditures (sanitation equipment and services, hiring personnel for sanitation services... at offices and residential facilities).

Office health expenditures:

Purchasing preventive and curative medicines.

Expenditures for medical examinations organized by the office for officers and civil servants.

Expenditures for organizing disease prevention and control.

Expenditures for promoting health awareness among officers and civil servants.

6.4. Expenditures for scientific research and technology application, including the following expenditures:

Organizing scientific seminars.

Researching and drafting regulatory legal documents.

Translating foreign documents.

Expenditures for scientific research projects.

Implementing the application of banking science and technology.

Expenditures for technical and business improvement initiatives.

Other expenditures as prescribed by the state.

These expenditures must be approved by the Governor for policy, content, and can only be implemented at the State Bank (Depending on the nature and scope, they should be recorded in the Accounting and Finance Department or the Administration Bureau in Ho Chi Minh City).

6.5. Expenditures for travel expenses:

Travel expenses for officers traveling domestically (accommodation allowance, train, bus, ferry, airport, baggage handling fees for the trip, room rental fees according to the prescribed regime) and travel expense allowances for officers traveling abroad shall be implemented according to the current regulations of the Ministry of Finance and guidelines from the State Bank.

6.6. Training and professional instruction expenditures, including:

Costs for State Bank of Vietnam staff attending training courses pursuant to the call-up notice of the State Bank of Vietnam (based on plans approved by the Governor regarding content, time, and location):

The units hosting the training course and the organizing units prepare the content, organize the course, implement it, draft the budget, and settle accounts.

The accounting department of the organizing unit is responsible for reviewing the budget, settling accounts, and recording the expenses serving the training course such as rental fees for conference halls (if applicable), drinking water for participants, translation of materials, instructor fees or allowances, training materials (excluding reference materials), room rental fees for participants, and other related expenses (if applicable) according to the prescribed national standards and quotas.

Units sending staff to attend training courses shall settle travel expenses (round trip).

Costs for State Bank of Vietnam staff attending specialized vocational training courses and short-term training sessions allocated by the State Bank of Vietnam annually. Units sending staff to these courses shall be reimbursed for the following items:

Tuition fees.

Travel expenses (round trip).

Material fees (excluding reference materials).

Room rental fees (at the level specified for dormitories rented collectively to students).

Costs for State Bank of Vietnam staff undergoing overseas training, surveys, and foreign delegations conducting surveys at the State Bank of Vietnam as per the Governor's Decision.

6.7. Costs for inspection, examination, and auditing by the State Bank of Vietnam:

These costs cover expenses for inspection, examination, and auditing teams visiting State Bank of Vietnam units including audit service fees for final reports, office supplies, and other expenses serving the inspection, examination, and auditing teams.

6.8. Costs for publishing materials and promotional advertising:

Expenses for publishing books, activity newsletters of the State Bank, and publishing regulatory texts of the State Bank approved by the Governor for each specific program and content.

Royalty payments for authors.

Printing costs settled according to contracts with printing facilities.

Costs for public media agencies to promote and advertise regulatory texts and activities of the State Bank, meetings with public media agencies, and customers to disseminate policies and operational procedures of the State Bank.

Operating costs of the Banking Times and Banking Magazine implemented according to the financial mechanism issued by the Governor of the State Bank of Vietnam.

6.9. Costs related to tendering and treasury bill payment:

These costs are implemented according to the Ministry of Finance's guidelines on issuing treasury bills.

6.10. Costs for conferences and short-term training sessions:

Includes expenses for organizing summary and conclusion meetings, specialized meetings, and training sessions. Proposals for holding conferences and training sessions by the State Bank of Vietnam are approved by the Governor; branch conferences and training sessions of the State Bank of Vietnam in provinces and cities are approved by the heads of units. Specific timeframes and expense levels must comply with current regulations.

Content of expenses: Instructor allowances, report presenter fees, conference hall rental fees, decoration, sound, lighting, material, office supplies, food, accommodation, refreshments, and other related expenses for delegates and services in accordance with current regulations.

6.11. Reception and ceremonial costs:

Includes expenses for domestic guests, international guests visiting the unit, and organizing gatherings on holidays and anniversaries (establishment of the industry, people's army, women, war invalids and martyrs, Tet holiday...).

For staff and drivers escorting money to provincial and city State Bank branches who have already received additional travel allowances and escorts' allowances from their dispatching units, these units shall not incur reception expenses for these cases.

6.12. Other management and official activity expenses:

Purchase of materials and books: Expenses for purchasing materials and books to serve research and provide necessary information for the State Bank's guidance and operation.

Hiring of domestic and foreign experts, this cost must be approved by the Governor before implementation. Standards and actual expenditure levels follow national regulations and those of the State Bank.

Fire prevention, firefighting, flood, and storm prevention costs, and costs for militia self-defense work: Such as annual training and drill costs for fire prevention, firefighting, and storm and flood prevention teams, or hiring professional organizations for training.

Other expenses: Including other expenses outside those for management and official activities as stipulated above.

7. Costs related to assets:

7.1. Depreciation of fixed assets:

Implemented according to current regulations of the Ministry of Finance and guiding documents of the State Bank.

Depreciation of fixed assets must be based on original cost, prescribed depreciation rate, and the period over which depreciation should be made.

When fixed assets are put into use, units must make full and accurate depreciation deductions.

Fixed assets that do not undergo depreciation include:

Housing

Fixed assets not yet in use

Fixed assets formed from welfare funds

Fixed assets previously purchased from management costs or converted from tools into fixed assets.

The deduction or cessation of depreciation of fixed assets is carried out on a monthly basis. Fixed assets added, reduced, or stopped operating (stored, awaiting liquidation...) during the month will start depreciation or cease depreciation from the first day of the following month.

7.2. Maintenance and repair costs for fixed assets and tools:

Includes regular maintenance and repair costs for fixed assets and tools (including fixed assets and tools provided to organizational groups within the unit); Regular maintenance of fixed assets and equipment to prevent deterioration and maintain usability (excluding construction project warranty costs).

For the regular maintenance funds approved by the State Bank of Vietnam in the annual management cost plan: Units may only use such funds for repairing transportation vehicles, machinery and equipment, electricity, water, minor repairs to fences and drainage systems, etc., at their workplaces.

Renovation, upgrading, and repair work on workplace facilities must be carried out according to an overall master plan, ensuring synchronization, avoiding piecemeal repairs that could affect the overall design and lifespan of the structures.

When preparing the annual plan, units under the State Bank of Vietnam must forecast the contents of tasks to be performed and prepare plans for the repair and maintenance of fixed assets, specifying the tasks to be undertaken and estimating the costs for each task within the overall annual management cost plan to be submitted to the State Bank of Vietnam (Accounting and Finance Department) for review and approval.

Units shall not increase the original value of assets or depreciate fixed assets due to improvements, repairs, and maintenance funded from the "Maintenance and Repair of Assets" budget.

7.3. Expenditure on purchasing labor tools:

These expenditures include the purchase of assets classified as labor tools according to state regulations, allocated to units under the State Bank of Vietnam based on the total amount available for expenditure within the banking system.

7.4. Expenditure on developing technical operations and banking technology: The expenditure on developing technical operations and banking technology is recorded as part of the cost by 12% of the average value of fixed assets in the year to supplement the capital for basic construction investment and the acquisition of fixed assets of the State Bank of Vietnam.

7.5. Expenditure on leasing assets:

The amount spent on leasing assets is based on the lease agreement between the lessor and the State Bank of Vietnam (if applicable). When leasing fixed assets (for buildings), units must submit a document detailing the leased asset, purpose of leasing, to the State Bank of Vietnam for approval before implementation. Leased fixed assets are recorded off-balance sheet, and lease payments are recorded as leasing expenses at the unit.

8. Provision for risk reserves:

The State Bank of Vietnam (Accounting and Finance Department) sets aside a risk reserve equal to 10% of the difference between income and expenditure before setting aside provisions. Management and utilization of this risk reserve are governed by the Governor's Regulations.

9. Other expenditures:

These are necessary expenditures arising during the course of operations and are not recurring, falling outside the specified categories of expenditure.

Training expenses for People's Credit Fund staff.

Year-end settlement bonus expenses: Units shall implement according to the guidelines of the State Bank of Vietnam.

Expenses for preserving records, vouchers, accounting books, and documents...

B. MANAGEMENT OF INCOME AND EXPENSES

Article 8. Principles for managing and recording income and expenses of the State Bank of Vietnam:

1. Expenditures for banking business operations and services:

Units need not prepare plans and can spend based on actual needs arising to support business operations and services in accordance with current state and industry regulations.

2. Management expenses:

Within the approved management expense plan (excluding expenses for management activities, public service, asset maintenance and repair, and labor tool purchases), units under the State Bank of Vietnam may adjust plans among various expense items to ensure operational needs while adhering to state and industry standards and regulations.

3. All income must be recorded accurately and timely according to regulations and properly categorized in income accounts.

4. Foreign currency transactions must be converted into Vietnamese Dong (VND) through foreign exchange trading at the actual rate prevailing at the time of occurrence and recorded in income and expense accounts.

5. Units may not arbitrarily waive or reduce income. It is strictly prohibited to record income off the books or retain income to establish illegal funds.

6. Foreign exchange rate differences arising from foreign exchange trading activities of the State Bank of Vietnam during the period are recorded as income or expenses for the year; foreign exchange rate differences resulting from revaluation of end-of-period foreign currency balances are not recorded as income or expenses but are recorded as increases or decreases in capital.

7. Units must adhere to state and State Bank of Vietnam standards, norms, and criteria for expenditures. Heads of units under the State Bank of Vietnam must closely manage and be responsible for the accuracy of all expenditures, ensuring reasonable, economical, and effective spending.

8. Units may not record the following expenditures as expenses:

Penalties payable to the state or customers due to material losses caused by the subjective fault of individuals or groups within the State Bank of Vietnam during the execution of banking operations.

Losses incurred in banking operations due to the subjective fault of State Bank of Vietnam officials.

Expenditures without complete settlement documentation or unspent amounts already settled.

Investment, procurement, renovation, and upgrade expenditures for fixed assets from basic construction investment and fixed asset procurement funds.

Expenditures supporting localities, social organizations, and other agencies.

Expenditures from other funding sources.

9. The following expenses may only be implemented and recorded by the State Bank of Vietnam (Accounting and Finance Department):

Printing and minting costs.

Costs for printing negotiable instruments and payment means substituting money.

Basic construction and fixed asset procurement costs.

Expenditures on developing technical operations and banking technology.

Risk reserve establishment for banking operations and services.

C. GRADATION OF MANAGEMENT AND DELEGATED AUTHORITY TO APPROVE

Article 9. Governor of the State Bank of Vietnam:

1. Approve the annual plan of the State Bank of Vietnam concerning:

Financial revenue and expenditure plan.

Plan for using capital for basic construction investment and fixed asset procurement.

Plan for constructing basic construction projects.

Plan for major repairs of fixed assets.

Approve projects, designs, budgets, and final accounts:

Approve projects, designs, budgets, and final accounts for construction works and major repair works with investment values of VND 1,000,000,000 or more per project.

Approve budgets and final accounts for the purchase of fixed assets such as houses, cars, and other fixed assets with values of VND 500,000,000 or more per asset.

Approve budgets and final accounts for batches of purchases of the same type of fixed assets (each asset valued under VND 500,000,000 but the total value of the batch is VND 500,000,000 or more).

3. Approve the annual financial revenue and expenditure report of the State Bank of Vietnam.

4. Approve the liquidation and sale of fixed assets such as houses, cars, and other fixed assets with original values of VND 500,000,000 or more per asset.

Article 10. The Governor delegates to the Director of the Accounting and Finance Department:

1. Approve annual plans for units:

Management expense plan.

Fixed asset acquisition plan.

2. Approve projects, designs, budgets, and final accounts for units:

Approve projects, designs, budgets, and final accounts for basic construction investment works and major repair works with investment values from VND 100,000,000 to less than VND 1,000,000,000 per project.

Approve budgets and final accounts for the purchase of fixed assets (excluding houses and cars) with values under VND 500,000,000 per asset.

Approve final accounts of financial income and expenditure of units (annual).

3. Approve the liquidation of fixed assets (excluding houses and cars) with original values under VND 500,000,000 per asset.

Article 11. The Governor delegates to the Heads of units:

1. Approve designs, budgets, and final accounts for regular maintenance work on assets with values under VND 100,000,000 per maintenance session.

For repair works with budgets under VND 100,000,000 but which fundamentally change the design and structure of the works, units must prepare designs and budgets to submit to the State Bank for review and can only proceed upon receipt of a budget approval document from the State Bank.

2. Approve tender documents and tender results for procurement packages of fixed assets worth under VND 500,000,000 per procurement session for unit equipment.

3. Approve budgets and final accounts for labor tools procurement costs at units.

4. Approve the liquidation of labor tools at units.

Article 12. Valuation of collective housing.

The valuation of collective housing for officials and civil servants currently renting houses shall be carried out strictly in accordance with current state regulations and guidelines issued by the State Bank.

III. REVENUE AND EXPENSE DIFFERENCES AND PAYMENTS TO THE STATE BUDGET

Article 13. The annual revenue and expense differences of the State Bank are determined by subtracting the total expenses of the State Bank and the risk reserve fund from the total revenue of the State Bank.

1. The State Bank may allocate 10% of the revenue and expense differences to establish a fund to implement national monetary policy.

2. After establishing the fund to implement national monetary policy, the remaining amount must be paid into the State Budget. The payment to the State Budget is executed at the State Bank (Accounting and Finance Department) and is carried out as follows:

Quarterly, the State Bank pays into the State Budget 70% of the revenue and expense differences of the quarter. The provisional payment is made within the first ten days of the next quarter.

At the end of the fiscal year, within ten days from the date when the annual final account report is approved by the Governor, the State Bank pays the remaining revenue and expense differences into the State Budget based on the final account figures.

The actual amount of revenue and expense differences to be paid will be officially determined according to the audit results of the National Audit Office. If the amount already paid exceeds the amount required to be paid according to the official audit conclusion, the excess amount paid will be deducted from the amount required to be paid in the following year. Conversely, if the amount already paid is less than the amount required to be paid, the State Bank will pay the remaining difference to the State Budget within ten days from the date of the official audit conclusion.

VI. ESTABLISHMENT AND REPORTING OF FINANCIAL PLANS IMPLEMENTATION

Article 14. Each year in September, units of the State Bank prepare their own next-year financial plans to send to the State Bank (Accounting and Finance Department) for review and notification to units for implementation.

The annual financial plans of units include:

Revenue and expense plans.

Accompanied by a detailed explanation of the expected revenue and expense indicators to be implemented in the year, the number of staff, laborers, the original value of fixed assets and labor tools currently available at the unit.

Fixed asset and computer equipment procurement plans.

Basic construction investment plans.

Major repair plans for fixed assets.

Plans for upgrading, renovation, and installation of safekeeping equipment.

Article 15. Based on the financial plans of units, the State Bank (Accounting and Finance Department) reviews, consolidates, and establishes the State Bank's annual financial plan to be submitted to the Governor for approval and sent to the Ministry of Finance (revenue and expense plans) and the Ministry of Planning and Investment (basic construction investment plans). The State Bank's annual financial plan includes:

Revenue and expense plans.

Basic construction investment plans.

Article 16. At the end of each quarter and year, units prepare reports on the implementation of their financial plans to send to the State Bank (Accounting and Finance Department), including:

Implementation reports on revenue and expense plans (quarterly, annually).

Depreciation reports on fixed assets (quarterly).

Inventories of fixed assets and labor tools (annually).

Reports on increases and decreases in fixed assets (annually).

Implementation wage fund reports excluding overtime pay (annually).

The deadlines for submitting reports are as follows:

Quarterly reports must be submitted no later than the second month of the next quarter.

Annual reports must be submitted no later than January 5 of the following year.

The Accounting and Finance Department receives, checks, analyzes, evaluates, compiles, and processes the reports of units...

Prepare the annual financial final account report of the State Bank and the final account report of capital investment in basic construction to be submitted to the Governor of the State Bank for approval and sent to the National Audit Office and the Ministry of Finance no later than February 15 of the following year.

CHAPTER III. IMPLEMENTATION PROVISIONS

Article 17. The Head of the Accounting and Finance Department shall be responsible for guiding and organizing the implementation of this Regulation within the State Bank system.

Article 18. The Head of the Internal Audit Department shall be responsible for conducting internal audits and guiding units of the State Bank to organize internal controls over financial management activities of the State Bank in accordance with this Regulation.

Article 19. Any supplementation or amendment to this Regulation shall be decided by the Governor of the State Bank.