The lawful places for currency exchange?

27-Oct-2018 Intellasia | Dien dan Doanh nghiep | 6:00 AM Print This Post

Nguyen Ngoc Canh, Head of the Foreign Exchange Management Department of the State Bank of Vietnam (SBV), he responded to the press on the issue related to the decision of Can Tho City People’s Committee to fine an individual who has exchanged $100 for dong at an unlicensed store with the violation fee of 90 million dong.

Canh says that banks have the function of foreign currency exchange, and each bank has tens of thousands of transaction offices eligible for foreign currency exchange. Therefore, if people want to buy foreign currency, they can go to the eligible transaction offices for foreign currency exchange of credit institutions.

According to Canh, SBV has stipulated that credit institutions must announce a list of locations for buying and selling foreign currency in cash of the whole system on the website of the credit institution. So, to know exactly where to buy and sell foreign currency legally, people can access the website of the credit institutions, and buy and sell foreign currency at these places to avoid violation of the law.

In addition to banks, the agency also licenses 580 foreign exchange agents nationwide. As such, the points for foreign currency exchange cover from urban to rural, from the centre to the suburbs, which is very convenient. “Licensed foreign currency exchange agents all hang sign boards showing their licenses for people to recognise.” Canh emphasized.

He also notes that the 580 foreign currency exchange agents are only allowed to buy foreign currencies, but not allowed to sell. Where people want to buy foreign currency, they must go to branches of credit institutions and commercial banks. People are not allowed to buy foreign currencies outside the credit institution system.

According to Decree 96/2014/ND-CP on penalties for administrative violations in the monetary and banking sector, violations of buying and selling foreign currency at unlicensed organisations can be fined from 80 to 100 million dong

If paying for goods and services in foreign currencies not in line with the provisions of law, people shall be subject to a fine of up to 200-250 million dong. Moreover, the additional penalty is confiscation of all foreign currencies and dong for violation cases.

 


Category: Finance, Vietnam

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