Foreigners are not permitted to deposit foreign currency cash in saving accounts at credit institutions

Providing regulations for implementation of Ordinance on foreign exchange 2005, on 17 July 2014, Vietnamese Government has just issued Decree 70/2014/ND-CP (Decree 70), which will go in force from 5th September 2014, to replace Decree 160/2006/ND-CP with new regulatory changes.

Foreigners are not permitted to deposit foreign currency cash in saving accounts at credit institutions

 One of these regulatory changes in use of foreign currency cash by individuals (Article 13 of Decree 70) is that residents being Vietnamese with foreign currency cash shall be permitted to deposit it in savings accounts at authorized credit institutions.  This means that foreigners are not permitted to deposit foreign currency cash in saving account at any credit institutions in Vietnam. 

 If foreigners need to lodge foreign currency cash in credit institutions for safekeeping, some credit institutions may offer custody services and clients shall pay fee for this service.

 Another regulatory change relating to capital account for foreign direct investment in Vietnam (Article 8 of Decree 70) is that foreign direct investment enterprise and foreign parties in business cooperation contracts are permitted one (01) capital account in VND at one permitted credit institution which opened capital account in foreign currency to contribute capital in VND.

 This Decree will go in force from 5th September, 2014.

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