VietNamNet Bridge – New polices on cash payment, exemption of export and import duty on raw material gold, preferential lending interest rate, and more incentives for the handicapped are scheduled to come into effect in March, 2014.

Cash payment bans

Under Decree No. 222/2013/ND-CP, dated December 31, 2013, on cash payment, organizations using funding from the State budget shall not be allowed to make payments in cash except for some cases as prescribed by the Ministry of Finance.

Meanwhile, organizations using State capital shall have to perform non-cash transactions except for some cases as regulated by the State Bank of Viet Nam.

Non-cash payments are also applicable to securities transactions on the Stock Exchange by organizations and individuals.

They do not make payments in cash for securities transactions registered and deposited at the Center of Securities Depository and not conducted through the transaction system of the Stock Exchange.

Enterprises shall not be allowed to conduct cash transactions in capital contribution; in purchase, sale and transfer of the capital parts contributed into enterprises.

Enterprises which are not credit organizations shall not be allowed to use cash to borrow and lend to each other.

The Decree became effective on March 1, 2014

Exemption of duty on raw material gold

The Prime Minister on January 22, 2014 issued Decision 08/2014/QD-TTg on exemption of export and import duty on raw material gold.

Accordingly, the State Bank of Viet Nam raw material gold imported and exported by the State Bank of Viet Nam shall be exempted from export and import duty since March 15, 2014.  

Incentives for poor households

The Ministry of Planning and Investment and the Ministry of Finance on February 12, 2014 issued a joint circular guiding capital allocation to realize the Program on supporting fast and sustainable poverty reduction for the poorest districts nationwide.

Under the joint circular, the State will share 50% of interest rates on the money that poor households borrow from commercial banks for afforestation.

A poor household would be able to borrow a maximum of VND 5 million (US$ 230) with zero percent interest rate in two years for purchase of farm or aquatic breeds.

In addition, poor households in border and far-reaching areas would receive 15 kilograms of rice per person per month when they are unable to feed themselves.

According to the joint circular which comes into force on March 28, 2014, each poor district would get VND 100 million (around US$ 4,700) to conduct trade promotion activities to introduce their products.

More preferential assistance for the handicapped

Joint Circular 42/2013/ TTLT-BGDDT-BLDTBXH-BTC on educational policy for the handicapped was co-issued by the Ministry of Education and Training, Ministry of Labor, Invalids and Social Affairs, and the Ministry of Finance.

Accordingly, people with disabilities who come from low-income families studying at educational establishments will receive a scholarship equivalent to 80% of the basic wage level in accordance with the Government’s regulations.

The disabled persons are financially supported by the State to purchase learning tools while studying at educational establishments.

They will also receive tuition fee exemption and assistance.

The disabled students may be exempted from some contents, subjects or activities and the evaluation of their studying results is conducted on the basis of encouraging their efforts.

Source: VGP