Circular guides payment for government bond transactions

The circular clearly stipulates the mode and principle of organising a payment system for government bond transactions. 

Accordingly, the payment for transactions of government bonds listed in the Stock Exchanges is carried out using the mode of payment by each transaction.

Based on the data provided by the Stock Exchanges, the Viet Nam Securities Depository Center identifies the payment obligation of each relevant party and sends the payment information to the State Bank of Viet Nam (SBV).

The transfer of government bonds is implemented on the VSDC’s system on the basis of transferring government bonds between depository accounts of organizations and ensuring the principle that the selling side has sufficient bonds to be transferred on the payment date and the purchasing side has enough money to pay for government bond transactions.

The cash payment for government bond transactions between organizations, which perform direct payments via the SBV, is conducted on the interbank online payment system.

The State Securities Commission of Viet Nam decides the payment date for government bond transactions on the basis of reaching consensus with the SBV. The VSDC is responsible for guiding payment steps and procedures for government bond transactions.

The circular, which takes effect on August 1, 2017, also stipulates measures to address the temporary accountability deficit for government bond transactions.

                                                                                                                            By Vien Nhu