Chinese Yuan allowed for trading at border areas
VGP – The State Bank of Viet Nam has issued Circular No. 19/2018/TT-NHNN on management of foreign exchange for border trade activities between Viet Nam and China.
The Circular shall be applicable to border trade area activities between the two countries, including: i) payment for trans-border trading activities of goods and services by traders; ii)payment for trading and exchanges of goods and services of border residents; iii) payment for trading and exchanges of goods and services at borer markets; iv) other foreign exchange activities.
For trading activities by traders, the Circular stipulates that the currency for payment includes Viet Nam Dong (VND) or Chinese Yuan (CNY), or freely convertible foreign currencies.
Regarding payment for trading and exchanging goods and services by border residents and at border markets, the currency for payment shall be VND or CNY.
The Circular will come into effect since October 12, 2018.
By Thuy Dung
