Foreign investors must use Vietnamese dong for their indirect investment activities in Vietnam. All transactions related to such activities must be carried out and accounted in Vietnamese dong, according to a new decree on the implementation of the foreign exchange ordinance.
Under the decree, non-residents or foreign investors must open accounts in Vietnamese dongs at legal credit organisations to conduct indirect investment activities in Vietnam. Indirect investments valued in foreign currency must be converted into Vietnamese dong to conduct transactions related to indirect investments in buying shares and stocks.
Investors can use Vietnamese dong in their accounts to buy foreign currency for transferring overseas.
Truong Van Phuoc, director of the Foreign Exchange Management Department under the State Bank of Vietnam said with a flexible foreign exchange mechanism and proper macro-economic policies, Vietnam can lure more investment capital into the country and help relevant agencies actively cope with unexpected events.
VOVNews/VNA
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