CIRCULAR guide payment mechanisms for goods and services as repayment for Russia _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ the base agreement between the Government of the Socialist Republic of Vietnam and the Government of the Russian Federation on the handling of the debt of the Socialist Republic of Vietnam to the Russian Federation and the Protocol between the Government of the Socialist Republic of Vietnam and the Government of the Russian Federation on the repayment mechanism signed on 13/9/2000 (hereinafter referred to as the agreement and the Protocol).

Based on the repayment mechanism in Russia (the sheet of 24-TC/TCĐN on 19/4/2000 and no. 4095-TC/TCĐN on 4/10/2000 of the Ministry of Finance) has been approved by the Prime Minister (No. 174/VPCP-QHQT on 26/4/2000 and no. 1019/CP-QHQT on 9/11/2000 of the Government).
The Ministry of finance instructed the mechanism of payment of goods (or services) to pay debt for Russia under the agreement and Protocol as follows: i. the REPAYMENT MECHANISM for RUSSIA: 1/annual, on two repayment period under the agreement (15/1 and July 15) the Finance Ministry will transfer the money to your account to repay open at the Vietnam Bank for foreign trade (Vietcombank) as a source of payment for the exporter of the goods (or services) to pay debt for Russia.

Account accounting practices of repayment by the aforementioned and Vietcombank.

2/pursuant to the repayment schedule stipulated in the agreement, the annual Russia will host several waves of bidding to choose and notify the Vietnam Russian organizations name is authorized to import goods (or services) from Vietnam received in that year, the last notification batch not later than November 1, every year.

Upon receipt of the notice of the Russian Federation, the Ministry of finance will announce the name of the Russian organizations authorized quota and import of goods (or services) from the included Vietnam on Vietnam financial times (3/week).

3/within the framework of the repayment has been turnover in the Russian Federation notification, authorized institutions of the Russian Federation are free choice items, services and partners are Vietnam businesses (in all economic sectors) to sign the contracts of goods (or services) to pay the debt (here referred to as foreign exchange contracts) in accordance with commercial practices international law, Vietnam and Russia. The price for the goods (or services) will be determined according to international prices calculated in u.s. dollars and according to the usual trade terms.

The Russian authorized institutions can re-export or mandated for Vietnam partners re-export the goods purchased to third countries. The mandate must be established using foreign exchange contracts appendix or the legal mandate agreement between 2 parties.

In the foreign exchange contracts need terms determine the export of goods (or services) to pay the debt of Vietnam to the Russian Federation under the Convention and the Protocol.

4/all of Vietnam businesses in all economic sectors are involved in the export of goods (or services) to pay debt for Russia as normal commercial transactions.

5/payment of the goods (or services) of Vietnam has offered to pay the debt are made on the basis of the letter of credit does not cancel the horizontal (Irrevocable Letter of Credit-L/C) by the foreign economic Bank Soviet Bank for foreign trade of Vietnam open under the contract and in accordance with the provisions of The uniform rules on credit card practices and practices use of evidence from a number of 500-UCP 500.

The time limit for delivery, service providers in the annual repayment obligations in the foreign exchange contracts not later than 30 June of the next year, regardless of the time of conclusion of the contract (unless the Russian side confirmed the extension). So the time limit on, Vietnam businesses have signed the contract and signed a contract for payment of goods (or services) export repayments with the Finance Ministry but did not make the delivery or service providers will be subject to sanctions as defined in section II. 3 of this circular.

6/The Vietnam business export goods (or services) to pay the debt to Russia will be enjoyed every provisions encouraging mode export as goods (or services) export according to the usual commercial method.

II. SPECIFIC PROVISIONS REGARDING the PAYMENT of the GOODS (or services) EXPORT REPAYMENTS for RUSSIA 1/signed payment of goods (or services) export repayments with the Ministry of Finance: Vietnam business, immediately after the foreign exchange contract with authorized institutions of the Russian Federation to the Finance Ministry (foreign financial Services) to the contract for payment the goods (or services) export repayments (according to the model in the annex attached to this circular).

The contract for the payment of goods (or services) export repayments be signed according to the chronological order of registration of the foreign exchange contract the business, until the total value of the contract for payment of goods (or services) export repayments during the year by foreign debt obligations of Vietnam during that year.

2/payment procedure: immediately after delivery of the goods (or services) to pay debt, enterprises need to present the document to export as defined in the L/C for Vietcombank to send foreign economic Bank procedure except the Soviet debt. To ensure repayment by Vietnam's goods, presenting the document, export enterprises are included for Vietcombank certificate of origin (c/o) of goods (original). Vietcombank just send the document to do the procedure except when the debt business has presented a C/O.

As soon as the foreign economic Bank of the USSR "," Vietcombank inform the Ministry of Finance (Financial Services PR) to pay for the business. On the basis of confirmed "Yes" of Vietcombank, the Finance Ministry will pay for the business value of the goods (or services) in Vietnam. Rates of pay is the rate of purchase in USD/USD by Vietcombank announced on foreign economic Bank in the Soviet press "Yes".

3/responsibility of business: Vietnam business join responsible repayment negotiations, signing and implementation of the foreign exchange contract with authorized institutions of Russia according to the specific provisions in section I above, the regulations of the law of Vietnam and international practices.

Vietnam business make the repayment by the goods (or services) under the common trade rules by Ministry of Commerce Guide, ensuring the quality and competitiveness of goods and services, creating conditions for enterprises to expand exports to the Russian market.

Vietnam business involved repayment responsibility about legitimacy of the foreign exchange contract and the certificate from the export repayments in accordance with the law of Vietnam and international trade practices.

During the negotiations, Contracting, the need to clearly define the responsibilities of the parties involved. The business is responsible for timely notification to the Ministry of Finance (Financial Services PR) any problems that arise can lead to failed foreign exchange contract as well as any breach (if any) from the Russian partners.

If the foreign exchange contracts signed but not implemented due to the fault of the Vietnam business (such as slow delivery, incorrect specifications, poor quality ...), then in addition to the obligations arising under the contract or arbitration decision, businesses must submit to a financial penalty equal to 2% of the value of the contract for payment of goods (or services) export repayments have signed but not implemented be to offset the interest penalty for Vietnam Russia under the agreement.

4/the liability of the Bank for foreign trade of Vietnam:


-Check the payment vouchers fit the formula of payment letter of credit and the Bank signed the agreement; send the document in time for the foreign economic Bank to debit procedures as suggested by enterprises with export documentation and contract payment of goods (or services) export repayments signed with the Ministry of finance.

-Certificate-level foreign economic Bank of the USSR was "There" for your business and send the Finance Ministry (foreign financial Services).

-Timely payment for money transfer business from repayment accounts under the credentials of the genus (foreign financial Services).

-The case of the Bank for foreign trade of Vietnam moved to deferred compensation responsibility for business according to applicable law.

5/the responsibility of the Ministry of Finance: within 3 working days from the date of the notice of Vietcombank on the foreign economic Bank were reported except the debt ("Yes"), the Ministry of finance charged in Vietnam was worth the whole Russia except debt for business by proxy form genus from the repayment account opened at Vietcombank into account by enterprises only given.

The case of the Finance Ministry to transfer money to pay for slow business, they must compensate the damages for business according to applicable law.

III. EFFECTIVE: this circular have effect after 15 days from the date of signing and apply for the repayment by the goods and services to Russia under the agreement and the Protocol signed on 13/9/2000.

In the process, if there are obstacles to timely reflect the need for the Finance Ministry to solve.