Can foreigners transfer money out of Vietnam?

Navigating International Money Transfers for Foreigners in Vietnam

Vietnam’s growing economy attracts numerous foreign businesses and individuals. Understanding the regulations governing international money transfers is crucial for those seeking to remit funds overseas.

Eligibility for Transfers

Foreign-owned companies and Vietnamese companies with foreign shareholders are generally permitted to transfer funds abroad. The purpose of the transfer must align with legitimate business activities, such as:

• Payment for goods or services
• Dividends to shareholders
• Capital repatriation

Regulatory Framework

Transfers are governed by the State Bank of Vietnam (SBV), which ensures compliance with financial laws. The following regulations apply:

• Registered Capital: Foreign-owned companies must register their capital with the SBV. This amount determines the maximum limit for fund transfers.
• Business License: The company must possess a valid business license.
• Documentation: Supporting documents, such as invoices or contracts, are required to justify the transfer.

Process for Transfers

To initiate an international money transfer, the following steps are typically involved:

• Formulate a remittance request with the authorized bank.
• Submit the necessary documentation and proof of identity.
• The bank will review the request and ensure compliance with regulations.
• Upon approval, the funds will be transferred to the designated account.

Exceptions and Restrictions

There are certain exceptions and restrictions that may apply to international money transfers:

• Foreign Currency Accounts: Foreigners may open foreign currency accounts in Vietnam. However, transfers from these accounts are subject to specific regulations.
• Personal Transfers: Personal remittances for non-business purposes may have limitations or require additional approval.

Convenience and Security

International money transfers in Vietnam are generally convenient and secure. Authorized banks use established protocols to ensure the safety and timely delivery of funds. The SBV’s regulatory oversight provides an additional layer of protection.

Conclusion

Foreigners in Vietnam can transfer funds overseas by adhering to specific regulations and following the established process. The government’s frameworks guarantee transparency and compliance, enabling businesses and individuals to seamlessly manage their financial transactions. By understanding these guidelines, foreign entities can effectively navigate international money transfers and contribute to Vietnam’s thriving economy.