Can I Pay With USD Directly in Vietnam? Experience, Facts and International Standards Explained
Summary: Traveling to Southeast Asia, you might wonder: “Can I actually use USD bills to pay in Vietnam’s shops, hotels, or restaurants, or must I always convert to VND?” This article is your real-world guide, with actual photos, regulations, and what happens if you pull out a $20 at a local café. Plus, I’ll delve into why regulations are the way they are, toss in my own on-the-ground snafus (and wins), and wrap up with some international trade standards info—so you’ll know not only what to do, but also the ‘why’ behind the rules. We’ll even compare how verified trade standards look from the US, Vietnam, and globally.
Who Needs This? And the Big Question
If you’re a US tourist, expat, digital nomad, or business visitor in Vietnam, the question “Can I pay with USD?” will pop up sooner or later. Maybe you just landed at Tan Son Nhat airport, pockets full of crisp dollars, and want a Banh Mi or a taxi. Maybe you even read somewhere online that “everyone loves USD in Vietnam.”
The real answer isn’t a simple “yes” or “no.” I’ll walk you through street-level reality, current Vietnamese regulations, advice from banking and customs advisors, and what happens when foreigners try their luck with the greenback—step by step, with a few curveballs thrown in.
Step One: Vietnam’s Official Policy on USD Payments
If you Google this, you’ll see recommendations to always use Vietnamese Dong (VND). But official sources confirm this isn’t just a suggestion; it’s Vietnamese law.
According to Decree No. 96/2014/ND-CP and the Law on the State Bank of Vietnam (Article 26), all payment transactions in Vietnam must be made in VND, except for certain cases permitted by the State Bank of Vietnam. (State Bank of Vietnam).
There are rare exceptions (for example, some duty-free zones and official international airports). For anything else—restaurants, taxis, shops—vendors are required by law to quote and accept only Vietnamese Dong. Violations can result in fines up to 500 million VND (about $20,000), as reported by official news.
Practical Test: Walking into a Café with a $20 Bill
Let’s switch to the real world. During my own trip to Ho Chi Minh City in 2023, I decided to test this at a mid-range coffee shop in District 1. I tried to pay for coffee (listed at 45,000 VND) with a $20 bill. The barista was friendly but firmly refused, pointing to a small sign saying, “We accept VND only.” She explained—half in English, half in Vietnamese—that accepting USD is “illegal for us” and told me the best place to change dollars is at a gold shop or a bank. I offered a $5 tip (just to see), and she still politely refused.
Later, at a tourist-heavy souvenir store, I tried my luck again. The shopkeeper hesitated then offered me a rate about 10% worse than the official bank rate—but still in VND. He put my bill in a drawer, then handed me change in dong. He whispered, “This is not legal. If you want better rates, try the bank.” Clearly, even with tourists, USD is almost never directly accepted at face value.
Screenshots / Real Examples
(Photo from District 1, Saigon; actual sign: “Chúng tôi không nhận ngoại tệ. We do not accept foreign currency.”)
(Most banks, like Vietcombank above, have clearly marked FX counters. Expect some paperwork, but the rate is transparent.)
Step Two: Where Can You Really Use USD in Vietnam?
- Airports & Duty-Free: Many airport triggers (duty-free shops, international airline counters) are permitted to accept USD, but change will typically be in VND.
- Some 5-star hotels: Top-end hotels sometimes list rates in USD, but by law you must actually settle the bill in VND at the official exchange rate.
- Tour agencies (occasionally): For large sums, some agencies may accept USD, but often convert on the spot. If they issue a receipt, it's in VND.
- ‘Gold shops’ or unofficial money changers: Will swap USD for dong, occasionally at slightly better rates than banks, but this is a grey area—and comes with risks (counterfeit notes, scams, and sometimes police raids).
Everywhere else—cafés, taxis, markets, restaurants, supermarkets, Grab rides—requires dong, cash or e-wallet.
Step Three: How Locals and Expats Handle USD in Practice
Among expats, the standard workflow is: exchange your USD to dong at a bank or reputable FX counter. Banks (like Vietcombank, BIDV, Techcombank) have dedicated FX desks. Bring your passport! You get an official receipt and can confirm the rate with apps like XE or Wise. Here’s the kicker—if your bills are old, torn or marked, they may be rejected or ‘discounted’ by 10-20%.
Some expats still use “gold shops” for speed, especially when banks are closed. My Aussie friend Sam (shout out!) swears by a little forex store on Nguyen An Ninh street for the best rates. But there’s always a risk: last year, a friend got a fake 500,000 VND note when exchanging late at night. Point is, use banks when possible, and keep FX receipts.
Step Four: International Standards and Vietnam’s Approach Compared
Let’s zoom out. Why is Vietnam so strict? It’s about monetary policy, anti-money laundering, and keeping foreign cash out of informal circulation. The approach is modeled on UNCTAD and WTO recommendations, which encourage countries to “protect currency sovereignty.” The WTO’s Trade Facilitation Agreement lets individual states decide their legal tender, as long as it’s non-discriminatory for trade partners.
In the US? The rule is the opposite: the USD must be accepted, and, per US Treasury guidance, “all debts, public charges, taxes, and dues” can be paid with cash USD. Most of the world is like Vietnam, not the US—try using dollars in Thailand or Malaysia, you'll get similar answers.
Official Comparison Table: “Verified Trade” Regulations by Country
| Country | Legal Tender Law / Basis | Accepts Foreign Currencies? | Enforcement Agency |
|---|---|---|---|
| Vietnam | Law on State Bank (Article 26); Decree 96/2014 | No, except rare airport/duty-free cases | State Bank of Vietnam |
| United States | 31 USC § 5103 (Legal Tender Law) | USD only (exceptions for border/airline zones) | US Treasury, Federal Reserve |
| Thailand | Currency Act B.E. 2501 | Baht only, USD not legal for daily transactions | Bank of Thailand |
| Cambodia* | No strict legal tender law; de facto dual currency | Yes, USD widely accepted | National Bank of Cambodia |
*Cambodia is a regional exception; over 80% of circulation is USD as per the National Bank of Cambodia
Real Case: US-Vietnam Payment Certification Clash
In 2017, a US-owned hotel group tried to collect USD cash payments from guests in Hanoi, then report USD turnover for tax. Vietnamese tax authorities fined the hotel (about 100m VND), stating payments must legally be processed in VND for accounting and anti-money laundering compliance—no exceptions beyond government-authorized activities (Customs News).
Expert’s Take
“From a compliance perspective, USD use is strictly controlled to avoid ‘dollarization’ risks. Both the WTO’s predictability principle and Vietnam’s banking laws push local currency dominance. Individual exceptions mostly go to regulated trade channels — not the casual tourist.”
— Ms. Le Thi Bao, Head of FX Compliance, BIDV Bank (via author interview, June 2023)
Summary: Key Takeaways and Next Steps
If you’re headed to Vietnam, here’s the gist: you must use Vietnamese Dong (VND) for almost all daily purchases. Don’t expect to pay with USD except at some airport zones or in rare, probably-illegal cases (often at a bad rate). For fair exchange, stick to reputable banks or, if desperate, well-known gold shops (but check bills carefully!).
Vietnam’s tough approach keeps the money system controllable and transparent, helps fight money laundering, and aligns with international best practice (as shown in WTO/OECD docs). Compared to Cambodia’s wide-open USD policy, Vietnam’s enforcement is stricter and more consistent—closer to the US, just with fewer currency exceptions.
The most practical next step: Change some USD for dong as soon as you arrive. Pro tip: keep a bit of small-denomination USD for emergencies or possible airport fees, but don’t expect to spend it elsewhere. And, if you’re the curious type, try asking a few different places if they’ll take your dollars—the reactions themselves are a real “welcome to Vietnam!”
For official info, always check the State Bank of Vietnam or your embassy’s travel advice. And if you like nerding out, browse the actual WTO trade treaty for the fine print. Link: WTO Trade Facilitation Agreement.
Last bit: If you ever get quoted a decent USD rate in a regular store, that’s mostly for convenience, not legality. At the end of the day—dong is king. Welcome to Vietnam!