Investors are badly in need of policy update. – Photo business2community

Projects in which the Prime Minister must approve the investment policy and the authority that will issue investment certificates are some of the issues that enterprises need to know about while investing in Viet Nam.

1. The Prime Minister (PM) shall approve the investment policy for the following projects:

a) Investment projects in the following sectors, regardless of the source of capital and scale of investment: construction and commercial operation of national airports and seaports; air transportation; exploration, exploitation and processing of oil and gas; exploration and exploitation of minerals; radio and television broadcasting; casino business; production of cigarettes; and the establishment of university-level training facilities, industrial parks and export processing zones, besides hi-tech parks and economic zones.

b) Investment projects having capital of VND1.5 trillion (US$71.4 million) or more, regardless of the source of capital, in the following sectors: electricity; mineral processing; metallurgy; construction of railway, road and inland waterway infrastructure; and the production and business of alcohol and beer.

c) Foreign invested projects in the following sectors: ocean shipping; establishment of networks and provision of postal delivery, telecommunications and Internet services; establishment of wave transmission networks; press printing and distribution; publishing; and the establishment of independent scientific research institutions.

However, if the above-mentioned projects are included in the plan approved by the PM or by a body authorised by the PM, and satisfy statutory conditions prescribed by law, the authority competent of granting the investment certificate shall carry out the procedures to issue the certificate without having to submit it to the PM. In addition, when an investment project is not included in such a plan or does not satisfy the open market conditions prescribed in treaties to which Viet Nam is a contracting party, the authority competent of granting the investment certificate shall submit such project to the PM for a decision on the investment policy.

2. Projects for which provincial-level People's Committees shall grant the investment certificate:

Provincial-level People's Committees are bodies that receive dossiers and grant investment certificates to the following projects: investment projects outside industrial parks, export processing zones, hi-tech parks and economic zones, including projects for which the PM has approved the investment policy; and investment projects on the development of infrastructures in industrial parks, export processing zones or hi-tech parks in localities that are yet to set up the management boards of such industrial parks, export processing zones and hi-tech parks.

3. Investment projects for which the management boards of industrial parks, export processing zones and hi-tech parks (hereinafter referred to as "management boards") shall grant the investment certificate:

The management boards are the bodies in charge of receiving dossiers and granting investment certificates to projects within industrial parks, export processing zones, hi-tech parks and economic zones, including the projects for which the PM has approved the investment policy; and projects on the development of infrastructures in industrial parks, export processing zones, hi-tech parks and economic zones.

Furthermore, it is also important to note that for an investment project implemented in a locality not yet covered by the administrative management of a province or a municipality, or a project being implemented in several provinces or municipalities, the dossier of such project shall be submitted to the Department of Planning and Investment of the locality where the investor has established or intends to establish the head office or branch or executive office in order to implement such project.

PLF – LAW FIRM