Amended Investment & Enterprise Laws put into reality

VGP – The amended Investment and Enterprise Laws were put into practice over half of a year with sharp increase in the number of newly-established enterprises and positive signals. Especially, six guiding documents were introduced with a view to ensuring the effective enforcement of the two laws.

January 14, 2016 7:57 AM GMT+7

New record and positive signals

Since the amended Investment and Enterprise Laws came into effect on July 1, 2015, the number of newly-established enterprises set a record high with 93,868 ones in 2015, according to a recent report of the Ministry of Planning and Investment (MoPI).

Specifically, from July 1 to December 15, 2015, 46,740 enterprises were formed with a total registered capital of over VND 302 trillion (US$13.7 billion), up 24.5% in number and 50.3% in value.

This was regarded as a positive signal when the investment and business environment thrived and became more attractive in the eyes of investors, especially after the two laws took valid.

In the reviewed time, 842 FDI projects got investment licenses with a total registered capital of over US$7.5 billion and 788 others got an additional capital worth US$5.37 billion.

Meanwhile, 690 projects were granted investment certificates with a total registered capital of over US$9.4 billion and 368 others had their investment adjusted.

Guiding documents

So far, all guiding documents of the two laws were released.

Those guiding the implementation of the Law on Enterprises include Decree 96/2015/ND-CP, dated October 19, 2015 detailing a number of articles of the Law on Enterprises; Decree 78/2015/ND-CP, dated September 14, 2015 on business registration; Decree 81/2015/ND-CP, dated September 18, 2015 on disclosure of information of state enterprises; and Decree 93/2015/ND-CP dated October 15, 2015 on management and operation of enterprises in national defense and security.

Those guiding the enforcement of the Investment Law are Decree 118/2015/ND-CP, dated November 12, 2015 on guiding a number of Articles of the Law on Investment; Decree 83/2015/ND-CP, dated September 25, 2015 on direct outbound investment; Decision 19/2015/QD-TTg, dated June 15, 2015 of the PM prescribing criteria for identifying hi-tech enterprises; and Decree 135/2015/ND-CP, dated December 31, 2015 stipulating indirect overseas investment./.

By Kim Loan