25 Jul 2008

Procedure on investment abroad licence granting

(Defined in the Investment Law and Decree No 78/NĐ-CP of 9 August, 2006 of the Government regulating investment abroad)

OBJECTS TO BE APPLIED

Limited Liability Companies, Joint-stock Companies, Partnerships, Private Companies granted with Business Registration Certificate under the Corporate Law.
Enterprises established under the State-owned Enterprise Law not yet re-registered under the Corporate Law.
Enterprises with foreign investment capital established under the Foreign Investment Law not yet re-registered under the Corporate Law and the Investment Law.
Enterprises under political or socio-political organizations not yet re-registered under the Corporate Law.
Cooperatives and cooperative unions established under the Cooperative Law.
Medical service, educational, scientific, cultural, sports establishments and other profit-bearing service ones.
Business households, Vietnamese individuals.
THE CONDITIONS OF INVESTING ABROAD

Having direct investment abroad projects (hereinafter called investment project).
Fulfilling all the financial duties to the Government of Vietnam
Conforming to the legal regulations on the management and use of state capital for those using the state capital for direct investment abroad.
Being granted with Investment Certificate by the Ministry of Planning and Investment.
INVESTMENT CERTIFICATE APPROVAL AND GRANTING AUTHORITY

The Prime Minister approves investment for the following investment projects:

Investment projects in banking, insurance, finance, credit, press, broadcasting, television, and telecommunications using the state capital from VND 150 billion and above, or capital of different economic sectors from VND 300 billion and more.
Other investment projects using the sate capital from VND 300 billion and above, or capital of different economic sectors from VND 600 billion and more.
After the Prime Minister’s approval on the above investment projects, the Ministry of Planning and Investment shall conduct the procedure to grant Investment Certificates.

For the remaining projects, the Ministry of Planning and Investment receives, considers and conducts the procedure to grant Investment Certificates.

INVESTMENT CERTIFICATE GRANTING PROCEDURE

* The procedure of registering, granting Investment Certificate applied for investment project with investment capital under VND 15 billion.

The investment project file includes:

The investment project registration.
Notarized duplicated copy of: the Investment Certificate for foreign-invested businesses; or Business Registration Certificate or Establishment Decision or papers of equivalent legal value for investors who are organizations; or People’s Indentity Card or passports for investors who are Vietnamese individuals; or Investment Licences for foreign- invested businesses issued with Investment Licences before 01 July, 2006 but not yet re-registering under the Investment Law and the Corporate Law.
Contract or agreement document with the counterparts regarding capital contribution or share purchasing or investment cooperation for investment project with other partners.
The document of the Member Council or the Board of Management or the General Shareholder’s Meeting or the General Cooperative Meeting approving the direct investment abroad in case the investors are Limited Liability Companies or Partnerships or Joint-stock companies or Cooperatives if required according to legal regulations on enterprises and cooperatives.
The investor should submit to the Ministry of Planning and Investment 03 file sets of the investment project of which there is 01 original one. The Ministry of Planning and Investment shall examine the validity of the investment project file as defined in Item 1 of this Clause. In case the contents regarding the investment project file needs clarifying, within 05 working days after the date receiving the file, the Ministry of Planning and Investment should request in document the investor to elaborate such points.

Within 15 working days after the day receiving the valid file, the Ministry of Planning and Investment shall grant Investment Certificates, and send a copy to the Ministry of Finance, the Ministry of Trade, the State Bank of Vietnam, the Ministry of in charge of economy & technology, the Ministry of Foreign Affairs and the Provincial, City People’s Committees (herein after called Provincial People’s Committee) where the investor’s headquarter is based.

In case the investment project file is not approved, the Ministry of Planning and Investment should inform the investor in document with elaborated reasons.

* The procedure of investigating and granting Investment Certificate for investment project with investment capital from VND 15 billion and above.

The investment project file should include:

Application for the investigation of the investment project.
Notarized duplicated copy of: Investment Certificate for foreign-invested businesses; or Business Registration Certificate or Establishment Decision or papers of equivalent legal value for investors who are organizations; or People’s Indentity Card or passports for investors who are Vietnamese individuals; or Investment Licences for foreign- invested businesses issued with Investment Licences before 01 July, 2006 but not yet re-registering under the Investment Law and the Corporate Law.
Accountability for the investment project including the following contents: investment target; investment location; investment capital size; investment capital source; the employment of Vietnamese workers (if applicable); the use of materials from Vietnam (if applicable); the investment project implementation progress.
Contract or agreement document with the counterparts regarding capital contribution or share purchasing or investment cooperation for investment project with other partners.
The document of the Member Council or the Board of Management or the General Shareholder’s Meeting or the General Cooperative Meeting approving the direct investment abroad in case the investors are Limited Liability Companies or Partnerships or Joint-stock companies or Cooperatives if required according to legal regulations on enterprises and cooperatives.
The investor should submit to the Ministry of Planning and Investment 08 file sets of the investment project of which there is 01 original one. The Ministry of Planning and Investment shall examine the validity of the investment project file as defined in Item 1 of this Clause.

The process of investigating and granting Investment Certificate shall be condnucted as follows:

Within 03 working days after the day receiving the valid file, the Ministry of Planning and Investment shall send requests for opinions attached with the investment project files to the concerned ministries, branches and the Provincial People’s Committee where the investor’s headquarter is based.
Within 15 working days after the day receiving the request from the Ministry of Planning and Investment, the consulted agencies should examine the investment project file and provide opinions in writing about the contents under the assigned state management fields; if there is no feedback in writing after the above due date, the consulted gencies, then, are considered to have accepted the investment project files for the contents under the assigned state management fields.
For investment projects defined in Clause 9 of this Decree, within 25 working days after the date receiving the valid file, the Ministry of Planning and Investment should submit the investigation opinions in writing attached with the file of the investment project and the opinion in writing of the relevant agencies to the Prime Minister for approval.
Within 05 days after the day receiving the approval of the Prime Minister, the Ministry of Planning and Investment shall grant Investment Certificates.
For investment projects which are not defined in Clause 9 of this Decree, within 30 days after the day receiving the valid file, the Ministry of Planning and Investment shall issue Investment Certificates.
Copies of the Investment Certificates should be sent to the Ministry of Finance, the Ministry of Trade, the State Bank of Vietnam, the Ministry in charge of economy & technology, the Ministry of Foreign Affairs and the Provincial People’s Committee where the investor’s headquarter is based.
In case the investment project file is not approved, the Ministry of Planning and Investment should inform the investor in document with elaborated reasons.

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