The National Assembly’s Standing Committee discussed a draft Law on Special Administrative Economic Units on April 16 with a focus on preferential policies to attract investment.


NA Chairwoman Nguyen Thi Kim Ngan.

The special zones include Van Don in the northern province of Quang Ninh, Bac Van Phong in the coastal central province of Khanh Hoa and Phu Quoc in the southern province of Kien Giang.

Chairman of the NA’s Law Committee Nguyen Khac Dinh said tax incentive policies for these zones, as regulated in the draft law, strictly followed the Politburo’s direction to ensure they can compete with other zones in the world and draw investment.

Most of tax incentives drafted in the law are applied during a limited period, and applied for investment projects of sectors that are prioritised for development and needed to draw investment in the initial period when the special zones are built, he said.

The three special zones defined building and supplying tourism and entertainment services, including casinos, as one of the projects prioritised for development and investment attraction, according to Dinh.

Dinh said it is a multi-functional complex project that required huge investment capital, at a minimum of VND44 trillion (US$1.93 billion), so it needed preferential policies relating to tax and land lease fees to draw investment and ensure international competition.

However, he added that the project would bring in high economic profits and be attractive to investors so it needed careful study and consideration about preferential policies in order to not cause loss to the State budget in the long-term period.

NA Chairwoman Nguyen Thi Kim Ngan said the compiling board should carefully study the policies to ensure equality for both foreign and domestic investors to create an equal environment for all businesses to join.

NA Vice Chairman Phung Quoc Hien stressed that the main target of the establishment of the three special zones is to create economic driving force and promote the competitive advantages of each zone so the efficiency must be put on the top.

"How will these zones bring in profits for the country? How will the results be in the long-term period?” he said, adding the compiling board needed to study specific resources in order to ensure the feasibility.

He also highlighted the need to carefully calculate and make sure there are reasonable preferential policies, including tax reduction and exemption, to avoid creating burden for the State budget.

Some deputies also said it was necessary to make clear "special” criteria for these zones.

The administrations of these three zones, according to the draft, will be established differently than other local administrations, consisting of people’s committees and people’s councils.

Regarding land lease, Dinh said the regulations on the draft law were amended, in which chairmen of the people’s committees of the special zones can grant land lease for production and business up to a maximum of 70 years. In special cases, the land lease could last up to 90 years but must be decided by the Prime Minister.


                       Source: NDO


Related Topics


Mong people in Hang Kia protect forest, run tourism

(HBO) - The management board of the Hang Kia – Pa Co natural reserve has given Kha A Lu and his wife Vang Y Mai the permission to monitor a vast primitive forest near his home in Hang Kia commune, Mai Chau district. Despite being a tourist site, the trail leading to the top of Rong (dragon) mountain – the highest and most charming area in Hang Kia – Pa Co – is free from litter.

Kim Boi police promote sense of responsibility to better serve people

(HBO) – Over the past years, police of Kim Boi district, Hoa Binh province, have studied and practiced late President Ho Chi Minh’s six teachings for the public security force via practical activities associated with their duties, which have been highly valued by the local administration and populace.

Vietnam underlines importance of UN Charter on 75th anniversary

Deputy Prime Minister and Foreign Minister Pham Binh Minh has sent a message to the United Nations General Assembly on the 75th anniversary of the signing of the UN Charter.

36th ASEAN Summit opens in Hanoi

The 36th ASEAN Summit themed "Cohesive and Responsive” took place in Hanoi on June 26 under the chair by Prime Minister Nguyen Xuan Phuc.

Hoa Binh Party Committee gives feedback on socio-economic development

(HBO) - Member of the Party Central Committee and Secretary of the provincial Party Committee Bui Van Tinh on June 23 chaired a conference to review the fulfillment of tasks in the first half and tasks for the remainder of this year, as well as gave opinions on important socio-economic issues.

Drafts to be submitted to 14th provincial Military Party Congress debated

(HBO) – The Standing Board of the Hoa Binh provincial Party Committee recently held a meeting to give comments on draft documents and personnel plans to be submitted to the 14th congress of the provincial Military Party Organisation for the 2020-2025 tenure.