Ho Chi Minh City. Concise by action to improve investment growth

DNHN - These are the words of the Vice Chairman of the City People's Committee, Mr. Bui Xuan Cuong. The Investment Promotion Conference "Improving investment attraction and proposing effective legal solutions for Investors in Ho Chi Minh City

This event is part of the Vietnam International Arbitration Center's (VIAC) and the Ho Chi Minh City Investment and Trade Promotion Center's Event Series on Corporate Legal Affairs 2023. Ho Chi Minh City (ITPC) co-organized the conference.

Vice Chairman of the Ho Chi Minh City People's Committee Currently, according to Bui Xuan Cuong, Ho Chi Minh City. Ho Chi Minh City is committed to implementing numerous mechanisms and policies for developing the Southeast region and Ho Chi Minh City. Ho Chi Minh City until the year 2030. In particular, the President of the National Assembly has just signed and promulgated Resolution 98/2023/QH15 regarding piloting several specific mechanisms and policies for the city's development. The Ho Chi Minh City Council took effect on 1 August 2023, and this resolution contains several specific mechanisms and policies about investment management groups, financial and budgetary management groups, and investment management groups. To attract strategic investors and organize the city apparatus, land resources, and the environment, as well as science and technology innovation, will continue to be concretized in action and plan programs. Plan for the immediate future.

"We also have high expectations for the development of the city in the future, based on the city government's focus in the past on infrastructure development and socioeconomic development. In addition to supporting investors, we recognize that the operating environment for investors in Ho Chi Minh City is becoming increasingly developed and secure. Ho Chi Minh, both in Southeast Asia and in Vietnam. Particularly, during the implementation process, we evaluate the information channels between investors and the government to demonstrate the political mechanism's openness and transparency. Priority should be given to removing and prioritizing shared information channels if difficulties and issues persist. Vice Chairman of the City People's Committee. Ho Chi Minh Bui Xuan Cuong added.

Ms. Cao Thi Phi Van is the Deputy Director of Ho Chi Minh City's Trade and Investment Promotion Centre. Ho Chi Minh City (ITPC) provided preliminary assessments of the city's development situation in its opening address. Ho Chi Minh over the past decade. Long ago, City. As the country's economic engine, Ho Chi Minh City has become an ideal location for both domestic and international investors. With numerous geographical, economic, technical, and human resource advantages, the city has always been regarded as one of the top locales for attracting FDI.

According to Ms. Van, FDI into Ho Chi Minh City "boomed" in the first half of the year, indicating that Ho Chi Minh City's economic situation has flourished in the second quarter after falling sharply in the first quarter of 2023. This is a positive sign, but the question is what the city must do to continue to attract FDI, especially when the Global Minimum Tax (GMT) policy applies to 141 countries, including Vietnam, beginning in 2024. This will be a significant challenge for emerging markets like Vietnam, where tax incentives are among the most attractive for foreign investors. If tax incentives are disregarded, the remaining challenge in attracting FDI is to enhance the investment environment. And one of the most important objectives that must be addressed shortly is to propose effective legal solutions for investors in the city, to create a healthy and clean legal environment so that foreign investors can be assured of stable investment and long-term business.

According to Dr. Vu Tien Loc, President of the Vietnam International Arbitration Centre (VIAC), the current economic fluctuations following the Covid-19 pandemic reveal a very extensive chain of changes. The large influx of foreign investment in the global economy reorganized the supply chain. Vietnam is one of the most popular tourist destinations; the question is how to capitalize on this opportunity for Vietnam's development, particularly for large economic centers like Ho Chi Minh City. Ho Chi Minh City necessitates that we have a strategic vision and make innovative development decisions. Recently, the National Assembly passed a resolution on Ho Chi Minh City-specific mechanisms and policies. We expect Ho Chi Minh City to serve as a model for institutional reforms in Vietnam and Ho Chi Minh City. Ho Chi Minh City will continue to be the economic engine of Vietnam.

"For Ho Chi Minh City, the issue is not competition with other cities, but rather its leading and central position in the supply chains. It can be said that, given the attributes In this situation, Ho Chi Minh City will be in a position to achieve a breakthrough shortly; however, to achieve a breakthrough, it is crucial to focus on three key models: institutions, and infrastructure. Regarding institutions, there are both policy and legal issues. Shortly, this field will develop due to recent advances. In the development process of Ho Chi Minh City and the entire nation, legal issues are of the utmost importance.70% of current real estate projects are primarily concerned with legal matters. Support for Ho Chi Minh City and support for the business community in raising legal issues is one the important issues, if we want to succeed in the Resolution of the specific mechanism of Ho Chi Minh City, imagine there will be conflicts that are unsuitable for the specific mechanism with a unified legal voice. Then, how to deal with the large issue in the future, how to solve the development problem for foreign investors effectively, and how to support the direct mechanism for each project and program for the city's development. In Ho Chi Minh City, supporting innovative solutions is of the utmost importance. If experts and the business community support it, it will be much more beneficial for the city. Ho Chi Minh City promotes the legal program for development. I hope this is a practical activity to implement the National Assembly Resolution, support the government, and spread it throughout the nation. Towards establishing a forum and legal support network for investors across the nation, beginning in Ho Chi Minh City. According to Dr. Vu Tien Loc, Ho Chi Minh City is highly competitive with ASEAN countries and the rest of the world.

Mr. Dao Minh Chanh, Deputy Director of the Department of Planning and Investment of Ho Chi Minh City spoke at the conference. Ho Chi Minh City introduces a project to enhance the city's ability to attract foreign direct investment. Ho Chi Minh City between 2023 and 2025, with a view to 2030. The project is constructed by the new period's central directive for enhancing the effectiveness of foreign investment. Currently, the international situation is volatile, complex, and unpredictable, with numerous never-before-seen problems. Recession, energy security, and global food security are just a few of the challenges faced by nations worldwide, and Vietnam in particular. This significantly affects the investment strategies of multinational corporations. All of these factors have an immediate impact on foreign investment in Vietnam and Ho Chi Minh City. Ho Chi Minh. The project's objectives and tasks are well-defined, serving as a road map toward the ultimate objective of increasing investment capital in the region and developing the city.

In addition, Mr. Dau Anh Tuan - Deputy Secretary General, Head of the Legal Department of Vietnam Confederation of Commerce and Industry (VCCI), Arbitrator of Vietnam International Arbitration Centre (VIAC) - mentioned several obstacles, i.e., there are assessments of some typical obstacles relating to legal regulations for the activities of foreign investors. Specifically, the legal framework governing business investment activities has numerous flaws, making it difficult for the government to attract potential capital despite the attractiveness of its preferential policies. The business investment climate in our country, particularly in Ho Chi Minh City, cannot be denied. Ho Chi Minh City has been continuously improved by the local community's positive attitude and sense of responsibility; however, problems with procedures and the application of legal regulations remain one of the greatest obstacles for businesses, particularly foreign investors. The competent authorities must make every effort to improve and eliminate the gap between regulations and practical application, which is a problem faced by a large number of businesses. According to Mr. Tuan, the innovation in the legal framework on investment expands opportunities to attract investment; however, it is necessary to ensure consistency in the revised documents, particularly the synchronization between important laws such as the Law on Investment, the Law on Land, and the Law on Bidding, etc.

Mr Chau Viet Bac - Deputy General Secretary of the Vietnam International Arbitration Centre (VIAC) elaborated on the overview of the Investment Legal Support Forum model for investors during a dialogue session with investors at the conference. There are investors in the city. According to VIAC's statistics, the rate of disputes involving FDI in Ho Chi Minh City in 2022 will be approximately 40%, with the majority of these disputes involving large investment and construction projects. Consequently, the Investment Legal Support Forum model will resolve outstanding issues about the application of legal regulations through dialogue and feedback from the investor community. Based on identifying legal risks and damages that investors may face from a practical standpoint, the Forum seeks to provide investors with short-term legal solutions. along with expertise in addressing the legal issues faced by investors over the long term.

The dialogue was moderated by Dr. Vu Tien Loc, Chairman of the Vietnam International Arbitration Centre (VIAC), with the participation of representatives of foreign business associations in Vietnam, including Mr. James Ollen, Executive Director of the American Chamber of Commerce in Vietnam Nam (AmCham Vietnam), Mr. Michele D'Ercole, President of the Italian Chamber of Commerce in Vietnam (ICHAM), and Mr. Nguyen Hai Minh, Vice President of the European Chamber of Commerce in Vietnam (Eurocham).

During the dialogue, representatives of the Associations brought up the challenges that member businesses face, most notably regarding the issue of updating and implementing legal regulations. According to the representatives, the specialized agencies actively listen to and value the opinions of businesses, but the process of researching solutions to assist businesses is not timely. In light of the preceding practice, the representatives agreed that an annual business legal forum should be held to foster in-depth discussion, specific solutions, and a focus on corporate law. within the city limits. The application of legal regulations by investors in Ho Chi Minh City is influenced by the city's dynamic market and distinctive characteristics. Ho Chi Minh City will have unique characteristics in comparison to other cities. The implementation of the annual Investment Legal Support Forum provides foreign businesses with up-to-date information regarding procedural and legal changes that have a significant impact on their operations. Consequently, investors and businesses can develop a safe and effective operation strategy, anticipate changes in the law to capture and swiftly respond to unanticipated problems, and reduce risks and disputes. To meet the needs of foreign investors in Ho Chi Minh City, according to Dr. Vu Tien Loc, president of the Vietnam International Arbitration Centre (VIAC), the Legal Support Forum for Foreign Investors in Ho Chi Minh City has been established. Ho Chi Minh City will promptly address issues relating to the mechanism and application of legal policies to investors by providing practical solutions that are regularly updated via the anticipated model, which includes two forums per year.

After the dialogue session with investors, the exchange with representatives of large law firms and all the participants took place, with a great deal of positive and constructive opinions and sharing. From these contributions, the Centre for the Promotion of Trade and Investment in Ho Chi Minh City was established. Vietnam International Arbitration Centre (VIAC) and Ho Chi Minh City (ITPC) anticipate the Investment Legal Support Forum in Ho Chi Minh City. Shortly, Ho Chi Minh City will be implemented effectively, meeting the urgent needs of foreign investors and the business community in general.

Uyen Nhi