Decision No. 32/2013/QD-TTg dated May 22, 2013 of the Prime Minister on some mechanisms and incentive policies applicable to Con Dao, Ba Ria – Vung Tau province

THE PRIME MINISTER

Decision No.  32/2013/QD-TTg dated May 22, 2013 of the Prime Minister on some mechanisms and incentive policies applicable to Con Dao, Ba Ria – Vung Tau province

Pursuant to the December 25, 2001 Law on Government organization;

Pursuant to the November 29, 2009 the Law on investment;

At the request of the Minister of Planning and Investment and the President of the People’s Committee of Ba Ria - Vung Tau province;

The Prime Minister promulgates Decision on some mechanisms, incentive policies applicable to Con Dao, Ba Ria – Vung Tau province,

Article 1. Scope of regulation and subjects of application

This Decision provides some mechanisms, incentive policies to encourage foreign and domestic organizations, individuals for investment and operation in Con Dao, Ba Ria – Vung Tau province.

Article 2. Rights and obligations of organizations, individuals investing and doing business in Con Dao

1. Investors conducting activities of investment and business in Con Dao have rights:

a. To conduct investment and business autonomy as prescribed by law on investment, except for case of investment and business in fields prohibited for investment and prohibited for business as prescribed by law;

b. To access to and use credit capital sources, land and natural resources as prescribed by law;

c. To hire foreign and domestic laborers to do jobs of managers, technical laborers and experts depending on demands of production and business as prescribed by law and international commitments which Vietnam have been acceded into; to decide on wage and minimum wages of employees as prescribed by law on labor; to establish the Trade Union organization in enterprises as prescribed by law;

d. To access to land fund that has been approved and announced by competent agencies, to mortgage land use right and assets attached to land at credit institutions permitted operating in Vietnam for borrowing capital for implementation of investment project as prescribed by law on land and relevant laws;

dd. To enjoy investment incentives as prescribed in this Decision and relevant regulations of other laws;

e. To implement other rights as prescribed by law.

2. Investors conducting activities of investment and business in Con Dao have obligations:

a. To conduct investment in production and business in Con Dao in accordance with the approved plans, regulations of law; to use land in proper purposes and effective manner;

b. To pay land use levy, land rent, charges for leasing rented land, charges for using/leasing workshops, warehouses and grounds, service facilities and public utilities in Con Dao, to implement full other financial obligations as prescribed by law;

c. To implement regulations of law on accounting, audit, insurance, labor, customs, environmental protection and other obligations as prescribed by law.

Article 3. Capital mobilization for investment in Con Dao development

1. Annually, based on regulations of law on the State budget, law on investment, balance capacity of the State budget, the importance technical-social infrastructure investment projects approved by competent state agencies and implementation schedule of projects, the Ministry of Planning and Investment shall assume the prime responsibility for, and coordinate with the Ministry of Finance and relevant agencies in allocating capital from objective assistance source from the central budget to Ba Ria – Vung Tau province or through Ministries, sectors to implement importance technical-social infrastructure investment projects in Con Dao. To prioritize in allocating capital from central budget, including capital sources of official development assistance (ODA), Government s bonds, program of Eastern sea and islands, incentive credits for investment in important projects in the field of traffic infrastructure, water supply and drainage, supply of electricity, treating waste.

2. To prioritize use of ODA capital sources and incentive credit capital for investment in construction of technical-social infrastructure facilities, service facilities and public utilities that are necessary for Con Dao and other technical assistances.

3. To attract investment capital under forms of BOT, BT, BTO, PPP and other forms as prescribed by law.

4. To be entitled to use fund for land development as prescribed by law on land for purpose of investment in development of technical-social infrastructure that serve generally for Con Dao.

5. To mobilize capital for direct investment of domestic organizations, individuals, advance capital of subjects that have demand for use of infrastructure, capital of enterprises having function on construction and business of technical infrastructural constructions

6. To expand form of co-financed credit of credit institutions and mobilize all capital sources under other forms, as prescribed by law.

Article 4. Investment encouragements and incentives

1. Policies on investment encouragements and incentives of State:

a. Foreign and domestic organizations, individuals are entitled to select implementation of investment projects in Con Dao (except for projects in list of fields prohibited for investment as prescribed by law on investment); 

b. Investors having foreign direct investment projects and domestic investment projects in Con Dao are solved fast procedures for investment, business and support during operation of production and business under law on investment, law on enterprises and relevant laws by competent state agencies; 

c. To encourage foreign and domestic investors for investment in construction of infrastructure in Con Dao;

a. All investment projects in Con Dao are enjoyed incentives applying to special difficult socio-economic areas as prescribed by law;

e. Organizations, individuals with Meritorious Services in calling investment capital from capital sources of official development assistance, calling foreign direct investment projects and domestic investment projects will be considered to reward as prescribed by law on emulation and commendation.

2. Incentives on enterprise income tax

Projects of foreign and domestic organizations, individuals that invest in Con Dao will be enjoyed incentives on enterprise income tax applying to investment projects in areas with special difficult socio-economic conditions as prescribed by law on enterprise income tax.

3. Incentives on export and import tax

Projects of foreign and domestic organizations, individuals that invest in Con Dao will be enjoyed incentives on import tax applying to investment projects in areas with special difficult socio-economic conditions as prescribed by law on export and import duties.

4. Incentives on exemption, reduction of land use levy, land rents

Investment projects in Con Dao will be enjoyed incentives on exemption, reduction of land use levy, land rents, water surface rents at the preferential levels applying to investment projects in areas with special difficult socio-economic conditions as prescribed by law on collection of land use levy, land rents, water surface rents.

5. Other incentives and investment encouragement policies

a. Construction and establishment of duty-free shops in Con Dao so as to sell duty-free goods for tourists being foreigners, Vietnamese bringing foreign passport upon coming Con Dao with value not exceeding VND 500,000 per person/day.

The Ministry of Finance, the Ministry of Industry and Trade shall guide the People’s Committee of Ba Ria – Vung Tau province in establishment and management of duty-free shops specified in this point.

b. The Ministry of Culture, Sports and Tourism shall coordinate with the People’s Committee of Ba Ria – Vung Tau province and relevant agencies in proposing mechanisms, policies to support, encourage the tourist promotion and advertising, the provision of tourism training with high quality for Con Dao, and report them to the Prime Minister.

c. The Ministry of Industry and Trade, the Electricity Group of Vietnam shall research plan for electricity source investment support, management of system of electricity provision ensuring demands on production, business and living activities for Con Dao, and report them to the Prime Minister.

Article 5. Land use and construction investment

1. Area of land, water surface for construction investment and development in Con Dao are defined in the master plan on construction and the Con Dao land use plan that have been approved by competent authorities, the People’s Committee of Ba Ria – Vung Tau province shall publicize the plan on land use, the master plan on Con Dao construction already approved and call investments under the plans.

2. Foreign and domestic investors must have dossier applying competent agencies before investing, building architectures, technical infrastructure constructions and services facilities and public utilities under investment projects in Con Dao as prescribed by laws on investment and construction.

3. Construction of facilities serving production and business, infrastructure constructions, functional zones, technical infrastructure constructions and services facilities and public utilities in Con Dao shall be managed in accordance with law on construction.

Article 6. Regime for exit, entry, residence, labor, health

1. Exit, entry, staying, temporary residence in Con Dao

a. Foreigners, Vietnamese residing in foreign countries who are working, conducting operation of investment, business or travelling in Con Dao and members in their families will be granted visas for the exit, entry and temporary residence or permanent residence in Con Dao as prescribed by law on the exit, entry and law on residence.

a. People’s Committee of Ba Ria - Vung Tau province shall coordinate with the Ministry of Transport and relevant Ministries and sectors in submitting to the Prime Minister about the necessity of upgrading Con Dao airport border-gate to become Con Dao international airport border-gate; Con Dao port to become Con Dao international sea port border-gate.

2. Regimes on preferential treatment for cadres, civil servants, public employees and armed forces working in Con Dao:

a. People’s Committee of Ba Ria – Vung Tau province shall direct the building of contingent of cadres, civil servants meeting requirements about construction and development of Con Dao.

b. The region-based allowance level for Con Dao district shall be up to level of 0.7.

c. People’s Committee of Ba Ria – Vung Tau province shall research to raise the existing levels of allowances for difficulty, allowances for attracting of province; expand regimes of preferential treatment of province for cadres, civil servants who arrive for work in Con Dao as prescribed by law.

3. Health assistance policies for Con Dao

The Ministry of Health shall prioritize investment in health network of Con Dao, assign a Central hospital to take responsibility for main assistance to Con Dao hospital, supporting the health equipment, alternately appointing doctors in charge of directly treating and providing the professional support for health officials in Con Dao.

Article 7. Financial regime

1. Organizations, individuals conducting business activities in Con Dao shall implement the financial regime as prescribed by Vietnam s law.

2. Purchase and sale, payment, transfer and other transaction relationship between organizations, individuals operating business in Con Dao are performed in Vietnam dong and foreign currencies that are permitted to freely convert as prescribed by the State bank of Vietnam.

3. Credit institutions may be established and operate as prescribed by law on credit institutions; foreign credit institutions may open branches, exchanges, transaction offices, saving funds, transaction places, representative offices in Con Dao so as to provide other banking professional operation and services in Con Dao as prescribed by law; foreign banks and financial companies may invest in establishment of banks, financial companies in Con Dao.

Article 8. Implementation organization

Relevant Ministries and agencies shall, within their functions, tasks and powers, guide specifically and coordinate with People’s Committee of Ba Ria – Vung Tau province in implementing mechanisms, policies in this Decision.

Article 9. Implementation provisions

1. This Decision takes effect on July 15, 2013.

2. Ministers, Heads of ministerial-level agencies, Heads of Governmental agencies, the President of the People’s Committee of Ba Ria – Vung Tau province shall implement this Decision.

The Prime Minister

Nguyen Tan Dung