Legal Document Updates in English (11/2011)

INCREASING CHARTER CAPITAL OF CREDIT INSTITUTIONS TO DECEMBER 31, 2011
 

The Government has accepted to extend the application progress of charter capital for credit institutions before December 31, 2011 instead of December 31, 2010 as regulated before. After December 31, 2011, the State Bank of Vietnam will consider and decide the handle under law for credit institutions which have not ensured the legal capital level.

This is the content regulated in the Decree No. 10/2011/ND-CP of the Government dated January 26, on the amendment, supplement of several articles of the Decree No.141/2006/ND-CP dated 22 November 2006 on the issuance of the List of legal capital levels applicable to credit.

Legal capital levels applicable to credit institutions attached with this Decree keep remained in the Decree 141, in particular, State-owned commercial banks (VND 3,000 billion), Joint stock commercial banks (VND 3,000 billion); Joint venture

(VND 3,000 billion); 100% foreign owned banks (VND 3,000 billion); Bank for policies (VND 5,000 billion); Finance companies (VND 500 billion); Finance lease companies (VND 150 billion).

This Decree also regulates that during the time when credit institutions have not ensured the legal capital level as required in Paragraph 1 Article 1 of this Decree, the State Bank of Vietnam shall not consider the expansion of operation network (branches, representative offices, non-productive units, other types of presence in accordance with provisions of applicable laws) and the expansion of operation contents of credit institutions.

In reality, after 4 years when the Decree No. 141/2006/ND-CP took effects, there are only 17 banks applying charter capital level, and 23 banks that cannot ensure this requirement.

7 (SEVEN) MAJOR SOLUTIONS TO 2011 SOCIO-ECONOMIC DEVELOPMENT PLAN
 

The Government has just issued the Resolution No. 02/NQ-CP dated January 09, 2011 on major solutions to directing and managing the implementation of the 2011 socio-economic development plan and State budget estimate.

The Resolution emphasizes that the year 2011 is the first year of the 2011-2015 five-year plan and the 2011-2020 ten-year strategy for socio-economic development. The successful implementation of the 2011 plan will be of great importance to laying premises for promoting socio-economic development, contributing to achieving the objectives and tasks of the 2011-201.5 five-year plan and the 2011-2020 ten-year socio-economic development strategy.

The objectives of the 2011 socio-economic development plan, which were adopted at the 8th session of the XII^th National Assembly. These objectives have been concretized into major socio-economic targets, including: the gross domestic product (GDP) will rise 7-7.5% over that of 2010: the consumer price index will increase by 7% at most: the total export turnover will increase 10% over that of 2010, with the trade deficit not exceeding 18% of the export turnover; the stale budget deficit will be around 5.3% of the GDP; the total development investment capital source of the entire society will be equal to some 40% of the GDP; the number of newly enrolled students of universities and colleges, professional secondary schools, vocational colleges and secondary schools will increase 6.5%. 10% and 16.5% respectively; jobs will be created for 1.6 million laborers, including 87,000 laborers to be sent abroad as guest workers: the poor household percentage will be reduced 2% under the new poverty line, particularly A'A for 62 poor districts; 4% of total number of communes will attain the new countryside standards; 69% of seriously polluting establishments will be handled; the percentages of treated hospital waste and collected urban solid waste will be 82% and 83% respectively; and the forest coverage rate will be 40%.

In order to fruitfully implement  National Assembly's Resolutions on the 2011 socio-economic development plan and on the 2011 state budget estimate as well as on

the allocation of the 2011 central budget, the Government requests ministries, agencies and provincial-level People's Committees to concentrate efforts on directing, managing and organizing the fruitful performance of the following major solutions.
Firstly, further stabilizing the macro economy and ensuring the economy's major balances, in particular, controlling inflation and assuring market stability; controlling the trade deficit and bettering the payment balance; maintaining the stability of the monetary, credit and banking system; heightening financial discipline and reducing budget expenditures, thereby assuring that the government debit balance, public debts and foreign debts of the country are kept within the safety limits.

Secondly, stepping up the economic restructuring associated with the renewal of the growth model, and raising productivity quality, efficiency and competitiveness of the economy. Within that, it is necessary to pay attention to step up the economic restructuring associated with the renewal of the growth model; develop infrastructure and intensifying the mobilization of resources for development investment; assure sufficient supply of electricity for production and consumption; step up the reform and raising the-operation efficiency of enterprises; raise the quality and efficiency of the attraction and use of foreign direct investment capital;

Thirdly, implementing the master plan on, and further raising the quality or human resources, stepping up the application of science and technology.

At the same time, Ministers, heads of ministerial-level and government-attached agencies, and chairpersons of provincial-level People's Committees shall direct functional agencies in reviewing and assessing implementation results of the strategies, master plans and programs on development of sectors, regions and localities; indicating the objectives, tasks, duration and units responsible for implementation, then send them to the Ministry of Planning and Investment before January 22, 2011, for summarization and reporting to the Government in its January 2011 regular meeting.

GOVERNMENT CREATES FAVORABLE CONDITIONS FOR ACTIVITIES OF RED CROSS ACTIVITIES
 

On January 07, 2010, the Prime Minister issued the Decree No. 03/2011/ND-CP detailing and providing measures for the implementation of the law on Red Cross Activities. Within that, on state budget supports for red-cross activities; on facilitation and prompt clearance of entry, exit and customs procedures for persons, money and objects in service of red-cross activities in case of natural disasters, catastrophes or dangerous epidemics.

The Decree regulates that persons who, when carrying out red-cross activities, meet with accidents which damage their health may receive financial supports for medical treatment to restore their health and lost or deficient functions; loss or reduction of actual income; in case such income is unstable and cannot be determined, the average income earned from similar jobs will apply.

Persons who, when carrying out red-cross activities, die for saving the life or property of people or the State may be considered for recognition as fallen heroes; those who are injured and, therefore, lose 21% or more of their working capacity may be considered for entitlement to preferential policies like war invalids; those who are injured and, therefore, lose between 5% and under 21% of their working 

capacity may receive a lump-sum allowance under the Ordinance on Preferential Treatment for Persons with Meritorious Services to the Revolution and guiding documents.  
State budget funds shall be given to agencies and units assigned by competent agencies to raise, receive, transport and distribute cash and in-kind donations in red-cross activities according to current budget management and decentralization regulations, covering.

Prioritizing and facilitating the clearance of import or export procedures for curative medicines, epidemic prevention and control medicines and medical equipment in case of natural disasters, catastrophes and dangerous epidemics, it is also a favorable condition for customs procedures for imports and exports to serve red-cross activities. Visas for foreigners who enter Vietnam to carry out red-cross activities in case of natural disasters, catastrophes and dangerous epidemics shall be granted by overseas Vietnamese representative missions within 24 hours after receiving an application therefore or granted right at Vietnam's international border gates.

This Decree takes effect on February 25, 2011.

GOVERNMENT SUPPLEMENTS REGULATIONS ON CONFIDENTIAL INVENTIONS
 

On December 31, 2010, the Government issued the Decree No. 122/2010/ND-CP amending and supplementing a number of Articles of the Government's Decree No. 103/ 2006/ND-CP dated September 22, 2006, detailing and guiding a number of articles of the Law on Intellectual Property regarding industrial property.

The Minister of Public Security and the Minister of National Defense may utilize or assign organizations or individuals to utilize confidential inventions for the national defense or security purpose under Articles 145.146 and 147 of the Law on intellectual Property..

Confidential inventions; confidential invention protection titles; contents of and limitations on rights to confidential inventions. Inventions which are classified by competent slate agencies as state secrets in the field of national defense and security under the law on protection of state secrets are referred to as confidential inventions. Confidential inventions may only be granted confidential invention

patents or confidential utility solution patents. Confidential invention registration applications, confidential invention patents and confidential utility solution patents may not be disclosed and must be kept confidential under the law on protection of state secrets.

After a confidential invention is disclosed by a competent agency under the law on protection of state secrets, its registration application and protection title shall be handled as the confidential invention application shall be further processed like an invention application; the confidential invention patent or confidential utility solution patent shall be converted into an invention patent or utility solution patent and published in the Industrial Property Official Gazette and recorded in the National Register of Inventions.

This Decree takes effect on February 20, 2011.

NATIONAL PARK MUST HAVE AT LEAST 01 ENDEMIC SPECIES OF VIETNAM
 

On December 24, 2010, the Government issued Decree No. 117/2010/ND-CP on organization and management of special-use forest system.

The Decree includes 05 chapters and 40 articles stipulating organization and management of special-use forest system in the territory of the Socialist Republic of Vietnam. Special-use forests system in Vietnam, including 04 types: National parks; nature reserves; species-habitat reserves; landscape protected areas include cultural and historical monuments, tourist attraction; forest for research, experimental science.

National park must meet at least 01 out of 03 criteria as follows: To be valid special importance on the protection of landscape empirical science of the country approved by the Prime Minister; At least 01 standard samples characteristic ecosystem of an ecological region or country; The minimum area more than10,000​

hectares, of which at least 70% of the natural ecosystem, and agricultural land to residential less than 5%; At least 01 endemic species of Vietnam or can conserve habitat in 05 species of endangered rare and precious as prescribed according to legal regulations; The minimum area more than 7,000 hectares, of which at least 70% of the natural ecosystems, agricultural land and residential less than 5%.

For the nature reserves, conservation, habitat area of ​​15,000 hectares and over will be established ranger in national parks. The Ministries, Ministerial-level agencies, Provincial People's Committees and organizations are consulted, for a period not exceeding 30 working days after receiving the draft proposal to establish the system of special-use forests, have the written comments submitted to the Ministry of Agriculture and Rural Development.

This Decree takes effect from the date of March 01, 2011.