Investment attraction policies need to avoid turning Vietnam into a "lowland"

Delegate Tran Viet Anh, full-time member of the National Assembly 's Committee on National Defense, Security and Foreign Affairs.

Investment policy approval procedures are still very necessary.

According to delegate Tran Viet Anh, the Standing Committee of the National Defense, Security and Foreign Affairs Committee (NDSC) basically agreed on the necessity of promulgating the Investment Law (amended) to institutionalize the Party's Resolutions on perfecting the socialist-oriented market economic institution and developing the private economy; promptly removing difficulties and obstacles in institutions and laws, unblocking and promoting resources for socio-economic development; cutting and simplifying procedures in investment and business, creating favorable conditions for people and businesses.

Regarding the investment policy approval procedure, delegate Tran Viet Anh said that this is still a necessary procedure in managing investment and business activities in Vietnam, to ensure reasonable control between economic development and state management requirements, while enhancing transparency, efficiency, reasonable decentralization and avoiding systemic risks.

The amendment and supplement to complete this provision in the draft Investment Law (amended) is to remove difficulties and obstacles and speed up the process of implementing investment policy approval procedures, ensuring consistency and synchronization with relevant legal provisions.

However, delegates were concerned about the regulation transferring the authority to approve investment policies from the Provincial People's Committee (collective) to the Chairman of the Provincial People's Committee (an individual decision). According to delegates, although this regulation is consistent with the policy of decentralization, increasing individual initiative and responsibility, helping to shorten the time to process documents, increasing flexibility..., it is also necessary to study control mechanisms to ensure transparency, clarity, and avoid abuse of power.

Attracting FDI capital to Vietnam requires selection.

Regarding the procedures for establishing economic organizations of foreign investors, delegate Tran Viet Anh said that the Standing Committee of the National Assembly basically agreed with the amendments and supplements in Article 20 of the draft Law allowing foreign investors to establish economic organizations without requiring an investment project before establishment, but must meet the market access conditions for foreign investors when carrying out procedures for establishing economic organizations.

However, the Committee also requested the Drafting Agency to study and add additional conditions (proof of financial capacity, business purposes...), monitoring mechanisms (capital flows, unusual transactions...), and mandatory post-audits.

Regarding foreign investment activities in Vietnam, opinions in the Committee believe that it is necessary to focus on the viewpoint: taking quality, efficiency, technology and environmental protection as the main evaluation criteria; prioritizing projects with advanced technology, new technology, high technology, clean technology, modern management, high added value, spillover effects, connecting global production and supply chains; in line with the orientation of economic restructuring and sustainable development goals; protecting the environment, ensuring national defense, security, social security, order and safety and enhancing the independence and autonomy of the economy.

In addition, it is necessary to study and have clear policies to attract foreign investment activities in Vietnam, however, it is necessary to ensure national interests, avoid "lowlands"; at the same time, it is recommended to carefully assess the impact of new policies applied to foreign investment activities in Vietnam.

Delegates also agreed with the provisions of the draft Law supplementing the prohibition of investment and business in the industry and profession of "trading in electronic cigarettes and heated tobacco" to comply with Resolution No. 173/2024/QH15 dated November 30, 2024 of the National Assembly to ensure public health, social order and safety.

However, delegates suggested that the Drafting Agency carefully assess the impact (direct and indirect) of this policy on individuals and businesses participating in the supply chain - from import, distribution, retail, and production of accessories related to electronic cigarettes and heated tobacco products to minimize negative impacts on the business activities of the above subjects.

Source: https://baodautu.vn/chinh-sach-thu-hut-dau-tu-can-tranh-bien-viet-nam-thanh-vung-trung-d432401.html