Vietnamese investors can transfer foreign currency abroad as payment foractivities relating to their projects before getting investmentlicences from foreign local authorities under a draft decree of theMinistry of Planning and Investment.
The draft decree on directoverseas investment, released recently to garner public opinion, sayspayment in foreign currency can be made for activities related toinvestors' projects abroad, including market and investment opportunityresearch, field study and related document research, collection andpurchase.
The money will also cover the assessment, appraisement,choosing and hiring of foreign consultants to help assess and appraisetheir projects. The capital will be earmarked for activities such asorganisation and participation in related conferences, establishment ofrepresentative offices related to the setting up of the projects,participation in international bidding and paying deposits, bankguarantees or other kinds of financial guarantees to procure an entity,as well as buying or hiring of assets for the projects. Theseexpenses are part of the total investment capital of the projectsregistered by investors.
Deputy Director of the ministry'sForeign Investment Agency Vu Van Chung said the new regulations willcreate favourable conditions for Vietnamese businesses to invest abroad.
However,he said, the decree will also have regulations to tighten control overcapital sent abroad from Vietnam, following the Foreign CurrencyOrdinance and other related laws.
The draft decree stipulates thetransfer of foreign currency abroad must be made in line withregulations governing foreign currency management and other relatedregulations.
Investors will also be required to commit to balancetheir sources of foreign currency or to prove their investment capitalcapacity as part of requirements for granting of investment licences.
Underthe existing regulations, investors are allowed to transfer foreigncurrency broad only when they receive investment licences from localauthorities of the countries where the projects are located, or when theprojects are approved by the foreign local authorities.
Accordingto the planning and investment ministry, Vietnamese businesses investedin 930 projects abroad by the end of last December, with a totalregistered investment capital of 19.5 billion USD.
The draft decree can be viewed on the ministry's foreign investment agency's website at fia.mpi.gov.vn for discussion.-VNA
The draft decree on directoverseas investment, released recently to garner public opinion, sayspayment in foreign currency can be made for activities related toinvestors' projects abroad, including market and investment opportunityresearch, field study and related document research, collection andpurchase.
The money will also cover the assessment, appraisement,choosing and hiring of foreign consultants to help assess and appraisetheir projects. The capital will be earmarked for activities such asorganisation and participation in related conferences, establishment ofrepresentative offices related to the setting up of the projects,participation in international bidding and paying deposits, bankguarantees or other kinds of financial guarantees to procure an entity,as well as buying or hiring of assets for the projects. Theseexpenses are part of the total investment capital of the projectsregistered by investors.
Deputy Director of the ministry'sForeign Investment Agency Vu Van Chung said the new regulations willcreate favourable conditions for Vietnamese businesses to invest abroad.
However,he said, the decree will also have regulations to tighten control overcapital sent abroad from Vietnam, following the Foreign CurrencyOrdinance and other related laws.
The draft decree stipulates thetransfer of foreign currency abroad must be made in line withregulations governing foreign currency management and other relatedregulations.
Investors will also be required to commit to balancetheir sources of foreign currency or to prove their investment capitalcapacity as part of requirements for granting of investment licences.
Underthe existing regulations, investors are allowed to transfer foreigncurrency broad only when they receive investment licences from localauthorities of the countries where the projects are located, or when theprojects are approved by the foreign local authorities.
Accordingto the planning and investment ministry, Vietnamese businesses investedin 930 projects abroad by the end of last December, with a totalregistered investment capital of 19.5 billion USD.
The draft decree can be viewed on the ministry's foreign investment agency's website at fia.mpi.gov.vn for discussion.-VNA
