New motivation for Hai Phong from special mechanisms and policies

By 2050, Hai Phong will be a major seaport city in the region and the world.

Launch pad for breakthrough development

The draft proposes 41 specific policies, divided into six groups, focusing on investment management, finance - budget, planning - urban, science - technology, staff income, and the establishment of a new generation Free Trade Zone.

In the investment sector, Hai Phong will be strongly decentralized, allowing the City People's Committee to approve and adjust investment policies for port projects with a scale of VND2,300 billion or more, while managing national inland waterways and inland ports and wharves. These policies help the locality proactively attract investment, upgrade infrastructure, and increase transport capacity, thereby promoting the seaport and logistics economy.

Regarding finance and budget, according to the draft, Hai Phong is allowed to borrow up to 120% of local budget revenue, and receive an additional 70% of the increase in import-export revenue to invest in infrastructure of economic zones, industrial parks, and Bach Long Vi Island. The city is also allowed to pilot a fee mechanism, charges, and financial policies to reduce greenhouse gas emissions through carbon credits, similar to localities such as Ho Chi Minh City and Da Nang. These mechanisms not only increase financial resources but also encourage sustainable development.

Planning, urban, natural resources and environment are the key policy groups with nine mechanisms, notably shortening the detailed planning procedure to three months; selling public apartments to households that relocate or buy social housing; and decentralizing land acquisition and leasing for logistics projects and industrial parks over 100 hectares. These policies help Hai Phong make the most of land resources, urban renovation, and attract investment in strategic areas.

Science, technology and innovation are prioritized with eight policies, including 10-year exemption of corporate and personal income tax for innovative startups; non-refundable support for research, and pilot development of semiconductor chips and artificial intelligence. In particular, the establishment of a Venture Capital Fund will mobilize social resources, promote the commercialization of technology products, and create new momentum for Hai Phong in the digital age.

Regarding the cadre regime, the city is allowed to use surplus salary reform resources to increase income for civil servants and public employees at a maximum of 0.8 times the basic salary, in order to improve work efficiency and attract talent.

The biggest highlight is the establishment of a new generation Free Trade Zone in Hai Phong, with 17 preferential policies on administrative procedures, land, taxes, and immigration. This area, linked to the Dinh Vu - Cat Hai Economic Zone and the Southern Coastal Economic Zone, is expected to attract investment, promote exports, and develop technological research, thereby raising Hai Phong's position in the region.

Strategic vision and the need for breakthrough mechanisms

The necessity of the new Resolution stems from political, legal, and practical grounds. According to Conclusion No. 96-KL/TW of the Politburo, Hai Phong needs an outstanding mechanism to implement Resolution 45-NQ/TW, aiming at the development goal by 2030, with a vision to 2045. Resolution No. 07/NQ-CP and Notice No. 4408/TB-TTKQH also emphasize the requirement to develop breakthrough policies, suitable for practice, and comply with legal procedures.

In practice, Hai Phong has achieved high economic growth, playing a driving role in the Hanoi - Hai Phong - Quang Ninh economic triangle. However, the city still faces limitations such as an economic scale that does not match its potential, a budget revenue structure that depends heavily on FDI, unsynchronized infrastructure, and a lack of breakthroughs in science and technology. Resolution 35/2021/QH15, although bringing some results, has not created a breakthrough due to the lack of outstanding mechanisms and slow implementation.

The new draft Resolution is built with the perspective of complying with the 2013 Constitution, inheriting successful policies from Resolution 35/2021/QH15, while decentralizing to the maximum extent to Hai Phong to increase autonomy and responsibility. The Government emphasizes creating consensus from people and businesses, ensuring that the investment and business environment is not affected. These mechanisms not only resolve bottlenecks but also create great spillover effects, contributing to making Hai Phong a leading economic, seaport, and logistics center in the region.

With 41 specific policies, the draft Resolution is not only a legal tool but also a strategic lever, helping Hai Phong to exploit its full potential, contributing strongly to the country's double-digit growth target. The National Assembly's consideration and approval of this Resolution will be a turning point, affirming Hai Phong's pioneering role in the journey of sustainable development and international integration.

Breakthrough spirit in the draft special Resolution

The Draft Resolution replacing Resolution 35/2021/QH15, with specific mechanisms for Hai Phong, received approval from the Standing Committee of the Economic and Financial Committee. However, to ensure breakthroughs and feasibility, the Committee emphasized the need to expand the scope of application, clarify the legal basis, and strengthen supervision, especially with the new generation Free Trade Zone, to help Hai Phong break through to become a leading economic driving force.

Enhance breakthrough, expand scope of application

The Standing Committee of the Economic and Financial Committee highly appreciated the necessity of the draft Resolution replacing Resolution 35/2021/QH15, aiming to create a specific mechanism for the development of Hai Phong. The draft is built on a solid political, legal, and practical foundation, meeting the Party's policy of promoting Hai Phong to become an economic driving force in the Red River Delta region.

However, to accommodate the upcoming administrative boundary merger, the Committee proposes to expand the scope of application of the Resolution to newly merged areas. Policies need to be innovative, creative, and inclusive, while taking advantage of the geographical, economic, and cultural characteristics of these areas. Currently, the impact assessments and targets in the draft are mainly based on the boundaries, population, and potential of Hai Phong before the merger, which do not fully reflect the comprehensive picture after the administrative change. Therefore, it is necessary to add more specific regulations, beyond the current general principles, to ensure that the policy maximizes the potential of the locality.

Regarding policy groups, the Committee basically agrees with the continued implementation of mechanisms from Resolution 35/2021/QH15, such as increasing officials' income from surplus salary reform sources and piloting fees and charges. Regarding similar policies applied in Ho Chi Minh City or Da Nang, the Committee supports them but emphasizes the need to clarify some aspects. For example, the land recovery policy for the construction of logistics centers needs a clear legal basis, because the current Land Law does not stipulate this case, related to Article 54 of the Constitution. When recovering land interspersed in residential areas, it is necessary to add regulations to protect people's rights, avoid complaints and ensure social consensus.

In the field of science, technology and innovation, the Committee agreed to exempt corporate and personal income tax for innovative startups, but proposed to consider a 10-year period compared to 5 years in Da Nang, and to add regulations on global minimum tax to be consistent with international policy.

For venture capital funds, it is necessary to review the exemption of liability for officers using capital, to ensure transparency and accountability.

Free Trade Zones: Highlights that need close monitoring

The draft resolution proposes many new policies that have never been applied in other localities, such as decentralizing the Hai Phong People's Committee to approve port investments of VND2,300 billion or more, managing inland waterways, selling public housing built between 1995 and 2025, and converting rice fields and production forests. The Committee supports these mechanisms, but requires additional regulations on responsibilities, public housing pricing mechanisms, and limits on the area of ​​land converted, and reporting to competent authorities to ensure the leadership of the Party.

The biggest highlight is the establishment of the new generation Free Trade Zone in Hai Phong, which is considered a political determination of the Government and the locality. This area, linked to the Dinh Vu - Cat Hai Economic Zone and the Southern Coastal Economic Zone, will apply preferential policies on tax, land, administrative procedures, goods transit, and foreign currency payments. The Committee highly appreciates the economic potential and regional spread of this model, but emphasizes the need to clarify the impact on growth, budget, and society. In particular, it is necessary to build a risk management mechanism and regular monitoring to ensure financial safety, economic security, and social order.

Regarding land use in the Free Trade Zone, not depending on national planning targets is a new policy, but it needs to be reported to competent authorities for agreement with the master plan. The “one-stop” mechanism implemented by the Hai Phong Economic Zone Management Board needs to be reviewed to ensure simplicity, transparency, and efficiency. Regarding tax incentives, the Committee recommends considering the application period and adding regulations for enterprises subject to the global minimum tax. Regarding the transit of goods, it is necessary to clearly stipulate the control process to prevent smuggling and tax evasion, especially for sensitive items such as cigarettes and gasoline. The foreign currency payment policy, although groundbreaking, needs to be accompanied by a foreign exchange management and anti-money laundering mechanism, detailed in the guiding decree.

The Standing Committee of the Economic and Financial Committee concluded that the draft Resolution needs to be further improved, especially seeking the Politburo’s opinion on major issues such as land use and Free Trade Zones. Based on the direction of competent authorities and the review opinions, the Drafting Committee needs to absorb and edit to ensure the quality of the document, comply with the process, and be ready to submit to the National Assembly for consideration…

Source: https://thoibaonganhang.vn/dong-luc-moi-cho-hai-phong-tu-co-che-chinh-sach-dac-thu-162918.html