Investors face fewer difficulties thanks to special mechanisms.

Nearly a year after the implementation of Resolution 98/2023 on the development of Ho Chi Minh City: Investors face fewer difficulties thanks to special mechanisms.

Nearly a year after the implementation of Resolution 98/2023/QH15 (Resolution 98) on piloting some specific mechanisms and policies for the development of Ho Chi Minh City, many investment procedures have been streamlined and are being processed faster than before.

The effect is noticeable.

“Since the implementation of Resolution 98, the City has allowed the High-Tech Park to re-establish the one-stop administrative procedure on-site, so now the procedures have been significantly shortened. Investors only need to submit their applications through a single window at the High-Tech Park,” Ms. Huynh Thi Ngoc Dao, Chief of the Office of the Management Board of Ho Chi Minh City High-Tech Park (SHTP), told a large number of businesses at a recent meeting.

Currently, in accordance with the special mechanism of Resolution 98, the Ho Chi Minh City People's Committee authorizes the SHTP Management Board to issue environmental permits, appraise and approve detailed construction planning projects or adjustments to 1/500 scale detailed construction planning projects for investment projects in the High-Tech Park…

Since receiving their applications at the SHTP's one-stop service center, businesses now only need about 6 months, or even 4 months, to complete the procedures. Previously, with the same application, it would have taken 2 years to complete the process.

The most typical example is the project of Nipro Group (Japan) in the High-Tech Park. In March 2021, this company submitted an application to expand its factory, but due to planning adjustments, the project's planning could not be revised by early 2024.

Following the application of the specific mechanism of Resolution 98, on December 29, 2023, Nipro submitted a proposal to the SHTP Management Board for appraisal of the revised master plan at a scale of 1/500 for the Nipro Vietnam Factory Project in the High-Tech Park.

On May 24, 2024, the SHTP Management Board issued a decision approving the revised master plan at a scale of 1/500 for the Nipro Vietnam Factory Project.

Thus, the approval process for the 1/500 scale revised planning project, since its transfer to the SHTP Management Board, only takes a few months, whereas previously, it took years for the relevant departments and agencies to complete.

Ms. Ho Thi Thu Uyen, Head of the SHTP Business Association, said that the issue of re-establishing the one-stop service mechanism has been a long-standing request from businesses, and they are eagerly awaiting this administrative procedure reform. "The resolution of one-stop service procedures is considered a key factor in attracting investment to the High-Tech Park," Ms. Uyen assessed.

Similarly, the Ho Chi Minh City Export Processing Zones and Industrial Parks Management Board (Hepza) is also delegated the authority to carry out certain licensing procedures for businesses under the special mechanism of Resolution 98.

According to Ms. Nguyen Thi Lan Huong, Chief of the Hepza Office, under the decentralization mechanism of Resolution 98, Hepza is authorized to handle environmental procedures at the district level and approve 1/500 scale planning in industrial zones. Thanks to the implementation of the one-stop mechanism in industrial zones, the processing time for procedures has been significantly reduced compared to before.

Licensing for managing foreign workers remains problematic.

Although many procedures have become much more streamlined under the mechanism of Resolution 98, one of the issues most frequently raised by businesses over the past year is the procedure for granting permits to foreign workers in Ho Chi Minh City.

Providing one-stop service for procedures is considered a key factor in attracting investment to the High-Tech Park.

- Ms. Ho Thi Thu Uyen, Head of the SHTP Business Association

Citing a real-life example from a Singaporean business, a representative of the Singapore Business Association in Vietnam recounted how a Singaporean company in Ho Chi Minh City, when transitioning from a sole proprietorship to a joint-stock company, continued to employ foreign experts and workers who had previously worked for the company. However, simply because of the change in model, the company had to apply for new permits for foreign workers. "Such requirements waste a lot of time for both workers and investors," the representative complained.

Representatives from the Singapore Business Association suggested that, to facilitate businesses, the authorities should simply update the information instead of requiring workers to go through the entire process again from scratch.

Also facing difficulties related to the licensing procedures for foreign workers, representatives of the European Chamber of Commerce (EuroCham) reported that many foreign experts from Europe encounter problems when applying for work permits in Ho Chi Minh City.

"The excessive paperwork required to obtain work permits is time-consuming and negatively impacts European investors, especially since many Europeans have previously worked and lived in Ho Chi Minh City for extended periods," this person commented.

Previously, the issuance of permits for foreign workers was handled at the one-stop service center in SHTP and Hepza. However, according to Decree No. 70/2023/ND-CP, the issuance of permits for foreign workers has been transferred to the Department of Labor, War Invalids and Social Affairs of Ho Chi Minh City, resulting in a longer processing time.

Therefore, the SHTP Management Board and Hepza have submitted a proposal to the Ho Chi Minh City People's Committee requesting that they be granted the authority to issue permits and manage foreign workers working in the High-Tech Park and industrial zones, in order to facilitate businesses investing in the city.

Source: https://baodautu.vn/gan-mot-nam-thuc-hien-nghi-quyet-982023-phat-trien-tphcm-nha-dau-tu-bot-kho-nho-co-che-dac-thu-d219792.html