Requiring strategic investors to disburse all capital within 5 years is very difficult.

The regulation that strategic investors in Ho Chi Minh City must commit to disbursing all investment capital within 5 years may affect the implementation of investors participating in large projects.

The regulation that strategic investors in Ho Chi Minh City must commit to disbursing all investment capital within 5 years may affect the implementation of investors participating in large projects.

At the regular press conference on the afternoon of November 7, Mr. Pham Tuan Anh, Head of the Planning and Synthesis Department (Department of Planning and Investment of Ho Chi Minh City), informed about the problems and difficulties arising after one year of implementing Resolution 98 on piloting a number of specific mechanisms and policies for the development of the City.

According to Mr. Pham Tuan Anh, after one year of Resolution 98 coming into effect, the City has recorded a number of difficulties and problems arising.

Mr. Pham Tuan Anh, Head of the General Planning Department (Department of Planning and Investment of Ho Chi Minh City) informed at the press conference. Photo: Trong Tin

The first is related to the content of identifying strategic investors to enjoy preferential levels, preferential forms, and participate in investment according to simpler regulations and procedures than current regulations.

According to Resolution 98, strategic investors must commit to disbursing the entire total investment capital within 5 years from the date of investment policy decision or investment license issuance. This will affect the implementation of investors participating in large projects.

“For example, Can Gio International Transit Port requires a huge amount of capital. In addition to construction investment, the port needs to transfer goods according to its designed capacity, so it takes a lot of time. Recently, when appraising the project, the Ministry of Planning and Investment reported to the Prime Minister this difficulty, disbursing all the total capital within 5 years is very difficult and reduces the feasibility of the project,” said Mr. Tuan Anh.

Second, Resolution 98 allows the use of Ho Chi Minh City's budget to support other localities for inter-regional projects and connectivity projects. For example, Ring Road 3, Ring Road 4 and some expressways.

The city can provide partial budget support to implement items in the beltway project. However, there are no specific instructions on the procedures for other localities to receive and approve this source of capital.

Mr. Tuan Anh said that this content still causes confusion for the City and localities when implementing. The City People's Committee has proposed that the Ho Chi Minh City National Assembly Delegation and the People's Council propose that the National Assembly update and supplement this content into the Law on Public Investment, or amend, supplement, and clarify it further in Resolution 98.

Another problem presented by Mr. Pham Tuan Anh is that Resolution 98 allows the implementation of PPP projects in Thu Duc City. In fact, Thu Duc City has been decentralized and delegated authority to handle procedures for projects, however, the sequence of implementation steps has not been clarified and needs to be supplemented.

Source: https://baodautu.vn/yeu-cau-nha-dau-tu-chien-luoc-giai-ngan-toan-bo-von-trong-5-nam-la-rat-kho-d229471.html