Directive No. 20/1999/CT-TTg on Implementing the Enterprise Law

DIRECTIVE

Implementation of the Enterprise Law

At its fifth session, the National Assembly passed the Enterprise Law to institutionalize the Party's policy of reforming the investment environment and enhancing internal resources to serve the country's industrialization and modernization.

To ensure that the Enterprise Law achieves its true purpose; to make the business environment in our country more favorable and transparent, thereby increasing investors' confidence in establishing enterprises and conducting business activities; to provide a solid legal basis for capital mobilization and concentration; and at the same time to ensure state management over enterprise operations, the Prime Minister issues the following directive:

1. The Ministry of Planning and Investment shall take the lead, in coordination with the Ministry of Justice, the Ministry of Culture, Sports and Tourism, the Government's Steering Committee on Legal Education and Propaganda, provincial and municipal people's committees under the central government, the Vietnam Chamber of Commerce and Industry, and other relevant organizations, to organize the dissemination and popularization of the Enterprise Law, particularly among enterprise managers and state officials related to this matter, through practical and effective methods.

2. The Ministry of Justice shall take the lead, in coordination with the Ministry of Planning and Investment, the Office of the Government, and relevant ministries and sectors, to systematize and review all decrees, decisions, directives, and circulars guiding the implementation of the Company Law and the Private Enterprise Law dated December 21, 1990, to abolish, supplement, amend, or submit to competent authorities for abolition, supplementation, or amendment of issued documents to align them with the Enterprise Law.

3. The Ministry of Planning and Investment shall take the lead, in coordination with the Office of the Government, the Ministry of Justice, the Ministry of Finance, the Central Enterprise Management Reform Board, the Prime Minister's Research Board, and other relevant ministries and sectors, to study and draft government decrees guiding the implementation of the Enterprise Law, including:

a) A decree of the Government detailing and guiding the implementation of certain provisions of the Enterprise Law;

b) A decree of the Government specifying the procedures and formalities for converting state-owned enterprises and enterprises of political organizations and political-social organizations into joint-stock companies;

c) A decree of the Government specifying the procedures and formalities for converting state-owned enterprises and enterprises of political organizations and political-social organizations into limited liability companies with one member;

d) A decree of the Government regarding the establishment and operation of individual business households to replace Decree No. 66/HĐBT dated March 2, 1992;

e) A decree of the Government concerning the functions, tasks, organizational structure of the business registration agency, and the coordination between state agencies in managing enterprises.

The drafting of these decrees must be completed to submit to the Government for issuance no later than December 1999. During the drafting process, the Ministry of Planning and Investment shall have the responsibility to solicit contributions from enterprises to ensure that the content of the decrees complies with the law and is consistent with actual conditions, creating favorable conditions for investment and business.

4. The Office of the Government shall be responsible for monitoring and urging the implementation of this Directive.