Decision No. 41/1998/QĐ-TTg On the delegation of investment permit issuance for foreign direct investment projects

Pursuant to …;

Regarding the delegation of authority to issue investment licenses

for foreign direct investment projects
___________________

PRIME MINISTER

Pursuant to the Government Organization Law dated September 30, 1992;

Pursuant to the Law on Foreign Investment in Vietnam dated November 12, 1996;

Pursuant to Decree No. 12/CP dated February 18, 1997 of the Government detailing the implementation of the Law on Foreign Investment in Vietnam, and Decree No. 10/1998/NĐ-CP dated January 23, 1998 of the Government on certain measures to encourage and ensure foreign investment activities in Vietnam;

At the proposal of the Minister of Planning and Investment; 

DECISION:

Article 1. Delegation of authority to issue investment licenses for foreign direct investment projects under the Law on Foreign Investment in Vietnam dated November 12, 1996 to the People's Committees of the following provinces (referred to as Provincial People's Committee):

1. People's Committee of Ha Tay Province.

2. People's Committee of Hai Duong Province.

3. People's Committee of Thanh Hoa Province.

4. People's Committee of Nghe An Province.

5. People's Committee of Thua Thien Hue Province.

6. People's Committee of Quang Nam Province.

7. People's Committee of Khanh Hoa Province.

8. People's Committee of Lam Dong Province.

Article 2. The People's Committee mentioned in Article 1 of this Decision shall be responsible for receiving project files, examining, and issuing investment licenses for foreign direct investment projects at the localities specified in Article 3 of this Decision.

Article 3. Foreign direct investment projects for which investment permits are issued by provincial people's committees must meet the following conditions:

1. In accordance with the planning for the development of economic and technical sectors, planning, and socio-economic development plans of the locality that have been approved.

2. With a capital investment up to five million US dollars, except for projects stipulated in Article 4 of this Decision.

3. Meet the export product ratio requirements established by the Ministry of Planning and Investment during each period.

4. Foreign-invested enterprises and foreign joint venture partners must ensure their own foreign currency needs.

5. Equipment, machinery, and technology must comply with current regulations; in cases where they do not meet these regulations, approval in writing from the competent state management agency of the economic and technical sector must be obtained before issuing the investment license.

6. Comply with environmental protection, labor safety, and fire prevention and explosion control requirements.

Article 4. Investment permits shall not be delegated to provincial people's committees for the following projects:

1. Projects belonging to Group A as defined in Article 93 of Decree No. 12/CP dated February 18, 1997 of the Government detailing the implementation of the Law on Foreign Investment in Vietnam.

2. Projects in the following fields: Exploration, exploitation, and oil service industries. Electricity production. Construction of seaports, airports, national highways, railways. Cement, metallurgy, sugar production, alcohol, beer, tobacco production.

3. Projects within industrial parks, export processing zones, high-tech parks.

Article 5

1. Project files for investment shall be prepared according to the guidelines of the Ministry of Planning and Investment.

2. Project examination shall be carried out in accordance with Articles 83, 92, 94, 96, and 100 of Decree No. 12/CP dated February 18, 1997 of the Government detailing the implementation of the Law on Foreign Investment in Vietnam.

The People's Committee shall seek opinions from Ministries and agencies regarding matters within their jurisdiction that have not been specifically provided for.

Ministries and agencies whose opinions are sought on projects, including supplementary and amended projects, shall be responsible for providing written responses within seven days of receipt of the provincial people's committee's document; if no written opinion is provided beyond this period, it shall be deemed as approval of the project.

3. Investment permits shall be drafted according to a unified template of the Ministry of Planning and Investment.

Within seven days of issuing the investment license, the People's Committee shall send the original investment license to the Ministry of Planning and Investment and copies of the investment license to the Office of the Government, the Ministry of Finance, the Ministry of Trade, and the competent state management agency of the economic and technical sector.

Article 6. The People's Committee shall implement the supplementation and amendment of investment licenses for projects that have been delegated the issuance of investment licenses.

If supplementation or amendment of the investment license exceeds the delegated authority, it must be approved in writing by the Ministry of Planning and Investment prior to supplementation or amendment.

Article 7. The Ministry of Trade delegates authority to the People's Committees of centrally governed cities to issue investment licenses for approving import and export plans for foreign-invested enterprises and joint ventures outside industrial parks.

Article 8. Quarterly, biannually, and annually, the People's Committee shall compile reports on the issuance of investment licenses, supplementation, and amendment of investment licenses and submit them to the Office of the Government and the Ministry of Planning and Investment.

Article 9. The Ministry of Planning and Investment shall consider continuing to delegate authority to issue investment licenses to the Management Boards of newly established industrial parks; promulgate specific regulations on export ratios to enable the People's Committees of centrally governed cities and provincial-level industrial park management boards to independently examine and issue investment licenses.

Article 10. THIS DECISION SHALL TAKE EFFECT 15 DAYS FROM THE DATE OF SIGNATURE.

Ministers, Heads of ministerial-level agencies, Heads of government agencies, and Chairmen of People's Committees of centrally governed cities are responsible for implementing this Decision./.