CONDITION AND PROCEDURE FOR INVESTING TO INCORPORATE ECONOMIC ORGANIZATION IN VIET NAM

1.Legal ground

1.1.Law on Investment 2014;

1.2.Decree No. 118/2015/ND-CP.

2.Condition for investing to incorporate economic organization in Viet Nam

-The capital  ownership ratio is unlimited except the following cases:

(i)The ownership ratio of foreign investor in listed company, public company, securities business organization and securities investment fund pursuant to regulation of law on securities investment;

(ii)The ownership ratio of foreign investor in equitizied SOEs or ownership conversion under other form pursuant to regulation of law on equitization and conversion SOEs;

(iii)The ownership ratio of foreign investor except the above cases shall comply with regulation of relevant laws and International Treaties which Viet Nam is party.

-Form of investment, scope of activities, Vietnamese partners participating in performing investment activities and other condition pursuant to regulation of International Treaties which Viet Nam is party.

3.Procedure for investing to incorporate economic organization

Pursuant to Article 44, Decree No. 118/2015/ND-CP, Căn cứ Điều 44, Nghị định 118/2015/NĐ-CP, steps for investing to incorporate economic organization as follows:

Step 1: Implementing procedure for the application of Certificate of Investment Registration pursuant to Article 29, 30 and 31 of Decree No. 118/2015/ND-CP;

Step 2: Implementing procedure for incorporating economic organization pursuant to Law on Enterprise and relevant law.

Note: The charter capital of economic organization which is incorporated by foreign investor is necessarily equal to investment capital of investment project.