Vietnam National Assembly has adopted the Law on Supporting Small and Medium-sized Enterprises (SMEs) and Law on Foreign Trade Management on June 12.
The newly-passed law comprises four chapters and 35 articles. The Law takes effect from January 1, 2018. Law on supporting SMEs stipulates principles, contents, and resources of supporting SMEs; responsibilities of Government, central and local agencies, social organizations, and individuals relating to supporting SMEs and the implementation of policies for SMEs.
Main categories to define SMEs are as follows: (1) The small and medium-sized enterprises are micro enterprises and enterprises with under 200 social insurance payers, and the enterprises are able to meet one of two conditions as follows: (i) the total capital resource of the enterprise is not higher than VND 100 billion, (ii) total income of preceding year is under VND 300 billion; (2) micro businesses and SMEs classified in such specific sectors as agro-forest-fishery, industry and construction, trade and service.
According to the Law, the support for SMEs shall be conducted in compliance with market rules and international treaties that include Vietnam as a member. The Law also requires its implementation in a highest transparent manner. The state supports SMEs with specific focus and duration in line with a set target and the state resource balance.
For supporting SMEs by international organizations and private donors, it is conducted in line with the charter of those organizations and individual commitment in compliance with legal regulations.
On the same day (June 12) NA deputies ratified the Law on Foreign Trade Management. The law consists of eight chapters with 113 articles, stipulating measures on foreign trade management, the development of foreign trade activities and measures applied in foreign trade management.
It defines that the State monitors foreign trade performance in line with Viet Nam’s laws and international conventions by which Vietnam are abide.
It is necessary to ensure transparency, publicity, equality and simplification of administrative procedures, to guarantee the legal rights and benefits of the State and businessmen at all economic sectors in order to promote domestic production and exports in accordance with the targets of controlling imports.
The Law stipulates issues related to the State management on foreign trade; the regulation on prohibition of foreign trade activities; the authority to grant export and import quotas and conditions; safeguard measures; good in transit...
The Law on Foreign Trade Management will take effect since January 1, 2018.
VMH