HANOI TACKLES DIFFICULTIES FACED BY FOREIGN INVESTORS

The People’s Committee of the capital city held a dialogue with foreign-invested enterprises in the city on October 19 to seek measures to tackle difficulties faced by foreign firms amid the COVID-19 pandemic.

Speaking at the event, Secretary of the municipal Party Committee Dinh Tien Dung said Hanoi has so far basically controlled the pandemic and gradually returned to new normal. He appreciated the support and contribution of the foreign business community in the city to the pandemic fight.

The official reiterated the city's policy that considers the foreign-invested economic sector an important driving force for the city's development, and stressed that the municipal authorities always respect and protect legitimate rights and interests of investors, and ensure harmony in interests among the State, investors and workers.

Participants at the event discussed issues regarding taxation, social insurance, licensing and extension of work permits for foreign experts and workers, regulations on entry-exit and pandemic prevention and control.

The city's officials affirmed they will focus on helping foreign investors overcome the difficulties to maintain and restore production and business activities. The city's administration has instructed the Taxation Department to extend the deadline for payment of added value, corporate and individual income taxes for over 31,000 taxpayers this year, with a value of nearly 22 trillion VND (956 million USD), reduce land lease by 30 percent for 650 taxpayers at a cost of nearly 250 billion VND.

In the time ahead, the city will strongly renew its growth model, restructure its economy based on science-technology and innovation, develop digital infrastructure, intensify administrative reforms and improve planning quality to best serve businesses and people.

The city is home to 6,625 valid foreign projects worth nearly 48.7 billion USD. In 2018 and 2019 alone, it led the country in FDI attraction with 7.5 billion USD and 8.67 billion USD, respectively. Last year, it ranked third nationwide with 3.83 billion USD.

In the first nine months of this year, foreign investors poured 1.28 billion USD in the city. The FDI sector contributed about 10 percent of the city's budget, 12.6 percent of development capital, 30 percent of jobs and 45 percent of foreign trade revenue.

Source: VIR