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Vietnam likely to cut 15% of conditional business lines

The Vietnamese cabinet agreed Tuesday to the Ministry of Planning and Investment’s proposal to remove 56 from the current 386 conditional business lines, and reduce the number of banned business activities from 51 to eight.

The Vietnamese cabinet agreed Tuesday to the Ministry of Planning and Investment’s proposal to remove 56 from the current 386 conditional business lines, and reduce the number of banned business activities from 51 to eight.
The Vietnamese cabinet agreed Tuesday to the Ministry of Planning and Investment’s proposal to remove 56 from the current 386 conditional business lines, and reduce the number of banned business activities from 51 to eight.

Prime Minister Nguyen Tan Dung yesterday chaired a meeting with officials from many ministries to review and give comments to amendments to the lists of prohibited and conditional business lines, and the list of business activities entitled to investment preferential treatment.

Conditional businesses are those that are only licensed to operate when business owners meet specific conditions set out by competent State agencies.

The amendments to these lists were developed by the Ministry of Planning and Investment in preparation for the draft revised laws on Investment and Enterprise, which will be discussed by the National Assembly in its upcoming session.

The ministry proposed only eight types of business banned from investment and operation, instead of the current number of 51. It also suggested taking off 56 of the current 386 conditional business lines, or a reduction of nearly 15 percent.

After discussion, the cabinet leaders and ministry officials agreed with the above proposals.

They, however, asked the ministry to continue screening the lists to ensure they are feasible in practice while safeguarding people’s right to do business and invest as well as improving the efficiency and effectiveness of State management.

Prime Minister Dung directed the ministry to take all opinions raised at the meeting into account when perfecting its proposed lists and related regulations to ensure the people’s right to do business, contributing to developing the market economy, stepping up international integration, improving the investment environment, and enhancing national competitiveness.

Such renovations in these lists will also help enhance management efficiency, boost administrative reforms, and combat corruption, he said.

“State management must be aimed at providing maximum favorable conditions for people and enterprises to carry out investment and business activities,” Dung said.