SOLUTIONS FROM GOVERNMENT
ASSISTANCE FOR ENTERPRISES AMID COVID-19 PANDEMIC

Resolution No. 105/NQ-CP, September 09, 2021
Assistance for enterprises amid covid-19 pandemic

SOLUTIONS FROM GOVERNMENT
ASSISTANCE FOR ENTERPRISES AMID COVID-19 PANDEMIC

(Last Updated On: October 23, 2021)
Assistance for enterprises amid covid-19 pandemic

Assistance for enterprises amid covid-19 pandemic

Viet Nam government decided to issue the Resolution No. 105/NQ-CP for provision of assistance for enterprises amid Covid-19 pandemic. This Resolution comes into force from September 09, 2021. VIVA would like to update the primary objectives and solutions:

ASSURANCE OF CIRCULATION OF GOODS, SUPPLY CHAIN

Ministers, heads of ministerial agencies, heads of governmental agencies, Presidents of the People’s Committees of provinces are directly responsible to the Government and the Prime Minister for the implementation of this resolution:

  1. The Ministry of Transport shall: Instruct provincial governments to uniformly implement regulations on green lines of road and waterway transport on a nationwide, inter-provincial, inter-regional scale in order to ensure safe and uninterrupted transport of goods following simplified and convenient procedures; Take charge in providing guidelines for regulations on delivery and transport amid Covid-19.
  2. The Ministry of Industry and Trade shall: Take charge and cooperate with relevant Ministries, agencies and provincial governments and units in: Enhance market surveillance; ensure balance of important, essential supplies and goods; prevent acts of taking advantages of the pandemic to increase prices. Enhance provision of information about the market, demands of countries for export, import of goods; assist enterprises in participating in online trade promotion programs; connect supplies and demands, organize digital fairs; keep assisting provincial governments in boosting sale of agriculture products in the domestic market and expand export to markets with large fiscal space.
  3. The Ministry of Agriculture and Rural Development shall: Take charge in preparing statistics about production, consumption, operation of processing enterprises and cooperatives, and household businesses in the fields of agriculture, forestry, aquaculture; promptly implement measures for preventing disruption of production; maintain supply and consumption, especially food, essential consumer goods during social distancing. Take charge  in proposing measures for assisting enterprises in converting to manufacture and distribution of agriculture products in the form of future orders in order to supply for the domestic market and export through estimation of production, product quality and sale association.
  4. The Ministry of Finance shall request General Department of Customs to: Apply Article 50 of the Law on Customs 2014 on customs procedures for goods serving emergency needs in order to quickly grant customs clearance to goods that are aids, donations from foreign countries or goods imported by domestic organizations and individuals for donation to the Government, the Ministry of Health…for epidemic control, medical examination and treatment. Allow enterprises to submit scanned documents that are certified with digital signatures instead of physical documents that are original documents, notarized copies, certified true copies according to regulations of Ministries and agencies in order to eliminate bottlenecks in customs clearance. Instruct provincial departments and sub-departments of customs to provide adequate resources to grant customs clearance continuously and safely to meet the need of manufacturers and processors of components in the fields of electronics and high technology, enterprises importing essential goods serving disease control and treatment, healthcare food and children milk.
  5. State Bank of Vietnam shall: Instruct and supervise credit institutions implementing resolving difficulties of loans taken by traders, enterprises that purchase, store rice, especially those in the Mekong Delta.
  6. Provincial governments shall: Cooperate with enterprises in formulating uniform plans and conditions for organization of business operation, adaptation to local epidemic situation; make decisions and take responsibility for permitting enterprises  to resume business operation after they have satisfied conditions for epidemic prevention and control; avoid total shutdown of factories, cooperatives and household businesses but safety must be ensured; mobilize all available resources, especially public-private cooperation to support employees in enterprises , contribute to assurance of social security and safety for these employees.  

REDUCING OF COSTS, RESOLVING FINANCIAL DIFFICULTIES AND CASH FLOW FOR ENTERPRISES

  1. The Ministry of Labor, War Invalid and Social Affairs shall: Take charge in proposing promulgation of policies on reduction of social insurance premiums or assistance from short-term surplus of the social insurance fund in order to provide timely assistance for workers, enterprises and other employers in September 2021. Instruct Vietnam Social Security to, in September 2021; propose exemption of fines for late payment of social insurance premiums that are due in 2020 and 2021.
  2. The Ministry of Transport shall: Take charge in making decisions or requesting competent authorities to make decisions on prices for air transport services in order to assist airliners affected by negative impacts of Covid-19. Require sea transport enterprises to publish their prices; strengthen state management of sea transport enterprises to prevent them from taking advantage of Covid-19 situation to unreasonably their service prices and thus increase the burdens to enterprises; Take charge in improving the capacity of negotiation and transparency of sea transport charges and surcharges.
  3. The Ministry of Industry and Trade shall: Take charge and cooperate with the Ministry of Finance and relevant authorities in organizing implementation of the Government’s Resolution No. 97/NQ-CP dated August 28, 2021 on reduction of electricity prices (5th time) as per regulations; ensure conformity, eligibility and prevent abuse of policies for personal gain.
  4. The Ministry of Finance shall: Promptly implement policies on deferral, reduction of taxes, fees, charges and land rents after they are promulgated by competent authorities; implement policies on preferential taxes on imports serving Covid-19 prevention and control after they are ratified by the Government. Propose to the Government and the Prime Minister deferral of excise tax on motor vehicles that are domestically manufactured or assembled to the end of 2021; evaluate impacts to consider reduction of registration fees for motor vehicles that are domestically manufactured or assembled for a certain period of time according to Covid-19 situation.
  5. The Ministry of Culture, Sports and Tourism shall: Take charge and cooperate with the Ministry of Justice, relevant Ministries and authorities in reducing 80% of deposits payable by travel agencies until the end of 2023; shortening the time for refund of travel deposits from 60 days to 30 days.
  6. The Ministry of Natural Resources and Environment shall: Take charge in submitting a report to the Government in September 2021 on deferral of fees for grant of rights to mineral extraction payable by enterprises extracting minerals in accordance with tax administration laws. Application of post-inspection of environment-related procedures and licensing during the outbreak of Covid-19; permission of licensing on the basis of document inspection and consent of local specialized authorities without inspection visits at facilities, enterprises .
  7. The State Bank of Vietnam shall: Continue to introduce flexible monetary policies in association with fiscal policies and other macroeconomic policies in order to control inflation, achieve macroeconomic stability, contribute to growth, recovery and development of production and business; encourage credit institutions to cut costs in order to continue reducing interests on existing loans and new loans with an aim to support production and business. In September 2021, introduce policies on debt restructuring, exemption and reduction of interests and fees, debt category retention for borrowers affected by Covid-19 towards expansion of eligible beneficiaries, scope and duration according to the Covid-19 situation.
  8. Vietnam General Confederation of Labor shall: Consider exemption of trade unions fees for trade union members in enterprises and cooperatives affected by Covid-19 in 2021 and 2022 in order to help employees overcome difficulties. Propose to reduction of trade union contributions by enterprises and cooperatives affected by Covid-19 in 2021 and 2022 following simplified procedures. Consider reduction of trade union contributions.
  9. Provincial governments shall: Decide whether to cover all or part of the costs of testing employees of local enterprises for Covid-19 via testing laboratories. 19 situation; defer collection of fees at these border checkpoint areas and seaports where fees have not been collected in order to reduce the costs incurred by enterprises .

FACILITATION IN TERMS OF FOREIGN EMPLOYEES IN VIETNAM

Remove certain conditions for issuance, extension, certification of work permits for foreigners who work in Vietnam in the new situation, as long as safety and prevention against Covid-19 are ensured. To be specific:

  1. Conditions for foreign experts in Vietnam: The foreign worker shall have a bachelor’s degree or higher or an equivalent qualification and at least 3 years’ experience corresponding to the job position to be held by him/her in Vietnam.
  2. Conditions for foreign technical worker be implemented as follows: The foreign worker has been trained in technical field or another major for at least 01 year and have at least 03 years’ experience corresponding to the job position to be held by him/her in Vietnam.
  3. Proofs as a manager, executive, expert, technical and certain jobs including diplomas, certificates, certification issued by the foreign agency, organization, enterprise in respect of the number of years’ experience of the expert or technical worker, or the issued work permit as proof of experience.
  4. Required documents in an application for exemption from work permit, valid certified true copy of passport as per the law shall be implemented as follows: A valid copy of the passport as prescribed by law.
  5. Allow foreign workers who have unexpired work permits to be assigned, seconded to other provinces within a period of not exceeding 06 months; the employer of the foreign worker shall report to the labor authority of the area to which the foreign worker is assigned without having to apply for another work permit.

And other solutions in September 2021:

  1. Propose to permit to negotiate with their employers to increase monthly overtime hours according to adapt to Covid-19 situation, provided it does not exceed 300 hours/year.
  2. Provide instructions on safe quarantine for uniform implementation by provincial governments in order to facilitate receipt of workers from other provinces.
  3. Application for the special mechanism for epidemic control upon entry in some special cases while ensuring safety and prevention against Covid-19.
  4. Accelerate the process of negotiation and mutual recognition of “vaccine passports” with other countries, territories and partners in order to reopen the country when possible; submit a report to the Prime Minister in September 2021.
  5. Review procedures, facilitate entry of experts, foreign investors and their family into Vietnam; ensure safety and prevention against Covid-19.
  6. Uniformly implement regulations on centralized quarantine of inbound passengers as instructed by the Ministry of Health.

ABOUT VIVA BUSINESS CONSULTING

Who we are?

  • VIVA is a business consulting company, specializes in business compliance procedures according to local business laws and regulations since 2006. VIVA has been continuously trusted by thousands of well-known clients since 2006.
  • The insights and consistent background in Business Laws – Accounting and Corporate Finance – Tax Management – Labor Relations and Payroll – Secretarial services help us build trust and confidence in the entrepreneurs community.
  • We have been successfully providing service for thousands of leading companies from Hong Kong, Japan, US, EU, Singapore, India, China, Korea…. in forms of FDI companies, Foreign representative offices, Foreigner working in Vietnam, Vietnamese SMEs, Chief Operation Officers.

We are the partner who has comprehensive expertise and expience in local business laws and regulations can help the investors short cut entry procedures, avoid and prevent most of legal risks, creat business advantages and keep their good standing. Motivated by our core values of ceaseless improvement, our great insights in local business culture and regulations, as well as the exclusive services, promise to offer you one-stop and tailored-made solutions that optimize every of your business in Vietnam in the lawful manner.

Business Consulting Services

  • Services for Expats in Vietnam: Visa, Work Permit, Temporary residence card, Compulsory Insurances, Personal Income tax, Labor contracts, Employment Records and Relations, Other Secretarial Services.
  • Services for Representative in Vietnam: Establishment, extension of representative office licenses. Required compliance procedures during operation. Rights and obligations of the chief of representative office. Closure of representative office risks management.
  • Services for a company in Viet Nam: Setting up a new company and licensing service. Business records management. Daily business transactions management. Tax management. Accounting and financial statements. Employments, payroll and compulsory insurances. Representative on behalf at competent state agencies for any business administration procedures.

Any of the new regulations above will be advised by our experts without additional charges in purpose to inspire the entrepreneur, strengthen their businesses endurance, more power for recovery in Vietnam after the pandemic.

We are looking to be your valued business partner and resources in Vietnam as we have been choosing since 2006.

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