Vietnam scraps significant number of business conditions

15:43 | 26/09/2017 Economy- Society

The Ministry of Industry and Trade (MOIT) has discarded more than half out of a total of 1216 business conditions across 27 sectors, in a move considered by many as historic in order to stimulate economic growth.

The decision was made by Minister Tran Tuan Anh, on September 20, with 752 rules to be abolished, higher than the initial target of 612.

Previously in October 2016, the MOIT also conducted a round of streamlining business requirements by slashing 15 administrative procedures and simplifying another 108, amongst a total of 443 procedures on review.

In early September, the ministry also decided to remove 420 types of goods from a list of 720 that were required to be checked before receiving clearance by customs, as well as introducing new initiatives in inspecting goods and assessing enterprises’ compliance with the law.

Minister Anh said that removing obstacles to businesses will be the MOIT’s major task as part of a wider administrative reform that seeks to re-organise the ministry and improve the business climate in Vietnam.

The MOIT’s latest effort has been praised by Prime Minister Nguyen Xuan Phuc who stated, via Chairman of the Government Office Mai Tien Dung, that this is the first and boldest move in reforming the business conditions.

Dung said on September 22 that besides this positive move, the MOIT should continue to deal with struggling projects under its management and focus on divesting capital from State-own enterprises (SOE).

He emphasised that if there are any difficulties encountered during the SOE equitisation process, the MOIT should work directly with other ministries and the final decision belongs to its minister, without having to report to the Prime Minister.

Theo NDO