Vietnam's 3 commitments to foreign investors

The Prime Minister asked all parties to promote the spirit of "if you promise, you must do it; if you commit, you must do it; if you do it, you must have measurable results"... - *Photo: VGP/Nhat Bac*

This is a follow-up activity to the " Prime Minister Meets Foreign Investors" Conference held in April 2023, affirming the consistent policies and guidelines of the Party and State of Vietnam towards the foreign investment sector; demonstrating the Government's interest and support for the business community and foreign investors.

Also attending were Minister of Labor, War Invalids and Social Affairs Dao Ngoc Dung; Minister of Industry and Trade Nguyen Hong Dien; leaders of central ministries and branches; representatives of 15 associations and 180 foreign-invested enterprises in Vietnam.

In a heated discussion at the Conference, 19 delegates, representatives of associations and foreign-invested enterprises in Vietnam, said that in recent times, in the face of difficulties and challenges, promoting the spirit of accompanying enterprises, the Government and ministries, branches and localities of Vietnam have created legal conditions, proactively removed bottlenecks and barriers to help enterprises invest and do business smoothly; supported enterprises to access new markets, boost exports and promote domestic consumption; promoted administrative procedure reform, improved the investment environment, shortened the time for enterprises to complete procedures; prepared necessary conditions to attract investment such as clean land, infrastructure, energy, labor, etc.

Associations and foreign-invested enterprises in Vietnam pledged to work with Vietnam to promote investment and business according to Vietnam's priorities such as development based on science and technology, innovation, digital economy, circular economy, sharing economy, green and sustainable development, and climate change response. Delegates offered advice on adaptation, rapid recovery and sustainable development; proposed solutions to seize opportunities, overcome challenges, cooperate in development and share investment plans, and expand investment in a number of fields in Vietnam.

The Prime Minister's conference with the foreign-invested business community in Vietnam was held under the chairmanship of Prime Minister Pham Minh Chinh - *Photo: VGP/Nhat Bac*

Thanks from the leaders of the Vietnamese Party and State to investors

In his concluding remarks, Prime Minister Pham Minh Chinh highly appreciated the enthusiastic, profound and responsible opinions of representatives of foreign enterprises and investors; representatives of leaders of ministries, branches and localities also discussed and clarified issues of mutual concern.

The Prime Minister requested relevant ministries and branches to seriously absorb the opinions of businesses and investors, proactively handle them immediately, and have clear and specific written responses to proposals and recommendations within their authority or promptly synthesize and report to competent authorities according to regulations; assign the Government Office and relevant agencies to complete and submit the Prime Minister's conclusions after the Conference for effective implementation.

On behalf of the leaders of the Party and State of Vietnam, the Prime Minister expressed his gratitude to investors on three issues:

First, it has overcome the geographical distance to come to Vietnam.

Second, overcome difficulties and challenges, take advantage of opportunities and chances to always accompany, share, and join Vietnam in building an independent and self-reliant economy associated with proactive and active international integration, deeply, substantially, and effectively.

Third, in difficult conditions, the world and regional situation has many rapid, complex and unpredictable changes, but we are still committed to Vietnam and expanding investment in the coming time.

Attending the Conference were representatives of 15 associations and 180 foreign invested enterprises in Vietnam.

The Prime Minister also emphasized that Vietnam has three commitments to investors:

First, always protect the legitimate rights and interests of investors in any case.

Second, always accompany businesses to overcome difficulties and challenges, take advantage of opportunities and advantages so that foreign investors can ensure benefits and operate stably and long-term in Vietnam on the principle of harmonious benefits and shared risks.

Third, do not criminalize economic and civil relations, but handle those who do wrong and violate the law to protect those who do right, creating an environment and ecosystem for production and business that is open, transparent, equal, healthy and sustainable.

Building a healthy, stable and sustainable business investment ecosystem

Regarding investors' questions about what Vietnam will continue to do to fulfill its commitments and accompany foreign investors, leaders of ministries and branches answered. The Prime Minister summarized and emphasized, adding some content about the fundamental factors for Vietnam's development.

Firstly, Vietnam implements three pillars: Building socialist democracy, building a socialist rule-of-law state, building a socialist-oriented market economy. Consistent viewpoint: Taking people as the center, the subject, the goal, the driving force and the resource for development; not sacrificing progress, social justice, social security, and the environment to pursue mere economic growth.

Second, consistently implement a foreign policy of independence, self-reliance, peace, friendship, cooperation and development, diversification, multilateralization, proactively and actively integrate comprehensively, deeply and effectively into the international community, be a friend and reliable partner, and be an active and responsible member of the international community.

Third, persevere in the "four no's" defense policy: (1) Do not join military alliances; (2) Do not ally with one country to fight another; (3) Do not allow foreign countries to set up military bases or use territory to fight against other countries; (4) Do not use force or threaten to use force in international relations.

Associations and foreign-invested enterprises in Vietnam pledge to work with Vietnam to promote business investment according to Vietnam's priorities.

Fourth, building an independent and self-reliant economy associated with active and proactive international economic integration, deeply, substantially and effectively; taking internal resources (including people, nature and cultural-historical traditions) as fundamental, strategic, long-term and decisive; external resources as important, breakthrough and regular. To date, Vietnam has signed 16 FTAs, including many new-generation FTAs (CPTPP, EVFTA, RCEP).

Fifth, promote the implementation of three strategic breakthroughs in institutional improvement, human resource development and construction of a synchronous and modern infrastructure system, thereby reducing input costs, compliance costs, and enhancing the competitiveness of products, goods and services for businesses and investors.

Sixth, closely follow and grasp the world and regional situation to respond promptly, proactively and effectively with policies to investors.

Seventh, maintain national defense and security, ensure political stability and social order and safety so that investors can feel secure in their operations, production and business.

Eighth, Vietnam will continue to be a model of restoration and healing of war wounds, promoting the spirit of self-reliance and self-reliance for post-war development, putting the past behind and looking to the future for peace, cooperation and development. To date, Vietnam has established diplomatic relations with 192 countries, more than 30 partners with comprehensive partnerships or higher, and strategic and comprehensive strategic partnerships with all countries that are permanent members of the United Nations Security Council.

Ninth, deploy key and focused tasks such as focusing on infrastructure construction and human resource development.

The Prime Minister said that recently, in the context of difficulties and challenges, Vietnam has continued to maintain a stable macroeconomic foundation; growth has been promoted; inflation has been controlled; major balances of the economy have been ensured; budget deficits and public debt, government debt, and national foreign debt have been well controlled. These are also important fundamental factors for investors and enterprises to operate, produce, and trade.

Representatives of ministries and branches spoke at the Conference.

In addition, the Prime Minister expressed his sympathy and understanding with investors about the difficulties and challenges in the context of Vietnam being a developing country, with a transitioning economy, modest economic scale but large openness, limited resilience to external shocks, and a small external fluctuation can also have a large impact on the internal.

The Prime Minister emphasized: The important results that Vietnam has achieved are thanks to the efforts of the entire political system, the support of the people and businesses, especially the effective support and assistance of the international community, including foreign-invested enterprises.

By the end of September 2023, 144 countries and territories had invested in Vietnam with more than 38,300 valid FDI projects, with a total investment capital of more than 455 billion USD, creating jobs and income for millions of workers.

"Hope investors always love Vietnam as their homeland"

The Prime Minister requested ministries, branches and localities to focus on implementing a number of key tasks and solutions in the coming time to continue creating favorable conditions and building a safe, transparent and highly competitive investment and business environment so that the business community and investors, including foreign investors, can feel secure in investing effectively, long-term and sustainably in Vietnam.

Firstly, continue to seriously and effectively implement the Party's guidelines and policies, the State's policies and laws, especially Resolution No. 41 of the Politburo on building and promoting the role of Vietnamese entrepreneurs in the new period, creating a favorable investment and business environment with the motto "Taking people and enterprises as the center, the subject, the goal, the driving force and the resource for development".

Second, continue to review, revise, supplement, and perfect foreign investment cooperation policies in accordance with practical situations, with high competitiveness, international integration, and in line with the country's development orientation, planning, and requirements.

Third, continue to focus on improving the business investment environment and creating favorable conditions and reducing costs for businesses; effectively implementing solutions to restructure debt, extend debt payment, reduce interest rates; extend, postpone, exempt, and reduce taxes, fees, charges, land rents, etc.

Fourth, seriously listen to the recommendations and proposals of businesses and investors, including foreign investors, with a spirit of openness, sharing, understanding and companionship; on that basis, promptly take effective measures to handle them, especially practical difficulties and problems. Solve the problems where they arise, do not say no, do not say it is difficult, do not say yes but do not do it.

Fifth, promote public-private partnership, unleash and effectively use all resources for development, take public investment as the lead and activate non-state investment, including foreign investment. Develop strategic infrastructure systems associated with institutional improvement and training of high-quality human resources.

Sixth, strengthen the work of grasping the situation, especially regarding fiscal and monetary policies, and forecasting closely to reality to have appropriate, flexible and timely policy responses.

For the business community and investors, the Prime Minister suggested researching and developing a long-term, sustainable, environmentally friendly development strategy that is consistent with Vietnam's national, sectoral, and regional planning. Proactively innovating production and business models, restructuring enterprises in association with development according to green economy, digital economy, circular economy, knowledge economy, and climate change response.

The Prime Minister said that these plans were developed and issued with strategic thinking, long-term vision, promoting different potentials, outstanding opportunities, and competitive advantages. These plans create the premise and development space for investors, and appropriate strategies of investors will contribute to promoting the implementation of these plans.

Along with that, well implement business culture, regimes and policies for workers and accompany authorities at all levels, for the benefit of enterprises, investors and contribute to the State and people of Vietnam. Increase the localization rate, develop supply chains with the participation of Vietnamese enterprises, participate in human resource training, invest in infrastructure, contribute to building and perfecting institutions, innovate national governance, and modernize corporate governance.

The Prime Minister hopes that associations need to perform their functions and tasks well; promptly inform and report on problems and difficulties of members, businesses and investors in the process of investment and business activities in Vietnam; promptly recommend and propose appropriate policies and laws.

The Prime Minister once again affirmed his hope and belief that foreign businesses and investors will continue to show affection, trust, cooperate closely, and "always love Vietnam as their homeland".

The Prime Minister suggested that all parties promote the spirit of "if you promise, you must do it; if you commit, you must do it; if you do it, you must do it with measurable results", harmonizing the interests of the State, businesses and people, all winning together, no one left behind.

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