The Government's regular meeting - February 2017

RESOLUTION

THE GOVERNMENT’S REGULAR MEETING – FEBRUARY 2017

THE GOVERNMENT

Pursuant to the Law on Organization of the Government dated June 19, 2015;

Pursuant to the Government’s Decree No. 138/2016/ND-CP dated October 01, 2016 promulgating the working regulation of the Government;

Based on the discussion of the Cabinet members and the conclusion of the Prime Minister at the Government’s regular meeting in February 2017, held on March 1, 2017,

RESOLVES:

1. Regarding the draft Law on Public Debt Management (revised)

The Ministry of Finance shall lead and coordinate with the Ministry of Justice, the Ministry of Planning and Investment, the Government Office, the State Bank of Viet Nam and other relevant ministries and agencies in collecting comments from the Government, completing the draft Law, and reporting to the Prime Minister before submitting to the National Assembly.

2. Regarding the draft Law on Fisheries (revised)

The Ministry of Agriculture and Rural Development shall lead and coordinate with the Ministry of Justice, the Government Office and other relevant ministries and agencies in collecting comments from the Government and finalizing the draft Law. The Minister of Agriculture and Rural Development is authorized by the Prime Minister to submit the draft Law to the National Assembly on behalf of the Government.

3. Regarding the draft Law amending and supplementing a number of articles of the Law on Denunciations

The Government Inspectorate shall lead and coordinate with the Ministry of Justice, the Government Office and other relevant ministries and agencies in collecting comments from the Government and finalizing the draft Law. The Government Inspector General shall be authorized by the Prime Minister to submit the draft Law to the National Assembly on behalf of the Government.

4. Regarding the draft Decree detailing and guiding the implementation of a number of articles of the Law on Pharmacy

The Ministry of Health shall lead and coordinate with the Ministry of Justice, the Government Office and other relevant ministries and agencies in collecting comments from the Government, finalizing the draft Decree, and submitting it to the Prime Minister for signing before March 20, 2017, ensuring equal development of pharmaceutical enterprises, enhancing state management, combating against monopoly and drug market manipulation. The Ministry of Health shall be responsible for the state management of pharmaceutical products and pharmaceutical substances in the list banned from use in specific sectors and areas.

The Government unanimously agreed to continue enforcing the current regulations that are not inconsistent with the Law on Pharmacy in 2016 until the Decree detailing the Law on Pharmacy in 2016 takes effect.

5. Regarding the mechanism on concessional lending interest rate for the implementation of the credit policy under the Government's Decree No. 100/2015/ND-CP dated October 20, 2015 on the development and management of social housing

- The Ministry of Finance shall lead and coordinate with the Ministry of Construction, the Ministry of Justice, the State Bank of Viet Nam, the Social Policy Bank and other relevant ministries and agencies in elaborating the draft Decision of the Prime Minister on the mechanism on concessional lending interest rate of loans provided for purchasing social housing and submitting the document to the Prime Minister for consideration and promulgation.

- The Ministry of Planning and Investment shall lead and coordinate with the Ministry of Finance and the Ministry of Construction in determining the allocation quota of capital sources offsetting the differences and financing management fees to the Social Policy Bank and the premiums to credit institutions designated by the State in the medium-term public investment plan 2016-2020 for the implementation of the policy under Decree No. 100/2015 / ND-CP in 5 years, proposing the addition of relevant legal procedures, and reporting to the Prime Minister in March 2017.

- Based on the state budget capacity, the State Bank of Viet Nam and the Viet Nam Bank for Social Policies shall lead and coordinate with the Ministry of Construction, the Ministry of Finance and the Ministry of Planning and Investment in studying and proposing the structure of interest rates for social housing development in the medium term and reporting them to the Prime Minister for consideration and decision on the lending interest rates for social house development in 2018, 2019 and 2020.

- The Ministry of Construction shall lead and coordinate with the Ministry of Planning and Investment, the Ministry of Finance, the State Bank of Viet Nam, the Social Policy Bank and other relevant ministries and agencies in reviewing and evaluating the implementation progress of the Decree No. 100/2015/ND-CP, and proposing amendments and supplements to the Government for consideration and decision.

6. Regarding the draft Resolution promulgating the Government's Action Program to implement the Resolution No. 06-NQ/TW dated November 5, 2016 of the Party Central Committee on effective implementation of the international economic integration process and firm maintenance of socio-political stability as Viet Nam joins new-generation free trade agreements.

The Ministry of Foreign Affairs shall lead and coordinate with the Ministry of Industry and Trade, the Government Office and other relevant ministries and agencies in collecting comments from the Government and finalizing the draft Resolution and submitting them to the Prime Minister for signing in March 2017. The Ministry of Foreign Affairs shall be assigned to assist the Government in monitoring the implementation of the Resolution and annual review of the implementation progress and proposing measures for synchronous and effective deployment and coordination of the Action Program.

7. Regarding the deployment of Free Trade Agreements (FTAs) that have come into force, proposals to improve implementation effectiveness, assist enterprises to take advantage and make good use of new opportunities; Progress of the Trans-Pacific Partnership (TPP) and orientation for Viet Nam

The Ministry of Industry and Trade shall lead and coordinate with the Ministry of Foreign Affairs, the Government Office and other relevant agencies in receiving comments from the Government, finalizing the report on the implementation of Viet Nam's commitments in FTAs and the report on the status of the TPP in the new context, and proposing action plan for Viet Nam to report to the Political Bureau.

8. Regarding the socio-economic situation in February, the implementation progress of the Resolution No. 01/NQ-CP of the Government on the major tasks and solutions guiding the implementation of the socio-economic development plan and the state budget plan in 2017

The Government unanimously agreed that: The socio-economic situation in February and the first two months of 2017 achieved many positive results. Macroeconomy was rather stable. Inflation was kept under control. Stable exchange rate was maintained. The stock and bond markets observed positive developments. Exports increased sharply. Foreign direct investment (FDI) increased positively. Agricultural production was stable. Tourism continued to maintain growth momentum. The number of international visitors to Viet Nam increased over the same period last year. The country tended to experience positive business development. Social security and social welfare received full attention and were well implemented. The fields of culture, education and training, science and technology, labor and employment, health care for the people and other social sectors received close attention and achieved positive results. Political security and social order were relatively stable.

Nevertheless the country still faced many socio-economic difficulties and challenges. Competitiveness of the economy was improving slowly. Labor productivity remained low, especially in agriculture and rural areas. Industrial production and consumption demand increased slightly over the same period last year. The number of enterprises dissolving and stopping activities increased. Prices of some agricultural products were low. Traffic accidents, fire and explosion observed complicated developments. Meanwhile, regional and international situations remained complicated, creating intertwining multifaceted effects on the country’s economy.

The Government required ministries, agencies and localities to stay focus, strongly and creatively implement the tasks and solutions set out, striving to successfully achieve the targets and objectives of the development plan. Heads of state administrative agencies at all levels must disseminate the theme of action in 2017 "Strengthen disciplines, promote responsibility, creativity, fast and durable development”, take a firm stand, synchronously deploy the tasks and solutions set forth in Resolutions of the Party Central Committee, the National Assembly and the Government, especially the Resolution No. 01/NQ-CP, the Resolution No. 19-2017/NQ-CP and the Resolution No. 35/NQ-CP of the Government. Attention should be focused on the implementation of the following major solution tasks:

- Each member of the Government shall regularly review, propose to amend, supplement or abolish mechanisms, policies and regulations which are no longer appropriate and prevent institutions and policies from inhibiting business and production activities of enterprises as well as socio-economic development, quickly direct the collection of comments and finalize draft laws that have been submitted to the National Assemby Standing Committee to submit to the 3^rd session of the 14th National Assembly in due course and with high quality.

- Ministries, agencies, especially the State Bank of Viet Nam and the Ministries of Planning and Investment, Finance, Industry and Trade, Foreign Affairs, National Defence, Public Security shall regularly monitor, analyze and assess the global and domestic economy in fields and domains under their management so that initiative action could be taken in finding appropriate and timely solutions and measures. The Ministry of Planning and Investment, as head of the Macroeconomic Team, shall lead and coordinate with the Ministry of Industry and Trade, the Ministry of Finance, the State Bank of Viet Nam and other relevant ministries and agencies in developing growth scenarios for each sector, each field and the economy, update the situation and report to the Prime Minister in the last month of each quarter.

- The State Bank of Viet Nam shall closely monitor trends and developments of the global and domestic currency and actively and flexibly manage monetary policy in order to control inflation, thus contributing to reinforce macroeconomic stability and support economic growth, manage interest rates in line with macroeconomic developments, inflation and the monetary market in order to stabilize interest rates, control inflation, stabilize the foreign exchange market, strive to reduce lending rates, create favorable conditions for enterprises and the people to access credit capital for production and business development in association with ensuring credit quality, focusing on credit capital for priority areas, focus on bad debt settlement associated with restructuring weak commercial banks to ensure system safety.

- The Ministry of Finance shall lead and coordinate with the Ministry of Planning and Investment, the Ministry of Industry and Trade, the Ministry of Health, the Ministry of Education and Training and the State Bank of Viet Nam in formulating plans, scenarios, and roadmap for tight price adjustment under the market mechanism of some essential goods and services managed by the state while ensuring to control inflation below 4%.

- The Ministry of Planning and Investment shall urge ministries, agencies and localities to develop plans and organize the implementation of the Government's Resolution No. 27/NQ-CP dated February 21, 2017 to create drastic changes to the economic structure associated with rennovating growth model, coordinate with central and ministries and central agencies to expeditiously review allocation plans, synthesize and report to the Prime Minister to decide on the medium-term public investment plan for the 2016-2020 period, and at the same time, report to the Prime Minister a list of projects proposed by ministries, central agencies and localities to be rollovered from 2016 public investment plan to that of 2017, assign the remaining central budget plan before March 15, 2017, urgently coordinate with line Ministries to develop target programs for the 2016-2020 period and submit them to the Prime Minister for approval in March 2017.

Ministries, central agencies and localities shall organize the implementation of the 2017 public investment plan, closely monitor the disbursement progress and promptly detect and address difficulties and problems in each specific project, strictly review and clarify the responsibilities of organizations and individuals that cause delays in the implementation of public investment plans, thus causing losses and waste to the state resources, and at the same time, intensify the inspection and supervision of the efficiency of production and business activities of state groups and corporations. Ministries and ministerial-level agencies shall urgently complete the Decree promulgating the functions, tasks and organizational structure for submission to the Government for promulgation.

- The Ministry of Finance shall strengthen state financial-budgetary discipline, direct the management of state budget revenues and expenditures, combat price transfer and tax evasion, ensure public debt and financial safety, restructure the state budget in the spirit of the Political Bureau's Resolution No. 07-NQ/TW, report on disbursement progress and disbursement results of state budget plan including details of the disbursement results of each project using funding from the central budget and government bonds from 2016 until the end of January 31, 2017, report to the Prime Minister and share with the Ministry of Planning and Investment before March 15, 2017 a list of projects which need to be extended to 2017. The Ministry shall make monthly report to the Prime Minister and concurrently share the report with the Ministry of Planning and Investment on the disbursement results of investment capital financed by the state budget of Ministries, central agencies and localities, lead and coordinate with other relevant Ministries, agencies and localities in organizing the conferences on the prevention of smuggling and trade fraud.

- The Ministry of Industry and Trade shall review and develop key solutions to remove difficulties and promote the development of production and business in the industrial sector, especially the processing, manufacturing and mining sectors, direct the implementation of oil and gas exploitation plan in 2017 in accordance with market developments, urgently submit to the Prime Minister for approval (adjusted) mechanisms and policies on prices of solar and wind power, focus on supporting enterprises to expand export market, actively implement demand stimulating measures, develop the retail trade system, expand the domestic market, lead and coordinate with the Ministry of Finance, the Ministry of Defense, the State Bank of Viet Nam and relevant agencies and localities in reviewing and evaluating border trade policies and proposing solutions protect the domestic market, prevent smuggling and trade fraud, coordinate with the Steering Committee to focus on solving and basically eliminating ineffective projects causing losses, lead and coordinate with the Ministry of Foreign Affairs in continuing to vigorously integrate into the international economy, effectively implementing commitments in signed FTAs and promoting FTAs under negotiation or to be negotiated, including the Regional Comprehensive Economic Partnership (RCEP).

- The Ministries of Finance, Home Affairs, Education and Training, Health and the related ministries and agencies shall expeditiously complete the evaluation report and propose solutions to create a breakthroughs in socialization of public services, firmly implement the roadmap toward full autonomy for public service delivery units, linking financial independence with the adjustment of public service prices.

- The Ministry of Agriculture and Rural Development shall regularly monitor and update the weather and A/H7N9 avian influenza, provide timely information for the people to take active response and preventive measures, direct and coordinate with functional forces to closely monitor the transportation of cattle and poultry across borders, urgently implement the directions of the Prime Minister at the Conference on the development of Viet Nam's shrimp sector and guiding documents of the Government and the Prime Minister on the development of hi-tech agriculture, lead and coordinate with the related ministries, agencies and localities in organizing the rice conference in the Mekong River Delta, step up the implementation of the national target program on building new rural areas, striving for 30% of communes meeting the new-style rural standards in 2017.

- The Ministry of Transport and the Municipal People's Committee of Ho Chi Minh City shall expeditiously complete the Feasibility Study Reports on the North-South Expressway Construction Project and the Flood Prevention Project in Ho Chi Minh City City, submit them to the Prime Minister before March 15, 2017, continue to monitor and accelerate related units and localities in deploying synchronously and resolutely groups of solutions to ensure traffic order and safety in the 2017 Traffic Safety Action Plan.

- The Ministry of Public Security and the Ministry of Transport shall coordinate with the concerned localities and agencies in taking measures to ensure traffic order and safety and apply effective solutions to minimize traffic accidents, especially at intersections between roads and railways, intensify the inspection of transport business units, ensure technical safety of means of transportation and quality of services, especially the transportation of passengers.

- The Ministry of Science and Technology shall finalize the report on the 4th industrial revolution and submit it to the Government at the regular meeting in March 2017. The Ministry of Science and Technology, the Ministry of Planning and Investment, the Ministry of Finance, the concerned ministries and agencies, and the Municipal People's Committee of Ha Noi shall concentrate on performing tasks and solutions to accelerate ground clearance, attract investment, build and develop the Hoa Lac High-tech Park under the direction of the Prime Minister.

- The Ministry of Culture, Sports and Tourism shall formulate an action plan for the implementation of the Politburo's Resolution No. 08-NQ/TW to develop tourism into a spearhead economic industry, collaborate with the Council of Ho Chi Minh Awards and the Council of State Awards on Culture and Arts to review and assess achievements of authors on the basis of their contribution to the society and the history. In case of missing supporting documents due to objective factors, the Ministry shall report to the Prime Minister for consideration and submission to the President. At the same time, the Ministry shall lead and coordinate with the Ministry of Home Affairs, the Ministry of Justice as well as the concerned Ministries and agencies in expeditiously proposing and reporting to the Government amendments and supplements to the Decree No. 90/2014/ND-CP dated September 20 2014 of the Government to overcome problems during the review process.

- The Ministry of Labor, Invalids and Social Affairs shall coordinate with localities in continuing the implementation of policies for people with meritorious services, co-ordinate with central and local agencies and organizations to organize gratitude activities, commemorate the 70th anniversary of war martyrs and invalids, process dossiers certifying war martyrs and invalids and policy beneficiaries such as war invalids, which are still pending in localities according to their respective order and specific procedures and dossiers issued by the Minister of Labor, Invalids and Social Affairs to ensure publicity and transparency, and strictly handle actions taking advantage of policies to seek personal benefits.

- The Ministry of Construction shall lead and coordinate with the People's Committees of provinces and centrally-run cities in actively implementing the construction and repair of houses for people with meritorious services according to the Decision No. 22/2013/QD-TTg dated April 26, 2013 by the Prime Minister, lead and coordinate with the Ministry of Transport and the Ministry of Planning and Investment in expeditiously selecting a number of road projects, organizing the pilot construction of 01 km of roads as a basis for reviewing and adjusting cost norms, and the construction cost in the Plan to develop the system of economic and technical norms and construction prices.

- The Ministry of Health shall take the initiative in preventing and fighting epidemics, especially H7N9, expeditiously research and elaborate a scheme to submit to the 6th Plenum of the Party Central Committee on people health care and protection and the improvement of the population quality, implement measures to ensure food hygiene and safety, especially in food production and processing establishments and tourist establishments. The Ministry of Health and Social Insurance of Viet Nam shall strictly implement the guidelines of the Government and the Prime Minister on drug management and bidding, and continue to reduce prices of medicines (including brand-name drugs).

- The Ministry of Natural Resources and Environment shall lead and coordinate with Ministries, agencies and localities in quickly finalizing the land use plannings and plans till 2020 and submit them to competent authorities for approval, urgently develop national water resources planning and water resources planning for a number of large river basins throughout the country, coordinate with the Ministry of Planning and Investment and relevant agencies to expeditiously review the list of projects prioritized for investment, complete the procedures for appraisal of a Feasibility Study Report of the Target Program to Respond to Climate Change and Green Growth in the 2016-2020 period to submit to competent authorities for approval in March 2017, actively implement the Prime Minister's Directive No. 25/CT-TTg on urgent tasks and solutions on environmental protection, propose mechanisms, policies, models and technological solutions, especially to step up socialization in order to achieve the environmental protection objectives according to the resolutions of the National Assembly and the Government, propose and report to the Prime Minister to set up a Steering Committee to review and implement the Resolution of the 4th Plenum (term Xth) on the Viet Nam Sea Strategy, finalize marine use planning for submission to the National Assembly, intensify the coordination in inspecting the observance of the legislation on mineral exploitation and strictly handling cases of illegal exploitation of sand and gravel in rivers, riverbuses and coastal areas.

- The Ministry of Foreign Affairs shall lead and coordinate with relevant ministries, agencies and localities in further expanding and deepening relations with partners, accelerate the effective implementation of cooperation agreements, and prepare well conditions for successful organization of events of the APEC 2017.

- The Ministry of Defense shall closely monitor the situation and coordinate with the Ministry of Foreign Affairs in taking measures to promptly address unfavorable situations and developments related to national sovereignty and national security.

- The Ministry of Public Security shall direct the monitoring of the situation, prevent and put-off in time all rebellious activities, ensuring political security and social order and safety, continue to implement plans to attack and suppress different types of crimes and apply fire prevention measures.

- The Ministry of Information and Communications and other ministries, agencies and localities shall intensify the information and communication of guidelines and solutions for directing and administering the commemoration of big holidays and important events, promote the spirit of competition, development of production, business, example of good people and good actions, education of patriotism, and the culture that promotes the philosophy when drinking water remember the source of the nation.

9. Regarding key measures to promote the development of high-tech agriculture

To encourage the development of high-tech agriculture, to create an attractive mechanism and policies to attract social resources to invest in hi-tech agriculture, contributing to the improvement of productivity, quality and efficiency of production, and to accelerate the restructuring of the agricultural sector, the Government requested:

- The Ministry of Agriculture and Rural Development to urgently set up criteria to identify hi-tech agricultural programs and projects, a list of high technologies in agriculture and criteria on clean agriculture before March 15, 2017.

- The Ministry of Planning and Investment to urgently submit to the Government for consideration and amendment of the Decree No. 210/2013/ND-CP dated December 19, 2013 on policies to encourage enterprises to invest in agriculture and rural areas to attract investment in hi-tech agriculture in March 2017.

- The Ministry of Natural Resources and Environment to coordinate with the Ministry of Agriculture and Rural Development and the Ministry of Justice to review and propose amendments to land policies, create favorable conditions for land consolidation and accumulation for large-scale agricultural production in the third quarter of 2017, study to amend regulations on the grant of land use right certificates, ownership of houses and assets attached to land, guidance on certification of property ownership rights over agricultural land, including assets formed on the land of high-tech agricultural projects to create the most favorable conditions for enterprises to carry out registration procedures for secured lending transactions by banks in March 2017.

- The Ministry of Science and Technology to lead and coordinate with the Ministry of Agriculture and Rural Development in studying and proposing amendments and supplements to regulations on hi-technologies in alignment with practicality and counting for peculiar characteristics of the agriculture sector.

- The Ministry of Industry and Trade to lead and coordinate with the Ministry of Agriculture and Rural Development in promoting market expansion, actively negotiating the removal of trade barriers to promote the consumption of agricultural products, and assisting the development Viet Nam's agricultural product brand.

- The State Bank of Viet Nam to direct key state owned commercial banks to spend at least VND100,000 billion from banks' mobilized capital to implement the lending program for high-tech agriculture, clean agriculture with reasonable interest rates (lower than market interest rates), lead and coordinate with the Ministry of Agriculture and Rural Development in implementing this credit program.

In the course of implementation, Ministries, agencies and localities should promptly report to the competent authorities of problems and propose solutions to these issues. The Ministry of Agriculture and Rural Development shall be assigned to lead and propose synchronous policies to promote the development of hi-tech agriculture, regularly monitor and sum up the situation and make quarterly reports to the Prime Minister.

10. Regarding the project on civil service culture

The Ministry of Home Affairs shall lead and coordinate with the Government Office and relevant Ministries and agencies in collecting comments of the Cabinet’s members of the Government, improving the project on civil service culture and report it to the Prime Minister.

11. Regarding the report of Working Group

The Government recognized the implementation results of the tasks assigned by the Government and the Prime Minister to Ministries, agencies and localities and inspection results of the Working Group in Ministries and agencies in the first two months of the year. Through the inspection and acceleration activities, many outstanding tasks and issues related to state management received timely attention.

It is requested that the Ministries and agencies that have been inspected promptly adjust, draw experience and overcome the indicated weaknesses, concentrate on completing the tasks and work which are still pending.completely address shortcomings in State management and apply recommendations of the Working Group.

Ministries, agencies and localities shall regularly review and organize the implementation of tasks assigned by the Government and the Prime Minister, ensuring quality and timeliness, avoid backlogs of documents detailing the implementation of laws which have taken effect, strictly abide by the Government's regulations in coordinating and implementing interdisciplinary tasks, not to affect the progress of common tasks and work, and provide timely input, in a correct and clear manner when being asked for opinions.

The Working Group of the Prime Minister shall continue to inspect a number of Ministries, agencies and localities to accelerate the implementation of policies and laws and the direction and administration of responsibilities of ministries, agencies and localities.

12. On strengthening the management of drug users, drug addicts and drug detoxication

- The Ministry of Labor, Invalids and Social Affairs shall lead and coordinate with the Ministry of Justice, the Ministry of Public Security, Ministry of Health and other relevant ministries and agencies in studying and submitting to the Government for promulgation a Decree amending, supplementing and replacing current Decrees and regulations on the management of drug addicts and drug detoxication, lead and coordinate with the Ministry of Justice, the Ministry of Public Security, the Ministry of Health and other relevant Ministries and agencies in drafting a Resolution on the management of drug addicts and drug detoxication and report to the Government for consideration before submitting to the National Assembly, lead and coordinate with local agencies and localities in formulating programs to enhance the management of drug addicts and drug detoxication and submit them to the Prime Minister in the second quarter of 2017.

- The Ministry of Public Security and the Ministry of Labor, Invalids and Social Affairs shall direct the functional forces to closely coordinate to ensure security and order both inside and outside detoxication facilities.

- The People's Committees of provinces and centrally-run cities shall issue resolutions, programs, plans and schemes in the second quarter of 2017, in which the local budgets shall be arranged and balanced to ensure the effective management of drug users, drug addicts and drug detoxification activities in their localities, strictly abide by legal regulations to enlist drug addicts into compulsory drug detoxication facilities, review and classify subjects after their reception for better management and organization of drug detoxication in drug detoxication facilities. Presidents of provincial-level People's Committees shall take responsibility before the Prime Minister for the management of drug users, drug addicts and drug detoxication activities in their localities so as not to affect local social safety and order.

13. Regarding the Government's proposal on the Law and Ordinance Development Program in 2018 and the revised Law and Ordinance Development Program in 2017.

The Government agreed with the draft proposal of the Government on the Law and Ordinance Development Program in 2018 and the revised Law and Ordinance Program in 2017. Minister of Justice shall be authorized by the Prime Minister to act on behalf of the Government to report to the Standing Committee of the National Assembly.

ON BEHALF OF THE GOVERNMENT

PRIME MINISTER

(Signed)

Nguyen Xuan Phuc