VN mulls amending Article 170 of Enterprise Law
18:40 | 25/05/2013
VGP – The Government has asked the National Assembly to amend Article 170 of the Enterprise Law which was approved by the Legislature in 2005.

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Under Clause 2 of the Article, foreign-invested enterprises established before this Law takes effect, shall have the following rights:

a/ To re-register and organize the management and activities according to the Enterprise Law and other relevant laws. The re-registration must be made within two years as from the effective date of this Law.

b/ Not to make re-registration; in this case the enterprises shall only be allowed to carry business activities within the business lines and the duration stipulated in the investment licenses.

Statistics show that as of July 1, 2011, or five years after the Enterprise Law became operational, around 3,000 out of the total 6,000 foreign-funded enterprises had made re-registration.

Enterprises, which did not carry out procedures for re-registration, have the total committed investment capital of US$18.5 billion, creating 446,000 jobs. By now, many of these enterprises’ business licenses are expired, however, they still want to expand business lines in Viet Nam.

The amendments to Article 170 of the Enterprise Law aim to create favorable conditions for foreign-funded enterprises to continue their operations in the country./.

By Hai Minh

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