Laws of Vietnam

THE PRIME MINISTER

Pursuant to the December 25, 2001 Law on Organization of the Government;

Pursuant to the Resolution of the 9th plenum of the Party Central Committee, the XIth Congress, on a number of major undertakings, policies and solutions to successfully implement the Resolution of the IXth National Party Congress;

At the proposal of the Minister of Planning and Investment,

DECIDES:

Article 1.- To promulgate together with this Decision the Government's Action Program for implementation of the Resolution of the 9th plenum of the Party Central Committee, the XIth Congress, on a number of major undertakings, policies and solutions to successfully implement the Resolution of the IXth National Party Congress.

Article 2.- This Decision takes implementation effect 15 days after its publication in the Official Gazette.

Article 3.- The ministers, the heads of the ministerial-level agencies, the heads of the Government-attached agencies, and the presidents of the People's Committees of the provinces and centrally-run cities shall have to implement this Decision.

Prime Minister
PHAN VAN KHAI

The 9th Plenum of the Party Central Committee (the IXth Congress) promulgated Resolution No. 34/NQ/TW of February 3, 2004 on a number of major undertakings, policies and solutions to successfully implement the Resolution of the IXth National Party Congress. The Government drew up the 2004-2005 two-year action program for implementation of the Resolution of the 9th plenum of the Party Central Committee (the IXth Congress), with the following specific contents:

I. STEPPING UP EQUITIZATION OF BIG CORPORATIONS, ENTERPRISES

1. In the second quarter of 2004, the Ministry of Finance and other concerned ministries and branches shall expeditiously study, amend and supplement regulatory documents to ensure legal bases for equitizing big State enterprises, including a number of big corporations and enterprises in the electricity, metallurgy, mechanics, chemical, fertilizer, cement, construction, land transport, river transport, air transport, maritime transport, telecommunications, banking and insurance industries.

2. The Steering Committee for Enterprise Renewal and Development shall coordinate with the Ministry of Planning and Investment and the concerned agencies in submitting to the Prime Minister a list of big State enterprises to be equitized (in the 2nd quarter of 2004).

3. The Ministry of Planning and Investment shall submit to the Prime Minister amendments and supplements to Decision No. 58/2002/QD-TTg, which promulgates classification criteria and list of classified State enterprises and corporations, along the direction of expanding the categories and numbers of State enterprises to be equitized (in the 2nd quarter of 2004).

4. The Ministry of Finance shall submit to the Government:

a/ Amendments to Decree No. 64/2002/ND-CP on transformation of State enterprises into joint-stock companies along the direction that enterprise stocks must be publicly traded on the market, putting an end to the situation of closed equitization within enterprises and restrictions on the quantity of purchased shares, even those purchased by foreign investors (in the 2nd quarter of 2004).

b/ A scheme on valuation of assets of equitized State enterprises (including the value of land use rights) according to the market prices (in the 3rd quarter of 2004).

c/ Mechanisms and policies for big corporations and enterprises (electricity corporation, cement corporation, post and telecommunications corporation...) to sell shares on the market (in the 2nd quarter of 2004).

d/ A scheme on the shift of enterprises where the State holds 100% of capital to operate as one-member limited liability companies; concurrently, immediately in the 3rd quarter of 2004, one or two big corporations shall be experimentally sold or leased.

5. In the 2nd quarter of 2004, the Ministry of Finance shall coordinate with the concerned ministries and branches in selecting one or two big corporations and directing them to issue enterprise bonds.

6. Ministries, branches and localities shall, according to their respective functions and jurisdictions, have to intensify their direction, examination and evaluation of the work of equitization to promptly detect problems and obstacles so as to come up with appropriate solutions thereto. To determinedly change key personnel of those State enterprises which refuse to be equitized and companized or which operate at a loss for more than 2 years.

II. VIGOROUS SHIFT TO THE MARKET MECHANISM, ACCELERATING SYNCHRONOUS DEVELOPMENT OF MARKETS OF ALL TYPES

A. Improvement and expansion of the operation of the securities market

1. The Ministry of Finance shall assume the prime responsibility for:

a/ Formulating a scheme on accelerating the improvement and expansion of the operation of the securities market, then submitting it to the Government in April 2004.

b/ Coordinating with the Ministry of Planning and Investment in guiding the equitization of foreign-invested enterprises for listing on the securities market (in the 2nd quarter of 2004).

c/ Coordinating with Vietnam State Bank in guiding joint-stock commercial banks to list their shares on the securities market (in the 3rd quarter of 2004).

d/ Coordinating with the concerned branches in establishing and developing a market for trading in bonds, particularly Government bonds for the immediate future.

2. Vietnam State Bank shall implement flexible monetary policies to stabilize the internal and external purchasing powers of the Vietnamese currency, especially the interest rate policy, in order to operate and synchronously develop the monetary market and capital market; revise the foreign exchange management policy regarding securities purchase and sale.

3. The Ministry of Finance shall expeditiously complete a scheme on establishment of State-run financial investment companies. First of all, to experimentally set up financial companies in some localities where exist many equitized enterprises (in the 2nd quarter of 2004).

4. The Ministry of Finance shall study and submit to the Prime Minister amendments to Decision No. 146/2003/QD-TTg on the percentage of foreign parties' participation in Vietnam's securities market (in the 3rd quarter of 2004).

B. Development and effective management of the real estate market

1. The Ministry of Construction shall assume the prime responsibility for elaborating a scheme on development and effective management of the real estate market for submission to the Government in April 2004.

2. The Ministry of Construction shall assume the prime responsibility for formulating, together with the Ministry of Natural Resources and Environment, a law on real estate business.

3. The Ministry of Natural Resources and Environment shall submit soon to the Government for promulgation decrees guiding the (2003) Land Law.

4. The Ministry of Finance shall assume the prime responsibility for, and coordinate with the Ministry of Natural Resources and Environment in, formulating a scheme on abolition of land-related subsidies; determining the land price bracket; specific land mechanisms and policies towards socialized projects.

C. Strong development of the labor market

The Ministry of Labor, War Invalids and Social Affairs shall assume the prime responsibility for:

1. Finalizing a scheme on boosting the development of the labor market and reporting it to the Government in the 4th quarter of 2004.

2. Studying amendments and supplements to the policies on labor employment along the direction of expanding the enterprises' rights to recruit laborers, especially foreign laborers; ensuring the interests of laborers and employers.

3. Elaborating a scheme on vocational training. Expanding the labor export market and reorganizing labor export activities.

4. Enhancing the capacity of job placement centers, first of all experimentally build three job placement centers in three regions (northern, central and southern) to supply labor for key national economic regions.

5. Formulating mechanisms and policies to encourage talented professionals to work for a long term in State agencies.

D. Development of the science and technology market

1. The Ministry of Science and Technology shall:

a/ Study, supplement and finalize a scheme on formation and development of the science and technology market in order to raise the competitiveness of enterprises, then submit it to the Government in the 2nd quarter of 2004.

b/ Finalize a scheme on renewing the science and technology management mechanism (in the 2nd quarter of 2004).

c/ Formulate and implement documents on protection of industrial property rights.

d/ Formulate mechanisms and policies on special preferences and incentives for all domestic economic sectors and foreign organizations, enterprises and individuals that invest in scientific and technological research, application and transfer in production and business, especially policies on high-tech development.

e/ Elaborate a scheme on shifting scientific and technological research and development institutions to operate under the mechanism applicable to enterprises (in the 4th quarter of 2004).

2. The Ministry of Finance shall coordinate with the Ministry of Science and Technology in formulating policies to turn scientific products into commodities.

3. Ministries and branches shall formulate schemes on technological renewal in the socio-economic branches in order to raise the technological level of key manufacturing industries and services, enhancing scientific and technological potentials.

4. The Ministry of Trade shall continue finalizing the Law on Competition and Business Monopoly Control and the Anti-Dumping Law before presenting them to the Government for consideration and submission to the National Assembly.

5. The Ministry of Finance and Vietnam State Bank shall study, amend and promulgate documents aiming to end all subsidies for State enterprises in the forms of mandated lending, loan guaranty, debt freezing, debt rescheduling, debt writing-off and loss offsetting.

6. The Government shall soon promulgate, and organize the implementation of, a decree amending Decree No. 43/1999/ND-CP on the State's development investment credit.

7. The Ministry of Finance shall expeditiously complete a scheme on development of public services and submit it to the Government in the 2nd quarter of 2004.

8. Ministries, branches and localities shall, according to their respective functions, expeditiously review and adjust a number of necessary policies, and issue new policies to support the vigorous development of the private economy without restricting the size of private enterprises, and especially create opportunities for enterprises to have access to credit capital sources, transfer of new technologies, to approach and expand their markets, and train human resources...

9. The Ministry of Natural Resources and Environment shall formulate policies to create favorable conditions for clearance of land to be used as production grounds for enterprises, especially those in the collective and private economic sectors.

10. The Ministry of Finance and Vietnam State Bank shall rapidly simplify administrative procedures, especially in the tax, customs and credit domains.

III. STEPPING UP ATTRACTION OF DIFFERENT INVESTMENT CAPITAL SOURCES FOR ECONOMIC GROWTH; RAISING INVESTMENT EFFICIENCY, LIMITING LOSSES AND WASTES IN INVESTMENT

1. The Ministry of Planning and Investment shall organize the review and synthesis of the national socio-economic development plannings and plannings on key economic regions till 2020. To draw up a planning on calling for ODA capital in the 2006-2010 period.

2. The Government shall soon promulgate and implement a decree on planning work.

3. Ministries, branches and localities shall amend and supplement overall socio-economic plannings, plannings on economic regions, key economic regions, overall socio-economic development plannings of provinces and centrally-run cities; development plannings of a number of crucial branches and a number of key products, particularly products with a high growth rate and outlets for development assistance. To end inconsistencies between the national plannings and regional, provincial and branch plannings.

4. To publicize widely strategies and plannings so that enterprises may decide on their own appropriate forms of investment and business.

5. Ministries, branches and localities must attach importance to attracting development investment capital sources, considering it a basic solution to step up investment, contributing to boosting economic growth.

6. The Ministry of Planning and Investment shall soon review the mobilization of investment capital for 2004 and 2005 and prepare for the elaboration of plans on mobilization of investment capital for the next five years.

7. To continue mobilizing capital for development investment through increasing the issuance of enterprise bonds, Government bonds and urban bonds.

8. The Ministry of Planning and Investment shall assume the prime responsibility for formulating, jointly with the Ministry of Finance, a scheme on mobilization of various investment capital sources for development of the health service; conservation and counter-degradation of cultural relics.

9. The Ministry of Planning and Investment shall study amendments and supplements to mechanisms and policies to generate a fundamental progress in attracting direct foreign investment capital, specially from transnational conglomerates.

10. To expand the list of domains where foreign investment is permitted, such as commerce, credit, insurance, telecommunications, advertisement, training of human resources... to suit the international economic integration roadmap.

11. To coordinate with the concerned ministries and branches in soon creating a common legal framework for domestic and foreign enterprises, first of all eliminating all forms of discrimination in terms of investment and business costs. To prepare for formulating a common investment law (covering both domestic and foreign investment).

12. To formulate a scheme on stepping up ODA capital disbursement and raising the efficiency of the use of ODA capital.

13. To study amendments to the Government's Decree No. 77/CP of June 18, 1997, which promulgates the Regulation on Investment under Build-Operate-Transfer (BOT) Contracts, for application to domestic investment.

14. Ministries, branches and localities shall strictly implement the Prime Minister's Directive No. 29/2003/CT-TTg of December 23, 2003 on reorganizing the management of investment and construction with the State capital sources.

15. To review the undertakings and efficiency of investment in big projects on which opinions remain divergent, promptly determine the handling orientations and prevent further wrong investment undertakings.

16. The Ministry of Planning and Investment shall coordinate with the concerned ministries and branches in guiding, examining, supervising and evaluating investment activities; finalize the Regulation on Community Supervision of projects invested with the State capital, then submit it to the Prime Minister for promulgation.

17. To separate a number of supervisory and construction organizations under the same management agencies which hold enormous State capital amounts (communications, irrigation, civil construction) in order to form independent supervisory organizations.

18. The State Inspectorate shall coordinate with the ministries, branches and localities in evaluating the implementation of the plans on examination of investment losses according to the directives of the Political Bureau and the Prime Minister, determining measures to reduce losses and wastes in investment and construction. Reports made by the inspection agencies at all levels should clearly point to organizations and individuals that have caused capital losses and/or wastes.

IV. INTENSIFYING SOCIALIZATION IN THE EDUCATION AND HEALTH DOMAINS

1. The Ministry of Education and Training and the Ministry of Finance shall coordinate with the concerned agencies in formulating schemes on education socialization.

a/ To formulate a scheme on transforming a number of public universities into non-public ones (in the 4th quarter of 2004).

b/ To adopt policies to encourage all other economic sectors to invest in the education and training domain.

c/ To finalize a circular guiding the implementation of Decree No. 06/2000/ND-CP of March 6, 2000 on international cooperation in the domains of medical examination and treatment, education and training, and scientific research.

d/ To expeditiously formulate a scheme on renewing, and enhancing the capacity of, State management in the education and training domain (in the 3rd quarter of 2004).

e/ To formulate a scheme on better structuring the national education system, restructuring the training system; supplementing and improving the network of universities, colleges, and improving the system of vocational practice and orientation training (in the 2nd quarter of 2004).

f/ To review and evaluate the quality of education and training; organize wide consultation of educators, scientists and the public.

2. The Ministry of Health and the Ministry of Finance shall coordinate with the concerned agencies and all localities in formulating schemes on socialization of medical activities (in the 2nd quarter of 2004).

a/ To amend the regulations on hospital charges, eliminate discrimination in medical examination and treatment according to the medical insurance regime and payers of service charges.

b/ To coordinate with the Ministry of Planning and Investment in formulating a scheme on mobilizing capital for upgrading provincial general hospitals and regional hospital; build, renovate and upgrade the grassroots healthcare networks, including the building of medical examination and treatment establishments and provision of medical equipment in areas prone to natural disasters, typhoons or floods, remote and deep-lying areas.

c/ To finalize mechanisms and policies on medical examination and treatment for the poor, social policy beneficiaries; formulate policies toward people affected by Agent Orange.

d/ To expeditiously formulate a planning on development of the pharmaceutical industry, a scheme on management of medicines, and solutions to combat monopoly in the medicine business.

V. INTEGRATING IN THE INTERNATIONAL ECONOMY AND MATERIALIZING COMMITMENTS, INTEGRATION ROADMAP, PREPARING DOMESTIC CONDITIONS FOR EARLY ACCESSION TO THE WORLD TRADE ORGANIZATION (WTO)

1. In 2004, the Government shall focus on directing negotiations so as to achieve the objective of accession to WTO by 2005.

2. The Ministry of Trade shall assume the prime responsibility for, and collaborate with the concerned ministries and branches in:

a/ Concentrating efforts on formulating a general strategy for international economic integration at the global, regional and bilateral levels, particularly on preparing a scheme on negotiations for Vietnam's accession to WTO and reporting it to the Government.

b/ Elaborating final commitments to Vietnam's accession to WTO (in the 1st quarter of 2004); formulating a scheme on popularizing information on WTO, benefits and challenges of a member country in order to raise the society's understanding and consensus on the country's accession to WTO.

c/ Drawing up a plan on opening the market; elaborating technical standards and regulations for imports.

d/ Finalizing a draft governmental decree on commerce and service development policies and organizing the implementation of the decree after it is promulgated.

e/ Continuing to improve the customs tariffs on imports. Announcing soon customs quotas and modes of execution of customs quotas for imports which are regulated by customs quotas in 2004.

f/ Amending and supplementing regulations on activities of dealing in such goods items as fertilizer, cement, iron and steel, chemicals, explosive materials, petrol and oil, gas, salt, sugar, cigarette, alcohol, fresh food...

3. Ministries and branches shall expeditiously review, amend and promulgate regulatory documents (including standards) according to the requirements of international economic integration, especially WTO regulations and reasonable requirements of WTO member countries participating in negotiations (94 documents, of which 52 to be revised and 42 to be promulgated).

VI. HUNGER ERADICATION, POVERTY ALLEVIATION, EMPLOYMENT

In the coming two years, to continue vigorously implementing the hunger eradication and poverty alleviation program, especially focusing on directing the hunger eradication and poverty alleviation in alluvials, coastal areas, mountainous areas, ethnic minority areas, rural areas where farmers are underemployed or have their land recovered for traffic or urban development or construction of industrial parks.

1. The Ministry of Planning and Investment shall formulate a scheme on socio-economic development in the region to the west of Ho Chi Minh Road. To determine policies on supports for farmers to develop production, exchange goods and market products, thereby improving the living standards of people in this area.

2. The Ministry of Trade shall study a scheme on development of a trade development network in mountainous areas.

3. To assign the Nationality Committee to coordinate with the concerned ministries, branches and localities in reviewing five years' implementation of Program 135.

4. Ministries, branches and localities shall assess the actual conditions of essential infrastructures in difficulty-hit areas, deep-lying areas and remote areas; propose the Government to support the building of public-utility facilities (schools, health stations, clean water, roads leading to the centers of commune clusters, electricity) in areas where such facilities do not exist.

5. The Ministry of Labor, War Invalids and Social Affairs shall review the hunger eradication, poverty alleviation and employment program nationwide, serving as a basis for formulating new poverty standards at a higher level, then submit them to the Government in the 4th quarter of 2004.

6. To formulate a scheme on reforming the social insurance system, especially unemployment insurance, thereby creating equality in social insurance opportunities for laborers in all economic sectors (in the 3rd quarter of 2004).

VII. FOCUSING ON THE SETTLEMENT OF A NUMBER OF URGENT ISSUES IN ADMINISTRATIVE REFORM, RAISING THE EFFECTIVENESS OF CORRUPTION PREVENTION AND COMBAT, WHICH ARE ALL CENTRAL TASKS OF 2004

1. The Ministry of Home Affairs and the Government's Steering Committee for Administrative Reform shall urge ministries, branches and localities to implement the overall administrative reform program; have responsibility to sum up and report to the Government on the administrative reform work at the Government's monthly meetings immediately from March 2004.

2. Ministries, branches and localities shall have to well organize the performance of their assigned functions; continue reviewing and abolishing unnecessary administrative procedures.

3. The Ministry of Home Affairs shall study amendments and supplements to the Ordinance on Public Employees along the direction of linking personal responsibility to work results. To formulate and implement the programs and specific measures to prevent and combat corruption and red tape, practice thrift and combat wastefulness; create a mechanism of examination and supervision to tighten administrative rules and discipline; raise the quality and qualifications of the contingent of public employees (in the 3rd quarter of 2004).

4. The Ministry of Home Affairs shall, together with the Ministry of Finance, study and create a mechanism to control incomes and thoroughly effect the declaration of personal property and incomes, first of all among officials.

VIII. ORGANIZATION OF IMPLEMENTATION

1. On the basis of further concretizing and implementing the principal contents of the Government's program of action (see the enclosed appendix), according to their assigned functions and tasks, the ministers, the heads of ministerial-level agencies, the heads of the Government-attached agencies, and the presidents of the provincial/municipal People's Committees shall personally direct the formulation of their programs of action; formulate, review, supplement and complete plannings, policies, programs and projects according to the Government''s assignment. Particularly, to determine activities which can be carried out without schemes, direct and organize the implementation thereof immediately in the first months of 2004.

2. The ministers, the heads of the ministerial-level agencies, the heads of the Government-attached agencies, and the presidents of the provincial/municipal People's Committees shall focus on directing, intensifying the examination of, and urging the implementation of the program of action, propose in time appropriate solutions and policies and sum up the situation for reporting to the Prime Minister.

3. Ministries and branches, which have been assigned to prepare programs, schemes, policies..., shall take initiative in coordinating with the concerned agencies in studying and formulating such programs, schemes and policies and reporting on the results thereof according to the prescribed schedules at the Government's regular meetings.

Prime Minister
PHAN VAN KHAI