(VOVworld) – Ten new laws will come into force on July 1, 2015. The laws, which cover enterprises, land, housing, and real estate issues, are considered breakthroughs in socio-economic development policy.

From July 1, 2015, foreigners are entitled to own houses in Vietnam according to the Law on Housing.

The 10 new laws include the Law on Housing, the Law on Real Estate Trading, the revised Law on Enterprises, the Law on using state capital in production and business activities of enterprises, the revised Investment Law, the revised Law on the Enforcement of Civil Judgment, the Law on Vocational Education, the Law on People’s Police, the revised Law on Officers of the Vietnam People’s Army, and the revised Law on Civil Aviation. Several decrees will also come into force in July.

Foreign entities allowed to own houses in Vietnam

Pursuant to the revised Law on Housing, foreigners will be allowed to own houses in Vietnam from July 1, 2015. Foreign individuals, organizations, foreign-invested enterprises, representative offices and branches of foreign enterprises, foreign investment funds, and branches of foreign banks in Vietnam, are eligible to buy, rent, receive, give, inherit, and own not more than 30% of the apartments in a residential building. In case of private property, such as villas or semi-detached houses, in an area with a population equivalent to an administrative unit of a ward, they are allowed to buy, rent, receive, give, inherit, and own up to 250 houses. The ownership duration is 50 years. A foreigner can have the same long-term ownership as a local person if they get married to a Vietnamese spouse.  

Giving high priority to vocational education to serve agricultural development

The Law on Vocational Education adjusts and supplements the Law on Vocational Training by broadening its scope to include specialized secondary schools, colleges, and technical and career guidance centers. The vocational training system will have primary, secondary, and college levels.

The Government Decree on credit for agricultural and rural development stipulates that individuals, households, household traders, cooperatives, cooperative alliances, and farm owners are allowed to borrow without collateral to a maximum of 150,000 USD for cooperative alliances on aqua-culture, offshore fishing, and services for offshore fishing.

Shortening time for investment procedures

The revised Laws on Investment and Enterprises have adopted several revisions and supplements related to administrative reform. The revised Law on Enterprises removes the requirement of a certificate of practice and legal capital declaration on the business registration application and shortens the time required to process a business registration application to less than 3 days.

The revised Law on Investment simplifies the procedures and documents for issuing a certificate of investment to foreign investors, shortening the time required from 45 days to less than 15 days.

Enterprises don’t have to specify their trading sectors on their business registration certificates. The rules now stipulate the right to do business in line with the 2013 Constitution, reduce investment risk, increase enterprises’ flexibility and dynamism in doing business, give enterprises greater incentives to enter the market, and reduce the time needed to establish a business.

State invests in state-owned enterprises in 4 areas  

The Law on using state capital in production and business activities by enterprises reforms and improves the efficiency, management, and use of state capital. The Law stipulates that the State can only invest in state-owned enterprises in 4 sectors: essential products and services for the public, national defense and security, monopoly sectors, and the sector that uses advanced technology and substantial investment to generate momentum for other economic sectors. State-owned enterprises must be owned 100% by the state, not 51% as in the past.