TO: THE GOVERNMENT’S PRIME MINISTER

The Chamber of Commerce and Industry of Vietnam (VCCI) is pleased to report on a performance of tasks assigned in the Resolution 35 / NQ-CP dated 16 May 2016 by the Government on supporting and developing businesses until 2020, solving difficulties, obstacles and recommendations of businesses in November 2019 as follows:

I. IMPLEMENTATION OF BUSINESSES’ RECOMMENDATIONS OF MINISTRIES, BRANCHES AND LOCALITIES.

1.   The implementation of gathering and resolving businesses' recommendations in November, 2019

In November 2019, the VCCI’s statistics showed that 147 new recommendations of businesses and business associations sent to 28 ministries, branches and localities. By the end of November 30, 2019, there were 43 recommendations answered, 104 recommendations were unanswered, in which, the number of expired recommendations was 43.3%, remaining 61recommendations were not answered andstill remained within the study-response period. The Ministry of Planning and Investment, the Ministry of Construction and the Ministry of Industry and Trade were the units that answered the most recommendations during the month. The Ministries of Finance; Labor, War Invalids and Social Affairs; Natural Resources and Environment and the State Bank of Vietnam, the People's Committee of Ho Chi Minh City, People's Committee of Hanoi City were ministries, branches and localities with many overdue recommendationsunresolved.

Details of data and contents of new recommendations are presented in Appendix 1 and Appendix 2 attached to the report.

The main content of the recommendation of enterprises and business associations mainly requests guidance of the provisions of law for implementation. There are also a number of recommendations on legislation and some specific cases of businesses. Some key contents include the following:

- The Ministry of Finance received 31 recommendations from enterprises, which is the unit receiving the most recommendations in the month. The basic contents of the recommendations include:

+ Guiding or proposing to handle difficulties and problems in the field of tax and customs: allocating corporate income tax payable to the provinces; operational status of the business when requesting VAT refund; expenses for calculating enterprise income tax; VAT declaration according to form 01 / GTGT; mandatory use of electronic invoices on November 1, 2018; procedures for applying for invalidation of tax identification numbers; current tax on construction and installation; guiding Asian - Hong Kong tariff schedule; reduction of arrears of VAT refund in construction investment and fines; handling of VAT on imports, business activities, and re-exports; VAT on pawn services; sanctioning administrative violations with enterprises that have issued dissolution decisions; clarifying the legal basis of the feature of declaring tax declaration on the website; recommendations on the illegal transmission inspection; handling errors not found on the customs data processing system ...

+ Suggestingon guidance of some implementation of the law on some contents: the investor's payment time to the contractor during the time of contract performance; defining micro enterprises according to the Circular No. 132/2018 / TT-BTC dated December 28, 2018; answering legal policies related to life insurance contracts; guiding the application of legal documents in the settlement of work construction investment projects; guiding the equitization of non-business units; explaining the term "non-business activity capacity" in the Government's Decree No. 16/2015 / ND-CP dated February 14, 2015 defining the autonomy mechanism of public non-business units; sanctioning administrative violations with enterprises that have issued dissolution decisions; ...

- Ministry of Planning and Investment received 30 recommendations from enterprises. The main contents proposed to the Ministry to guide the implementation of policies and laws, in  which the majority were guiding the implementation of bidding law (16/30 recommendations) are as follows:

+ Guiding the law on bidding with the following contents: Point d, Clause 6, Article 89 of the Bidding Law "Contractors participating in bidding packages for procurement of goods and construction and installation for which they have provided consultancy services"; Application of contractor selection in special cases under Decision 17/2019 / QD-TTg; applying online bidding for consultancy package of over 10 billion dong; regulations of law on bidding documents; regulations on package bidding; dealing with situations where bidding prices exceed the plan; financial resources required for the bidding package; updating bidding package price according to regulations; guiding the implementation of regulations on shortened bidding; bidding procedures for construction and installation bidding packages of less than VND 5 billion; instructing the bidder's eligibility status ...

+ Guiding the implementation of the law in a number of other contents such as: Conditions for advertising service business of foreign investors; conditions applicable to foreign investors in health care services; identifying preferential industries under the Investment Law; processing dossiers of purchase of capital contribution shares of foreign investors; identifying cases of confusing enterprise names according to the provisions of Point d, Clause 2, Article 42 of the Enterprise Law; expenses for purchasing voluntary insurance for laborers settling and project investment expenses; procedures for transfer of production and business projects using land; registration of wholesale and retail trades for products manufactured by the enterprise; setting up investment projects without construction components for state-run joint-stock companies…

- Ministry of Labor, War Invalids and Social Affairs received 15 recommendations from enterprises. The contents of the recommendations are suggested to guide the implementation of the law: instructions for arranging 45-minute leave for night shift workers; components of a work permit application file; payment of severance allowances in cases where the time limit for requesting dispute resolution has expired; how to determine the heavy and hazardous work in a carton packaging company; proposing to increase the limit of total overtime work in a year; sending laborers to work abroad under the form of skill improvement internships; regime for managers at limited liability companies when equitizing; handling unilaterally terminating laborers; allowances in kind for laborers; employers' responsibilities to laborers who have suffered from labor accidents; ...

- The Ministry of Construction received 14 recommendations from enterprises. The contents of the recommendations are suggested to guide the implementation of the law on: economic organizations participating in the auction of land use right of plots in residential areas, resettlement areas and flood-prone population clusters with profitable conditions redundancy in the process of population arrangement; approval form of construction drawing designs and work construction cost estimates of construction investment economic-technical reports on payment of fixed unit price contracts; application of legal documents in the execution of work construction investment projects; Agencies evaluating investment preparation under the Decree No. 68/2019 / ND-CP; guiding the construction work warranty period; procedures for approving the drawing of the total ground of the project located in industrial parks; individual contractors are allowed to receive construction contracts; Agencies evaluating investment preparation under the Decree No. 68/2019 / ND-CP ....

- The Ministry of Industry and Trade received 10 recommendations from enterprises. The contents of the recommendations include: policies to support businesses installing renewable energy systems; procedures for licensing solar energy investment projects; guiding e-commerce and advertising relationships; procedures for grant of licenses for setting up representative offices of foreign traders; registration procedures for distribution, wholesale and retail of wine products for wine production enterprises; regulations on e-commerce activities of foreign traders; ...

- Ministry of Natural Resources and Environment received 6 recommendations from businesses The contents of the recommendations include: Guidance on the application of criteria related to Circular No. 26/2015 / TT-BTNMT dated May 28, 2015; guidance on the application of time limits for formulation of environmental protection schemes; guidance on procedures for transfer of production and business projects using land; regulations of law on economic organizations receiving transfer, extension of term and transfer of land use right; guidelines for hazardous waste treatment ...

 - The State Bank of Vietnam has received 4 recommendations from businesses. The contents of the recommendations include: Solutions to improve quality in drafting and issuing circulars of the State Bank of Vietnam; guidance on documents and procedures for the parent company to borrow and transfer foreign currencies abroad; guidance on the regulations on foreign exchange control in direct investment from abroad into Vietnam; answering a number of problems in the implementation of the Law on Credit Institutions.

- The Ministry of Information and Communications received 4 recommendations from businesses. The contents of the recommendations include: guidelines for operating the franchise business model in the field of post; guidance on regulations and criteria on software production activities; recommending the suspension of licensing for setting up general information websites for groups of enterprises and press agencies; offering to allow foreign sim card retail.

- The Ministry of Information and Communications received 4 recommendations from businesses. The contents of the recommendations include: guidelines on operating the franchise business model in the field of post; guidance on regulations and criteria of software production activities; recommending the suspension of licensing for setting up general information websites for groups of enterprises and press agencies; offer to allow foreign sim card retail.

-The  Ministries of Police, Justice; Transport received 3 recommendations of the business. The contents of the recommendations include: Guidance on the duration of the FPF certificate; guidance on the application of some contents of the Circular No. 04/2015 / TT-BCA; recommendations to return the seal of the representative office of foreign trader; instructions for registering the record archive; guidance on the application of legal provisions on re-settlement of complaints; proposing to clarify of the signs of violations of the City Civil Judgment Execution Department. Phan Rang - Thap Cham; handling the issuance of taxi badges for businesses outside the province doing business in Hanoi; Comment on the draft Decree to replace Decree 86/2014 / ND-CP dated September 10, 2014 of the Government on business and conditions for transport business by auto.

- The People's Committees of Ho Chi Minh City and Hanoi City received 3 recommendations from the enterprises, and Hai Phong People's Committees received 2 recommendations from the enterprises. The contents of the recommendations include: Proposal to handle the project implementation delay and advance payment of the advance package of XL0-02 package: design, construction and operation of Nhieu Loc - Thi Nghe wastewater treatment plant; guidance on the granting of land use rights for investment in the construction of social houses and smart urban areas; proposing to handle Hanoi traffic signs that do not comply with QCVN 41: 2016 / BGTVT; procedures for transport business licenses for businesses in Hanoi; guidance on procedures for investment cooperation with foreign countries in the field of education and training; guidance on the handling of administrative violations of 140 kiosks at fruit wholesale markets in Hai Phong; making recommendations on the long and contradictory working process of the Hai Phong business registration office..

- The Ministries of Foreign Affairs; Interior, Education and Training; Agriculture and Rural Development; Science and technology; Vietnam Social Insurance; Vietnames Broadcast; The Government Inspectorate and the People's Committees of the Ba Ria - Vung Tau, Thanh Hoa, Tien Giang, Bac Giang, Hai Duong, Ha Tinh Provinces and Da Nang City all received one recommendation. The contents of the recommendations include: guidance on Article 478 of theCivil Procedure Code 2015 on recognition of papers and documents sent by foreign agencies, organizations and individuals to Vietnamese courts; guidance on contractual employment mechanism; developing standards and regulations for student desks and chairs; fertilizer wholesale licensing procedures; procedures for evaluating and confirming trademark ownership; the inspection of labor legislation and social insurance at the enterprise; handling the designation of investment location but do not clear the company's land, transferring and holding land without compensation; proposing to consider the debt payment responsibility of VTC Digital Television; guidance on the procedure for renting water surface as a tourist wharf in Ba Ria - Vung Tau; recommending to the provincial People's Committee to approve the investment policy of clean water plant project in Thanh Hoa; proposing to support businesses that are leased land to implement pineapple and vegetable farming farm project in the direction of eco-technology in Tien Giang; Proposal to consider re-granting low-voltage electricity lines to the electricity project of Huong Son commune, Bac Giang province;

2.   Implementation of responding to proposals of ministries, branches and localities from the beginning of the year to November 30, 2019:

2.1. Implementation of responding to proposals of ministries, branches and localities in November 2019:

In November 2019, VCCI received 71 written responses to business recommendations from 14 ministries, sectors and localities (an increase of 4 documents compared to October 2019). These documents were fully posted on VCCI's website as prescribed in the Resolution 35. (Details in Appendix 3 attached to the report)

The implementation of handling proposals of ministries, branches and localities received in November is as follows:

Although the Ministry of Planning and Investment received many recommendations, the number of recommendations received many responses and the number of overdue recommendations responded. The Ministry of Finance in November 2019 answered recommendationsslowly compared to the previous months, with a large amount of existrecommendations (22/31).  A number of ministries and branches responded slowly to recommendations such as the Ministries of Labor, War Invalids and Social Affairs; Natural Resources and Environment; Police; The bank of Viet Nam; Ho Chi Minh and Hanoi City People's Committees... The time limit for settling a recommendations is calculated by the VCCI according to the time limit requested by the Government’s Office in the official dispatch to the ministries, branches and localities.

2.2. Recommendations exist from the beginning of the year to the end of November 2019:

According to VCCI's monitoring, from January 1, 2019 to the end of October 31, 2019, there were 253 recommendations of enterprises and business associations that were not answered by ministries, branches and localities. Some recommendations have been backlog since the beginning of the year but have not been resolved.

Details of unanswered recommendations and responsibilities of ministries, branches and localities are presented in Appendix 1, Appendix 2 and Appendix 4 attached to the report.

The Government’s Office is requested to continue directing the ministries, branches and localities to definitely reply to enterprises' recommendations, especially those outstanding from the beginning of the year, such as the Ministry of Labor, War Invalids and Social Affairs; Police; Ministry of Natural Resources and Environment; Ho Chi Minh and Ha Noi City People's Committee ...

II. THE IMPLEMENTATION OF THE VCCI'S RESOLUTION 35 / NQ-CP

1. In November 2019, the VCCI implemented the following assigned tasks:

Implemented activities that contribute to administrative reform, created favorable conditions for enterprises; created a favorable environment to support startups and businesses to innovate; ensured the right to business and the right to equal access to resources and business opportunities of the enterprise; reduced business costs for businesses and protected their legitimate rights and interests:

Coordinated with relevant ministries, branches, agencies and international organizations to organize forums, seminars, conferences, seminars, etc. to advise the Party, the State, and comment on relevant policies and laws to businesses, entrepreneurs and economic development sectors, localities, foreign ... such as:

+ Organized a workshop to announce the satisfactions of the Enterprise Assessment Report on tax administrative procedure reform in 2019. The assessment report issued by the VCCI showed that about 90% of enterprises assess tax administrative information currently is easy to find and fill, 76% of tax rate information is easy to understand; 80% assess the implementation of tax administrative procedures easy / relatively easy to implement. It is worth noting that FDI enterprises and small-scale private enterprises are those groups that feel more favorable when fulfilling their lower tax obligations than other groups of businesses. The two most difficult tax administrative procedures are the proposed tax exemption, reduction (62%), and tax refund (56%). New businesses that have been operating in the past two years report more difficulties with tax procedures than those with long-standing operations. Electronic tax declaration and payment were high (98.4% and 92%). The deployment of electronic invoices is still difficult due to the fact that the enterprises are not ready, there is no synchronization between state management agencies, technology infrastructure ...

+ Collaborated with the Ministry of Finance to hold a conference on 2019 tax and customs administrative policies and procedures in Hanoi and Ho Chi Minh City, with the participation of more than 600 enterprises. The dialogue with businesses on tax and customs is an annual joint activity between VCCI and the Ministry of Finance to inform and propagate about new administrative policies and procedures in the field of tax, customs, and solutions. solving difficulties and problems, creating a favorable environment for enterprises' operations and strengthening cooperation between enterprises and tax and customs agencies. In addition to introducing and updating new tax and customs policies, the Conference spent a lot of time for representatives of the General Department of Taxation, General Department of Customs and enterprises to talk and answer questions about taxes and customs of enterprises in the process of production and business.

+ Organized many seminars and conferences to collect comments on a number of draft legal documents such as: the Decree amending and supplementing the Decree No. 89/2013 / ND-CP on appraisal of prices; The Decree prescribes the sanctioning of administrative violations and the enforcement of administrative decisions in the field of customs; the Decree on establishment, organization and operation of the Cooperative Development Assistance Fund; the Decree on the roadmap and modes of participation in global greenhouse gas emission reduction activities; the Circular amending Circular on fees; the Circular on the list of compulsory standards for digital signatures and authentication services on mobile devices; The Circular prescribes the management of product and goods quality under the management responsibility of the Ministry of Industry and Trade; the Circular regulating management fee collection and insurance activities; the Report on reviewing the system of legal documents according to the field of state management of ministries, ministerial-level agencies ... (Details of the comments are updated at: http://vibonline.com .vn / tim-kiem-y-kien-vcci).

 + Organized the Ceremony of announcing 100 Sustainable Enterprises in Vietnam in 2019 with the participation of the Deputy Prime Minister Vu Duc Dam, the Chairman of the National Council on Sustainable Development and Competitiveness Improvement, Leadership of the Board Central Economics, the Central Propaganda Department, the Ministry of Natural Resources and Environment, the Ministry of Labor, Invalids and Social Affairs, the Vietnam General Confederation of Labor, leaders of ministries, agencies and more than 400 enterprises as well as business associations. Assessment program, ranking sustainable businesses in Vietnam. The evaluation and ranking are based on the Corporate Sustainability Index (CSI). In 2019, the CSI Index is streamlined from 131 targets to 98 targets in 3 areas: economy, society and environment; in which 90% are the norm of compliance with laws. At present, the Index Ministry is well received by the business community and applied in the business management and construction system. At the event, the VCCI in collaboration with the Central Propaganda Department praised nine excellent press works from 100 entries on sustainable development businesses.

- Participated in the Editorial Team of the Project on "Building a set of criteria of a socialist-oriented market economy framework in our country" of the Central Economic Committee. The VCCI presides over the implementation of 02 topics: (1) "The situation and issues raised about business freedom and private sector development in our country over 30 years of renovation"; (2) “Proposing the framework criteria on business freedom and private economic development in our country until 2030, vision to 2045 and key solutions groups to apply this framework criterion into development practice. country".

 - Joined the Inter-sectoral Task Force to carry out the survey on the Index of cross-border trade transactions under the Program on "Monitoring the implementation of key tasks and solutions to improve the business environment and improve high national competitiveness in the field of tax and customs ”in 2019.

- Continued activities under the PCI Plan 2019: Prepared content for the PCI Quarter IV / 2019 Newsletter; collaborated with the Asia Foundation (TAF) to conduct the study "Overall assessment of enterprise resilience" integrated in the PCI survey; continued to coordinate with the Ministry of Construction to assess construction licensing procedures in localities integrated in the PCI survey ...

- Continued implementing the Action Program to promote the implementation of business integrity:

+ Collaborated with the United Nations Development Program in Vietnam (UNDP) and the British Embassy in Hanoi to organize a workshop on "Enhancing business participation through promoting integrity in business commitments". The workshop is one of the key activities of the "Business Integrity Initiative between the Government and the Government" (GBII) implemented by the VCCI in the framework of UNDP's Regional Project "Promoting fair business environment in ASEAN". . The project aims to support the development of transparent mechanisms in both the public and private sectors, strengthen the rule of law state, fight against corruption, and develop examples of responsible businesses. At the seminar, 11 business associations in Hanoi and Ho Chi Minh City signed the "Commitment to Integrity Business" to promote the core values ​​of integrity, responsibility and ethical behavior of businesses, working towards acting together to build a culture of integrity.

 2. Deploying trade, investment promotion activities and programs and projects to support the competitiveness of enterprises and business associations:

- The VCCI President accompanied the Government’s Prime Minister to attend the 35th ASEAN Summit and related high-level conferences in Bangkok, Thailand; accompanying the Government’s Prime Minister to attend the 30th Anniversary Summit of the ASEAN-Korea Dialogue Relations, the First Mekong-Korea Summit and the Official Visit to Korea.

- Collaborated with the People's Committee of Quang Nam Province to organize the "Vietnam - Korea Business Summit". Attending and directing the conference were Deputy Prime Minister Trinh Dinh Dung, the VCCI President Vu Tien Loc, the Secretary of the Quang Nam Provincial Party Committee Phan Viet Cuong, leaders of central and local ministries, departments and agencies together. more than 600 enterprises of two countries, including 250 Korean enterprises. In the nearly 30 years since the establishment of diplomatic relations in 1992, relations between the two countries have developed at a rapid rate rarely seen in most fields, especially in politics and economy. Many large economic groups of Korea are doing very successful business in Vietnam such as Samsung, LG, Hyundai ... Korea has become one of the leading important partners of Vietnam in many fields and currently is the largest number of foreign investors in Vietnam. With the new Southbound Policy, through the Conference, Vietnam wishes to continue to be an investment destination for Korean businesses. At the conference, the VCCI signed a start-up cooperation agreement with the Korea Investment Trade Promotion Agency (KOTRA) and the Korea Business Development and Business Institute (KISED).

 - Coordinated organizing the Vietnam - Russia Business Dialogue among the "Vietnam - Russia Cross Year" (Vietnam Year in Russia and Russia Year in Vietnam) in the 25th anniversary of the signing of the Treaty on Basic principles of the friendship between Vietnam and the Russian Federation with the participation of the Deputy Prime Minister of Vietnam Trinh Dinh Dung and the Deputy Prime Minister of Russia M. Akimov, the Chairman of VCCI Vu Tien Loc and numerous businesses of the two country. The Dialogue focused on discussing specific and practical issues related to investment and business opportunities, taking advantage of the advantages that businesses and economies of the two countries can complement each other. Building business strategy to achieve the most effective for your business. With the goal of reaching 10 billion USD by 2020, the Government of Vietnam and the Russian Federation have been removing many tariff barriers, offering many preferential policies, trade promotion, investment and attraction activities. the attention of businesses of two countries.

- Organized Mekong-Japan Business Cooperation Forum 2019 in Can Tho, with the participation of leaders of provinces and cities in the Mekong Delta (Mekong Delta), Japanese Consulate General in Ho Chi Minh City,representatives of Japanese organizations and partners in Vietnam and 250 Japanese businessmen. This forum attracts the largest number of Japanese businessmen participating in the Mekong Delta so far. The forum aims to introduce Japanese businesses about the development potential of the region and the efforts of the leaders of the provinces and cities in the region towards attracting investment capital, promoting cooperation and business from investors, Japanese investment in the Mekong Delta. The regional capital of Can Tho has carried out many practical activities to increase the flow of Japanese investment to Can Tho and the region in general such as establishing Vietnam-Japan Friendship Industrial Park and establishing a Working Group. Japan in Can Tho (Japan Desk Can Tho) to connect Japanese enterprises and investors to the provinces and cities in the Mekong Delta region, to issue a 10-point commitment to Japanese investors ...

 - Collaborated with the International Labor Organization (ILO), the Organization for Economic Development Cooperation (OECD) and the European Chamber of Commerce in Vietnam (EuroCham) to organize the Forum "Responsible Business in Vietnam. ”(Vietnam Responsible Business Forum). At the Forum, policy makers, businesses, labor representative organizations, social organizations and training institutions discussed and shared experiences on the issues related to use and practice responsible business in Vietnam. Currently, the number of Vietnamese enterprises participating in global supply chains is still limited. In addition to reasons such as limitations on application of science and technology, low labor productivity, many Vietnamese enterprises have not consciously complied with standards of sustainable development. Therefore, in order to overcome the above situation, domestic enterprises need to focus on operating and developing business according to internationally recognized principles of human rights and environmental management. At the same time, implementing business integrity and preventing and fighting against corruption are also part of the strategy to improve the capacity of Vietnamese enterprises to participate in the global supply chain, contributing to the implementation of Vietnam's commitments. with the UN's sustainable development goals.

- Collaborated with the International Labor Organization (ILO) to hold a Dialogue Workshop "Promoting occupational skills at the workplace - Training model of enterprises and cooperation between parties". The seminar is a forum for the state management agencies, business associations, businesses, schools and vocational education institutions to exchange and share experiences connecting businesses and schools in the country. update the contents of the Labor Code (amended) related to vocational education (VE) with enterprises, strengthen the connection between enterprises and vocational education institutions in training and recruitment ofskilled labors, helping businesses improve the quality of human resources, improve productivity and enhance competitiveness.

 - Organized a number of thematic seminars: A Forum on "Enhancing competitiveness for businesses in the digital economy and sharing" in Quang Ninh; A Vietnam Food and Beverage Forum 2019 in Hanoi; A Workshop on "Promote communication on the application of science and technology in agriculture" in Gia Lai; "Strengthening the Vietnamese education system to support graduates' ability to find jobs and start-up skills" in Ho Chi Minh City; A Workshop on career guidance and recruitment policy in Vinh Phuc; A Conference on "Developing high-quality human resources for aquaculture" in Can Tho ...

- Organized and coordinated to organize a number of activities to support enterprises to promote trade, investment, and international economic integration: A Vietnam - China Trade Investment Promotion Forum in Hanoi; A Workshop on "Business Opportunities with Jiangsu Province (China)" in Ho Chi Minh City; A Vietnam - Czech Business Forum in Hanoi; organized a business delegation to attend the 4th Guangxi Electric, Motorcycle and Electric Bicycle Exhibition in Nanning (Guangxi, China) ...

- Organized 51 training courses for 2890 enterprises on the following topics: updating the experience of basic bidding and online bidding to improve the corporate governance capacity; dispute resolution skills on labor contracts, labor discipline, guidance on handling labor contract violations in order to improve corporate governance capacity; training on social insurance in enterprises and social insurance inspection; avoid risks in the process of making corporate financial statements; training on taxable values ​​and new regulations on customs valuation ...

Vietnam Chamber of Commerce and Industry respectfully reports to the Government’s Prime Minister.