Early last week, the VCCI sent a document to the Economics Committee of the National Assembly with comments on the amended Draft Real Estate Business Law.

According to the VCCI, several provisions in the draft lack compatibility with pertinent legal documents. For example, the draft stipulates that foreign individuals are not permitted to rent or rental-purchase construction activities.

"With a welcoming policy towards foreign homeownership, it is unclear why, for construction projects, foreigners are not permitted to purchase but only lease the construction site for use in accordance with the purpose of the project," the VCCI said in a statement.

The VCCI posed queries and stated that, if there are qualms regarding national security issues, the same administration process as that applies to foreign property ownership can govern this issue.

Additionally, this regulation is inconsistent with the provisions of Clause 1, Article 14 of the draft, which states, "Foreign organisations and individuals acquiring construction works must comply with the Law on Real Estate Business."

According to current regulations and the Draft Housing Law, foreign nationals are permitted to own homes (under certain conditions). The VCCI added, "This has helped foster the growth of the real estate market."

To promote real estate growth, the VCCI suggested that foreign individuals and organisations be permitted to purchase non-residential building projects, with the exception of areas where security and defence concerns exist – akin to the mechanism implemented for foreign individuals buying houses.