Enterprises Confused with Land Rental Regulations

Enterprises Confused with Land Rental Regulations

On December 10, 2004, VCCI in conjunction with Finance Ministry organised a conference to get the views of businesses on the draft Decree on land and surface rentals.

The participants expressed concerns on the increase of land rental and the discrimination between local and foreign investors. With the increase four times in land rental, local investors have to pay every year, while overseas Vietnamese pay only once. Mr Vu Duy Thai, Vice-Chairman of Hanoi Business Association proposed that local businesses will pay once for a year or the whole project life.

Concluding the conference, Mr Nguyen Van Xa, Head of Public Property Department, Finance Ministry said that the ministry is against fixed prices in the draft. The prices should depend on the agreement between the State and the people, and the sales depend on the market.

The views expressed at the conference will help the government to improve the draft so that reasonable land rental would promote business activities.

• N.T