Minister of Planning and Investment Nguyen Chi Dung (Photo: VNA)
Hanoi (VNA) – The EU-VietnamInvestment Protection Agreement (EVIPA), which was signed on June 30 in Hanoi,not only marks a new step of development in the Vietnam-EU partnership andcomprehensive cooperation but also will help improve the quality of foreigninvestment flows into Vietnam, according to Minister of Planning and InvestmentNguyen Chi Dung.
The minister told the press thatthe EVIPA will drive forward economic restructuring in Vietnam, along withimprovement of institutions and business environment, thus facilitating the operationof EU investors and helping Vietnam achieve balance between investmentattraction and the protection of national and public interest, thanks to themore progressive stipulations compared to agreements of the same kind between Vietnamand EU member nations.
Dung said the FDI flow from theEU into Vietnam will also increase, prompted by greater liberalization ofinvestment flow from the EU, particularly in the fields of specialized servicessuch as finance, telecommunication, transport and distribution, or EU’s strongindustries like processing, hi-tech manufacturing, clean and renewable energy.
Tighter rules on origin in theEVFTA will also prompted foreign investors invest in manufacturing goods inVietnam to make use of the country’s advantage in accessing the EU market.
The minister went on to say thatthe EVIPA will support the development of the domestic private sector thanks tothe pervasive effects from European investors’ FDI projects.
Besides, investors from non-EUcountries will also come to Vietnam in search for opportunities to access theEU market.
But in order to make the bestuse of arising opportunities, Minister Dung emphasized thorough preparations onthe part of State management agencies and business community in Vietnam.
The content of the EVIPA shouldbe popularized among State agencies at all levels, business and tradeorganisations, the business community, especially small and micro enterprises,farmers and fishermen.
A roadmap should be built earlyfor the effective enforcement of the agreement, while measures should continueto be implemented to improve the business environment and enhance the economy’scompetitiveness.
The minister noted that thefocus of the FDI attraction policy should be shifted from quantity to qualityand high added value, with priority given to projects using hi-tech and modernadministrative forms and having linkages with global supply chains that suitthe country’s economic restructuring directions and the goal of sustainabledevelopment.
He said the Ministry of Planningand Investment is working on amendments and supplements to existing laws alongwith some new laws with a view to further facilitating market participation.
The minister also highlightedthat the EVIPA marked a notable advance in preventing, curbing and settlingdisputes between the State and investors compared to other investment protectiondeals that Vietnam has already signed with EU member nations, thanks to moredetailed and clearer commitments which ensure the consistent interpretation andapplication of the deal’s provisions, preventing disputes and in the case ofdisputes, helping arbitrators apply provisions in a transparent and consistentmanners.–VNA
