Less red tape, more business

Investors in central Ninh Thuan Province have been able to have their business applications processed at just one office since last October, saving them time and money, said Truong Xuan Vy, director of the Economic Development Office (EDO).

The EDO, which comes under the auspices of the provincial Planning and Investment Department, was established last October to help investors complete necessary business procedures in a simple no fuss manner, Vy said.

He added that local planning and investment, natural resources and environment, construction departments, as well as district and provincial People’s Committees have appointed officers to work at the EDO.

Simple administrative documents can now be dealt with at the office, while those that require higher approval were transferred to appropriate bodies, Vy said.

Last year, the EDO dealt with 135 investment projects, and 830 applications for business registration, tax and seals, Vy said, adding that the one-stop process had helped the province improve its competitiveness.

Dau Anh Tuan, deputy head of the Viet Nam Chamber for Commerce and Industry (VCCI), said Ninh Thuan Province’s EDO was a one-door model that should be applied elsewhere.

It has helped create a good business environment at the provincial level, he said.

He said improved transparency, inter-provincial co-operation, information technology application, support mechanisms and regular dialogues between authorities and investors had also helped to improve the business environment.

Administrative procedures pose challenges for both investors and authorities due to their complexity, he said, adding that there was no standard administrative model in Viet Nam.

Vy said that many localities had improved their business environment. He cited the example of southern Dong Nai Province’s People’s Committee’s portal www.dongnai.gov.vn, which is available in five languages. Meanwhile, HCM City has created the www.doi-thoai.hochiminhcity.gov webpage where investors can raise questions and get responses from relevant authorities.

Over the last three years, the World Bank, World Bank Group, International Finance Corporation (IFC), the Central Institute for Economic Management (CIEM) and VCCI conducted studies on reforms to administrative procedures regarding investment and land and construction procedures in 10 cities and provinces.

The move was in response to complaints by small and medium-sized enterprises over the complexity of administrative procedures and the overlapping of regulations, said Pham Ngoc Linh, IFC’s project consultant.

Linh said that at least one-third of documents investors had to submit could be dispensed with.

She also said investors should be given advice on which and when documents needed to be submitted.

The one-door model has now been set out in a handbook, said CIEM deputy director Nguyen Dinh Cung.

Cung urged relevant ministries and departments to design a national standard one-door model for localities to follow. — VNS

Tags: Vietnam business, Vietnam business registration