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The Government’s regular meeting No 40/NQ-CP of Government : The Government’s regular meeting – May 2015


GOVERNMENT     

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No.  40/NQ - CP

SOCIALIST REPUBLIC OF VIET NAM

Independence - Freedom - Happiness

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                                   Ha Noi, June 01 , 2015

RESOLUTION

The Government’s regular meeting – May 2015

GOVERNMENT

Pursuant to the Law on Organization of the Government dated December 25, 2001;  

Pursuant to the Government’s Decree 08/2012/ND-CP, dated February 16, 2012 promulgating the Working regulation of the Government;

Based on the discussions among the Cabinet members and the conclusion of the Prime Minister at the Government’s regular meeting held on May 27, 2015.

RESOLOVES:

1. Regarding socio-economic performance in May and the first five months of 2015; the implementation of the Government’s Resolution No. 01/NQ-CP dated January 3, 2015 on major tasks and solutions guiding the realization of the Plan for socio-economic development and State budget estimates for 2015.

The Government unanimously agreed: The socio-economic situation in May and the first five months this year witnessed positive changes in almost all fields with stable marco-economy, tamed inflation, high outstanding loan balance, stable interest and exchange rates and gold prices, and rising foreign reserves. Exports kept on growing. Industrial production, especially manufacturing and processing maintained growth momentum. Agricultural production was relatively stable. Disbursed volume of official development assistance and preferential loans was satisfactory. Total investment capital and resources mobilized from the society for traffic infrastructure development kept on rising. Social security and social welfare were ensured. Due attention was paid to other fields like tourism, science and technology, education, healthcare, and job creation, etc. Positive results could also be seen in administrative reform, especially administrative procedures, information technology application, and facilitation of transactions by individuals and businesses. National defense and security were enhanced. Socio-politic stability was guaranteed. Diplomatic activities and international integration were comprehensively deployed. A number of key events and activities celebrating the country’s major festivals were solemnly and safely organized, creating more trust and inspiration among people.

However, the country still faced numerous difficulties and challenges, including slow export growth, rising trade deficit, shrinking international arrivals, and sluggish consumption of farm produce, slow business restructuring and business environment improvement. Traffic accidents, crime and social evils remained rampant. A number of people still found it hard to earn a living, etc. Besides, there remained implicit risks in the global economic situation, regional security and East Sea situation changed complicatedly and unexpectedly.

To strive for the highest results this year, the Government asked ministries, agencies and localities to continue drastic direction, comprehensive and effective implementation of the tasks and solutions set in the Resolutions of the Party, the National Assembly and the Government, especially those figured out in the Government’s Resolution No. 01/NQ-CP dated January 3, 2015 on major tasks and solutions guiding the realization of the Plan for socio-economic development and State budget estimates for 2015 and the Resolution No. 19/NQ-CP dated March 12, 2015 on major tasks and solutions for continued improvement of business environment and national competitiveness, focusing on the following key issues:

- Ministries, agencies and localities shall speed up the realization of the Master plan for economic restructuring and other sub-plans; Ministers, heads of ministerial-level agencies shall drastically direct the equitization of State-owed enterprises under their management scope; actively carry out measures to facilitate the development of businesses, create an impetus to strengthen the competitiveness of the economy; promptly design and issue or submit for issuance of legal documents guiding the enforcement of laws and ordinances passed by the National Assembly and the National Assembly Standing Committee; focus on implementing the Government’s Resolution No. 19, accelerate administrative reform, especially administrative procedures, review and abrogate procedures that cause inconvenience for citizens; enhance inspection of public duties; beef up information technology application in processing administrative procedures.

- The State Bank of Viet Nam shall closely supervise the market and pursue a monetary policy towards stabilizing the exchange rate and forex market in support of macro-economic stability and business operations; fruitfully deploy credit programs to widen loan access while ensuring credit safety and quality; enhance banking inspection and supervision to guarantee the safety of the banking system and to support the restructuring process and bad debt settlement in credit institutions; at the same time, direct credit institutions to consolidate their financial and management capacity in order to raise their competition capacity.

- The Ministry of Planning and Investment shall take prime responsibility and coordinate with ministries, agencies and localities to actively take measures to diversify capital mobilization channels, accelerate the public-private partnership (PPP) and other investment models without using the State budget, for socio-economic development; quickly review and abrogate obstacles in terms of procedures to push the disbursement of investment capital, particularly State budget, Government bonds, official development assistance and preferential loans.

- The Ministry of Finance shall take prime responsibility and coordinate with ministries, agencies and localities to strengthen disciplines in finance-budget operations, strive to increase budget revenues while strictly controlling overspending; regularly supervise and evaluate the safety of public debts to make sure that the figures lie within safety limits.

- The Ministry of Industry and Trade shall actively exploit and expand markets, timely provide market information to orient business operations and beef up exports; take proper solutions to limit the import of unnecessary consumption items and products that can be produced domestically in order to stimulate domestic production and consumption; foster the development of domestic purchase and distribution system for farm produce; clear border gates and border crossings to facilitate exports; enhance information dissemination to popularize opportunities generated from free trade agreements and the formulation of ASEAN Community by the end of 2015.

- The Ministry of Agriculture and Rural Development shall coordinate with localities to effectively realize the Master plan for agriculture restructuring towards raising the added value and accelerating technology application in the sector, considering the market as an important factor for sustainable development; review planning schemes and timely release information regarding the orientations for crop plants and domestic animals that bring about high economic values; propose policies to encourage businesses to invest in large-scale agricultural production and strengthen links among production, processing, consumption steps; devise solutions to renovate and formulate the model that combines cooperative economics with new-style cooperatives to support large-scale agricultural production in the context of international integration; quickly construct Tan My damp to deal with drought in Ninh Thuan province; coordinate with relevant ministries, agencies and localities to enhance drought prevention and control and forest protection.

- The Ministry of Health shall direct preventive medicine facilities to stay prepared for summer diseases; continue more measures to reduce hospital overload; improve medical ethics and attitude towards patients; accelerate the application of high technologies to improve the quality of medical check-ups and treatment; coordinate with the Ministry of  Education and Training, the Ministry of Labor, Invalids and Social Affairs, the Ministry of Agriculture and Rural Development, and the Viet Nam Social Insurance to expand healthcare insurance among the citizens, striving to raise the coverage to 75% in 2015, in which 100% students and households living just above the poverty line, 50% average-income families and 100% residents living in island communes and districts join healthcare insurance; coordinate with the Viet Nam Social Insurance, relevant agencies and localities to beef up administrative procedure reform to broaden healthcare coverage; submit to the Prime Minister a plan to delegate healthcare coverage assignments to each province and city; impose strict fines against violations of healthcare insurance regulations at businesses. The Ministry of Health and the Ministry of Finance shall be assigned to design and submit to the Government the ways to assist people living just above the poverty line or average-income people to enjoy family-based deduction when joining healthcare insurance.

- The Ministry of Labor, Invalids and Social Affairs shall continue effective implementation of social security and social welfare policies, especially those to support the poor and ethnic people; and of employment policies, for rural residents and fresh graduates in particular.

- The Ministry of Education and Training, the People’s Committees of provinces and centrally-governed cities shall coordinate in directing and speeding up preparations for the national secondary school final examination in a serious, righteous and convenient manner; granting special care to students in mountainous and remote areas who have to travel a long way to the examination venues.

- The Ministry of Transport shall direct its competent units to coordinate closely with the People’s Committees of provinces and cities to speed up site clearance, resettlement and construction of the key traffic projects with committed quality and schedule; further mobilize and create favorable conditions for non-State sectors to pour investments in socio-economic infrastructure development under proper investment models; at the same time, perfect mechanisms and policies, submit to the competent agencies for approval of a project on sale, lease and operation right transfer of transport works; direct Vietnamese airlines to consider opening new direct routes to international destinations in 2015 and put forwards feasible measures to facilitate the operations of the airlines; coordinate with the Ministry of Culture, Sports and Tourism to foster the development of road tours among Viet Nam, Laos, Thailand and Cambodia; continue to work with the Ministry of Public Security, the Ministry of Industry and Trade, and the Ministry of Finance to propose ways to expand border trade exchanges between Viet Nam and China and to counter smuggling and trade fraud in this sector.

- The Ministry of National Defense, the Ministry of Public Security and the Ministry of Foreign Affairs shall coordinate in monitoring and mastering all changes while taking advantages of the international community’s support to prepare measures to promptly fight and prevent all the scenarios that may damage national defense and security in order to firmly protect the country’s sacred sovereignty over its sea and islands.

- The Ministry of Foreign Affairs shall take prime responsibility and coordinate with the Ministry of Industry and Trade to accelerate negotiations with China to open more border gates and border crossings with China in accordance with Decree No. 112/2014/ND-CP in order to facilitate the exchanges of trade in goods.

- The Government Inspectorate shall take prime responsibility and coordinate with the National Assembly, the Ministry of Public Security and relevant ministries, agencies and localities in organizing citizen receptions and handling petitions, especially during the 9th working session of the 13th National Assembly and the Party congress at all levels; coordinate with the Ministry of Natural Resources ad Environment and relevant agencies to inspect and speed up localities to focus on completely settling complicated complaint cases involving many people, land and environmental pollution.

- The Ministry of Information and Communications shall base on the conclusions by the Party Central Committee and the Politburo on the press planning and management Plan by 2025 to arrange working sessions with agencies and localities, the governing bodies of press publications that are subjected to re-arrangement under the Plan, to work out the concrete ways and roadmaps for re-arrangement, then report to the Prime Minister; simultaneously, intensify press management, especially e-magazines in line with the Plan; actively direct the dissemination of the Government’s accountability reports and statements over the issues concerned by the National Assembly deputies and voters in order to create social consensus.

- The Government agreed to transfer in whole piece the VTC Digital Television Station from the Ministry of Information and Communications to the Voice of Viet Nam; assigned the Office of Government to submit to the Prime Minister for issuance of a decision for detailed implementation of the transfer.

- Ministries, agencies and localities were assigned to focus on evaluating and reviewing performance in the first half of 2015, consider and put forward to the Government possible tasks and measures to renovate performance in the second half.

2. Regarding the collateral assets sourced from investors’ loans for Ho Chi Minh Road, segment La Son-Tuy Loan under the Build-Transfer (BT) model.

The Government agreed not to apply regulations on collateral assets sourced from the investors’ loans as stipulated in Decree 15/2011/ND-CP dated February 16, 2011 on provision and management of Government’s guarantee for the project on construction of Ho Chi Minh Road, segment La-Tuy Loan and the project on upgrading National Road No. 20 linking Dong Nai and Lam Dong provinces under BT model. The Ministry of Transport and the Ministry of Finance shall base on their competence and functions to organize the implementation.

3. Regarding the Report on the implementation of the Government’s Decree 67/2014/ND-CP dated July 7, 2014 on a number of fisheries development policies.

To continue effective realization of the above Decree, the Government agreed:

- To allow organizations and individuals to upgrade or build new logistics ships using new-materials for offshore fishing. Ships with the total main engine capacity of 400CV or over shall be subjected to the regulations of Decree 67/2014/ND-CP; provide financial assistance for designing ships with wooden and new-material shell, assign People’s Committees of coastal provinces and cities to approve and select sample designs. The Ministry of Agriculture and Rural Development shall coordinate with the Ministry of Finance to consider and report to the Prime Minister for final decision.

- To allow the extension of interest assistance for building steel and new material ships, pilot implementation of lump-sum assistance mechanism. The Ministry of Finance shall take prime responsibility and coordinate with relevant ministries and agencies to examine and put forward specific proposals, then report to the Prime Minister for decision.

- To allow second-hand ship engines to be re-used for upgrading fishing boats. The Ministry of Science and Technology shall stipulate conditions for using second-hand ship engines. The Ministry of Agriculture and Rural Development shall monitor, inspect and supervise the implementation, and provide instructions if necessary.

- The Ministry of Planning and Investment shall include the fisheries infrastructure development in the medium-term investment in the 2016-2020 in line with the Decree 67/2014/ND-CP.

4. Regarding the report on pilot implementation of price stabilization for container load and unload in Cai Mep-Thi Vai deep seaport in Ba Ria-Vung Tau province.

The Government agreed to ask the National Assembly Standing Committee to extend the pilot program to June 30, 2017. The Ministry of Transport shall be authorized by the Prime Minister and act on behalf of the Government to report the issue to the National Assembly Standing Committee.

The Ministry of Finance shall take prime responsibility and coordinate with the Ministry of Transport and relevant agencies to continue study and assessment of the pilot program. If necessary, the Ministry shall report to the Government for consideration and report to the National Assembly Standing Committee to mull over the inclusion of container load and unload service into the list of goods and services subjected to price stabilization in accordance with the Price Law.

5. Regarding some difficulties and obstacles in restructuring State-owned enterprises

To promptly address difficulties and obstacles and to speed up the progress of restructuring State-owned enterprises while pending amendments to relevant decrees, the Government agreed on the implementation of the following directions:

a) Withdrawal of State capital from equitized enterprises which have not been listed in the securities market and handed over to the State Capital Investment Company (SCIC):

- Batch divestment shall be carried out on the basis of the following principles: (1) public auction; (2) applicable to enterprises in which the State does not necessarily hold shares or controlling shares; (3) procedures for public offering is not required for batch auction.

- Public auction shall be carried out for part of the shares which are expected to issue, the rest (up to 70% of the total shares which are expected to sell) shall be sold to employees with long-term commitment to work in the equitized enterprise after divestment.

b) Enterprises whose equitization plans have already been approved by competent authorities and have not had opportunities to organize initial public offering (IPO) immediately, share price to their employees and unions shall be equivalent to 60% of the starting price under equitization plan.

c) Warranty costs of products, services and utilities from the point of business valuation to the point of official transformation into a join-stock company, shall be deducted by the equitized enterprise according to siged contract and transferred to the joint-stock company than performs the warranty under the contract.

d) Where the real value of long-term capital of the equitized enterprise in other enterprises is determined lower than the book value, the value of long-term capital shall be the real value.

dd) The valuation of capital contributed by an equitized enterprise into a joint-stock company havingshares listed on the UPCoM (Unlisted Public Company Market) which are not valid within 30 days before the date of business evaluation shall be determined in accordance with Clause 1, Article 33, Decree No. 59/2011/ND-CP dated July 18th, 2011 by the Government.

e) Within 60 working days from the time that first-time business registration certificate is granted, an equitized enterprise must complete the financial statement at the time of business registration, conduct financial statement audit, request tax finalization by tax authorities,implement the finalization, determine value of the state capital at the time of official transformation into a joint-stock company and financial issues to address.

g) Owner’ representativeshall select consultants hired to develop divestment plans. Divestment costs shall be decided by owner’ representative and deducted from the value of the state capital divested, the owner shall be responsible before the law forits decisions.

h) Continue selection of consulting organizations to calculate business values during the equitization process as stipulated in Clause 2, Article 1 of Decree No. 189/2013/ND-CP.

i) Ministers, Heads of ministerial-level agencies and Governmental bodies, Chairmen of People’s Committees of provinces and centrally-governed cities shall select consulting organizations for equitization, select auction organizations to join the equitization process of State economic groups and corporations and some companies operating in insurance, banking, telecomunicatio, etc.

k) The Ministry of Finance shall take prime responsibility and coordinate with relevant ministries and agencies to develop the Prime Minister’s draft Decision for the implementation of the above measures, then submit it to the Prime Minisrer for issuance in June 2015; review, evaluate and amend Decree No. 59/2011/ND-CP; Decree No. 189/2013/ND-CP, and Decree No. 71/2013/ND-CP, and submit them to the Government for issuance in 2016.

6. Regarding measures to ease difficulties against tourism sector

a) For expansion of visa exemption

The Government agreed on the expansion of time-limit visa exemption in accordance with laws in order to foster tourism development in combination with national defense and security protection; at the same time, asked competent agencies to beef up visa procedure simplification and visa granting at border gates and e-visa.

The Ministry of Public Security shall take prime responsibility and coordinate with the Ministry of Culture, Sports and Tourism, the Ministry of Foreign Affairs, and relevant ministries, agencies and localities to review the regulations on management of foreign arrivals entering Viet Nam through land border gates for amendments or issuance of these regulations in accordance with the Law on entry, exit, transit and residence of foreigners in Viet Nam.

b) Regarding the formulation of tourism development fund

The Government agreed on the establishment of the Viet Nam tourism development Fund to strengthen the mobilization of resources for tourism promotion, workforce training, tourism product development, and coping with issues emerging from tourism activities. The Ministry of Culture, Sports and Tourism shall take prime responsibility ad coordinate with the Ministry of Finance and relevant agencies to finalize the Project on establishing the fund, then submit it to the Prime Minister for consideration and decision in 2015.

c) The Ministry of Culture, Sports and Tourism shall continue implementation of the tasks figured out in Resolution No. 92/NQ-CP dated December 8, 2014 and Resolution No. 33/NQ-CP dated April 30, 2014; take prime responsibility and coordinate with the Office of Government, relevant ministries, agencies and localities to design the draft instruction on urgent tasks and measures to overcome shortcomings and weaknesses of the tourism sector, then submit it to the Prime Minister for signing in June 2015.

7. Regarding the Decree which stipulates higher retirement ages for cadres and civil servants. The Ministry of Home Affairs shall take prime responsibility and coordinate with the Ministry of Justice, the Office of Government to collect the Cabinet members’ comments on, then finalize the draft Decree before submitting to the Prime Minister for signature.

8. Regarding the Government’s draft Resolution on accelerating measures to counter smuggling, trade fraud and fake goods

The Ministry of Finance shall take prime responsibility and coordinate with the Ministry of Public Security, the Ministry of Justice, the Office of Government and relevant agencies to quickly collect the Cabinet members’ comments on the draft resolution, then finalize and submit it to the Prime Minster for signature.

9. Regarding the Viet Nam Maritime Code (revised)

The Ministry of Transport shall take prime responsibility and coordinate with the Ministry of Justice, the Office of Government and relevant agencies to collect the Cabinet members’ comments on, correct and finalize the amendments to the Law. The Minister of Transport shall be authorized by the Prime Minister, act on behalf of the Government to submit the bill to the National Assembly./.

ON BEHALF OF THE GOVERNMENT
PRIME MINISTER
(Signed)

 

Nguyen Tan Dung

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