Decree No. 31/2021/ND-CP dated March 26th, 2021 of the Government on elaborate some articles of the Law on Investment

This Decree promulgates the following new Lists:

- The list of business lines with prohibited and restricted market access (Negative List for market access) (Appendix I)

- List of business lines eligible for investment incentives (Appendix II)

- List of areas eligible for investment incentives (Appendix III)

Accordingly, foreign investors are prohibited from investing in theses business lines: guest worker services; merchanting trade of goods; temporary import for re-export of goods; services that involve inspection (inspection and testing) and issuance of certificates to vehicles; manufacture of weapons; manufacture, supply of public services, goods or goods and services under state monopoly; public postal services; press activities, catching or harvesting marine life, etc.

With regard to these business lines: Insurance; banking; securities trading; advertising services; transportation; real estate business; tourism services; audit, accounting and tax services, etc., they must meet business conditions as prescribed.

According to this Decree, in case foreign investors simultaneously engage in various conditional business lines, they have to meet all conditions of such business lines.

In addition, at Clause 10 Article 17 also regulates in details how to calculate holdings in case multiple foreign investors that apply different holding ratios contribute capital to only one enterprise or a foreign investor that contributes capital to an enterprise engaging in various business lines, apply different holding ratios

This Decree takes effect from the date of its signing.

To replace Decree No. 118/2015/ND-CP dated November 12th, 2015, Decree No. 37/2020/ND-CP dated March 30th, 2020, Decree No. 83/2015/ND-CP dated September 25th, 2015, Decree No. 104/2007/ND-CP dated June 14th, 2007, No. 69/2016/ND-CP dated July 1st, 2016, No. 79/2016/ND-CP dated July 1st, 2016 and Article 2 of Decree No. 100/2018/ND-CP dated July 16th, 2018.

Amending, supplementing to these Decrees: Decree No. 46/2014/ND-CP dated May 15th, 2014, Decree No. 52/2020/ND-CP dated April 27th, 2020, Decree No. 25/2020/ND-CP dated February 28th, 2020, Decree No. 96/2016/ND-CP dated July 1st, 2016, Decree No. 82/2018/ND-CP dated May 22nd, 2018, Decree No. 11/2013/ND-CP dated January 14th, 2013, Decree No. 99/2003/ND-CP dated August 28th, 2003, Decree No. 94/2020/ND-CP dated August 21st, 2020.