Regulations govern investment supervision, evaluation

by investor 111 views Nguồn: PLF – LAW FIRM0

Investors are obliged to implement a regime of investment supervision and evaluation and report to the competent investment authorities, while implementing projects in Viet Nam.


As per Decree No 84/2015/ND-CP (Decree No 84), dated September 30, 2015, investors are responsible for supervising, evaluating and reporting to the investment registration authority so that it can monitor and inspect the progress of investment projects.

In addition, not only must the investors establish an internal information system and sufficiently collect and store information, data, records and documents, besides vouchers of the project, they are also required to report on the contractors involved in the management of the said project.

During the course of investment project implementation in Viet Nam, the investment registration authority shall depend on reports from investors to monitor whether the project’s progress follows the registered content. The management authority will thereby inspect and supervise the investors’ activities to provide specific guidance to enterprises.

As for problems beyond their authority, the investment registration agency, on behalf of the investors, shall propose solutions to their superiors regarding the difficulties the investors are facing.

1. The content of investment supervision and evaluation

According to Article 34 of Decree No 84, investors need to independently organise project supervision and inspection and report the following content:

– Procedures of requesting for investment policy decision and issuance of investment registration certificate and business registration certificate (if any);

– Progress of project implementation and of the project’s objectives;

– Progress of contribution of investment capital, charter capital and legal capital (with regard to conditional investment sectors);

– Exploitation and operation of the project, including: results of business and investment activities; information on labour; national budget submission; and investment on research and development; besides the financial situation of the enterprise; and specialised criteria according to the areas of activities of each project;

– Implementation of requirements regarding environmental protection, usage of land and mineral resources as provided for by law;

– Implementation of regulations stated in the investment policy decision and investment registration certificate (if any);

– Compliance with business and investment conditions applied to projects of conditional investment sectors;

– Status of investment incentive implementation (if any).

2. Report regime of investment supervision and evaluation

Decree No 84 details the report regime of investment supervision and evaluation of investors, specifically as follows:

– Periodic supervision and evaluation report: biannually and annually;

– Final evaluation report (if any);

– Supervision and evaluation report before commencing the project (for projects not subject to an investment registration certificate);

– Supervision and evaluation report before exploiting and operating the project (for projects not subject to an investment registration certificate).

Accordingly, the deadlines by which investors should send reports to the investment registration authority are:

– 15 days before commencing the project;

– Before adjusting the programme and project;

– 15 days before exploiting and operating the project;

– Quarterly report: Before the 10th of the first month of the following quarter;

– Biannual report: Before July 10 of the reporting year;

– Annual report: Before October 2 of the following year.

3. Investment supervision and evaluation form

In accordance with Circular No 22/2015/TT-BKHDT, the specific forms for the supervision and evaluation report of investors consist of:

– Form no.11 – Supervision and evaluation report before commencing the project (for projects not subject to an investment registration certificate);

– Form no.12 – Biannual and annual supervision and evaluation report on the implementation status of the investment project;

– Form no. 13 – Final supervision and evaluation report (for projects not subject to an investment registration certificate);

– Form no. 14 – Biannual or annual/periodic supervision and evaluation report during the stage of exploitation and operation.

Currently, after completing the investment licensing procedures, investors often fail to submit reports to the management authority, which makes it impractical for relevant authorities to promptly provide supportive solutions when an enterprise or an investor’s project experiences difficulties. This also resulted in the recent dissolution and bankruptcy of small and medium-sized enterprises and investment projects.

Furthermore, depending on the nature and severity of the violations, not only shall investors be disciplined and punished for administrative violations, or prosecuted for criminal liability, they might also have to give compensation if they fail to submit reports or provide false reports regarding the status of the investment.

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