Conditions and procedures for transfer of investment projects in Vietnam
What are regulations on conditions and procedures for transfer of investment projects in Vietnam? My business has an investment project but due to financial difficulties, I want to transfer it, so what are the conditions to be transferred investment project? What is the transfer procedure like?
Conditions for transfer of investment projects in Vietnam
Pursuant to Clause 1, Article 46 of the Investment Law 2020, an investor has the right to transfer all or part of an investment project to another investor when satisfying the following conditions:
1. An investor is entitled to transfer part or whole of the investment project to another investor when the following conditions are satisfied:
a) The investment project or the part of the investment project which is transferred has not been terminated in accordance with Clauses 1 and 2 Article 48 of this Law;
b) The foreign investor receiving the investment project or part of the investment project must satisfy the conditions set out in Clause 2 Article 24 of this Law;
c) The conditions set forth the law on land are complied with if the transfer of an investment project is associated with transfer of the land use rights/assets on land;
d) The conditions set forth in the laws on residential housing and on real estate business are complied with in the case of transfer of a residential housing construction project or real estate project are complied with;
dd) The conditions set forth in the written approval for investment guidelines or the investment registration certificate or in accordance with other relevant regulations of law (if any) are complied with;
e) Upon transfer of an investment project, in addition to compliance with this Article, the state-owned enterprise shall comply with the Law on Management and Use of State Capital Invested in Manufacturing and Business Activities of Enterprises before making any adjustment to the investment project.
According to this Article, your business must meet the above conditions to be transferred part or all of the investment project in Vietnam.
Procedures for transfer of investment projects in Vietnam
Pursuant to Clause 2 of this Article, the procedures for transfer of investment projects are as follows:
2. If the conditions for transfer set forth in Clause 1 of this Article are satisfied, the investor shall follow the procedures for transferring the entire investment project in part or in full as follows:
a) In the case of an investment project in which the investor has been approved in accordance with Article 29 of this Law and the investment project has been issued with an investment registration certificate, the investor shall follow procedures for adjusting the investment project as prescribed in Article 41 of this Law;
b) For an investment project other than that prescribed in Point a of this Clause, the transfer of the investment project or transfer of asset ownership to the investor receiving the investment project shall be carried out in accordance with the civil law, the law on enterprises, the law on real estate business and other regulations of law.
Best Regards!
