Are business households in Vietnam allowed to carry out overseas investment activities?
Are business households in Vietnam allowed to carry out overseas investment activities? I am the business household owner, I want to know if the business household is allowed to carry out investment activities abroad? What forms of overseas investment are there in Vietnam?
Are business households in Vietnam allowed to carry out overseas investment activities?
Pursuant to Article 68 of Decree 31/2021/ND-CP, there are regulations on investors carrying out investment activities abroad as follows:
1. Enterprises established and operating under the Law on Enterprises and Law on Investment.
2. Cooperatives and cooperative unions established and operating under the Law on Cooperatives.
3. Credit institutions established and operating under the Law on Credit Institutions.
4. Household businesses registered under Vietnam’s laws.
5. Individuals holding Vietnamese nationality, except for the case specified in Clause 2 Article 17 of the Law on Enterprises.
6. Other organizations making business investment as prescribed by Vietnam’s law.
According to this Article, if the business household is established in accordance with the law of Vietnam, it may carry out overseas investment activities.
What forms of overseas investment are there in Vietnam?
Pursuant to Article 52 of the Investment Law 2020 , there are provisions on the form of investment abroad as follows:
1. Investors shall carry out outward investment activities in the following forms:
a) Establishment of a business organization in accordance with the law of the host country;
b) Making investment on the basis of an overseas contract;
c) Contribution of capital to, purchase of shares or stakes of an overseas business organization to participate in management of such business organization;
d) Trading in securities, other financial instruments, or making investment via securities investment funds and other intermediary financial institutions in a foreign country;
dd) Other forms of investment prescribed by law of the host country.
2. The Government shall elaborate the forms of investment mentioned in Point d Clause 1 of this Article.
Best Regards!
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