Eligibility requirements for assistance policies from the State for artels, cooperatives, and cooperative unions in Vietnam from November 01, 2024

Eligibility requirements for assistance policies from the State for artels, cooperatives, and cooperative unions in Vietnam from November 01, 2024(Image from the Internet)

Eligibility requirements for assistance policies from the State for artels, cooperatives, and cooperative unions in Vietnam from November 01, 2024

Article 16 of Decree 113/2024/ND-CP stipulates the eligibility requirements for assistance policies from the State for artels, cooperatives, and cooperative unions in Vietnam from November 01, 2024:

(1) Cooperatives, cooperative unions in Vietnam are considered for state assistance policies when meeting the following criteria:

- Criteria as stipulated in point a, clause 1, Article 18 of the Cooperative Law 2023;

- Meeting one of the following criteria at the time of submitting the application for support:

+ Increase in the number of members over 2 consecutive years immediately preceding the year of application;

+ Increase in the rate of internal transaction value in the year immediately preceding the year of application;

+ Proportion of unallocated common fund higher than the minimum level stipulated in Article 84 of the Cooperative Law 2023 in the year immediately preceding the year of application;

+ Increase in the value of unallocated common assets in the year immediately preceding the year of application;

+ At least 5% of the total number of members or employees participated in education, training, dissemination, fostering, or training courses organized by the cooperative, cooperative union itself or by other agencies, organizations, and have been certified or listed with the cooperative, cooperative union's stamp (for courses organized by the cooperative, cooperative union itself, the cooperative, cooperative union must have a course plan, course content, and a list of participants signed by the attendees) up to the year immediately preceding the year of application;

+ Established not more than 36 months in areas with socio-economic difficulties or special socio-economic difficulties as per the investment law by the time of application;

- In case a cooperative, cooperative union applies for support from the state budget with a value of 3 billion VND or more, it must have the financial report of the immediately preceding year audited by an independent auditing organization at the time of the application.

(2) Artels in Vietnam are considered for state assistance policies when meeting the following criteria:

- Criteria as stipulated in point a, clause 2, Article 18 of the Cooperative Law 2023;

- Criteria as stipulated in point b, clause 2, Article 18 of the Cooperative Law 2023;

- Meeting one of the following criteria at the time of submitting the application for support:

+ Increase in the number of members over 2 consecutive years immediately preceding the year of application;

+ At least 5% of the total number of members or employees participated in education, training, dissemination, fostering, or training courses organized by the cooperative group itself or by other agencies, organizations, and have been certified or listed with the cooperative group's confirmation (for courses organized by the cooperative group itself, the cooperative group must have a course plan, course content, and a list of participants signed by the attendees) up to the year immediately preceding the year of application;

+ Established not more than 36 months in areas with socio-economic difficulties or special socio-economic difficulties as per the investment law by the time of application.

(3) In case multiple artels, cooperatives, and cooperative unions in Vietnam simultaneously meet the conditions specified in (1) and (2), the selection criteria shall be prioritized in the following order:

- Greater number of members;

- Greater number of disabled members;

- Greater number of ethnic minority members;

- Greater number of members or employees participating in mandatory and voluntary social insurance;

- Having women in management, greater number of female members, or employing more female workers;

- Operating in areas with socio-economic difficulties or special socio-economic difficulties as per the law;

- Participating in value chain linkage, industry clusters, associated with green economy, circular economy, knowledge economy, organic agriculture, climate change adaptation, digital transformation for sustainable development;

- Organizing or participating in community-benefit activities.

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