Policies for investment in infrastructure construction and business in hi-tech parks in Vietnam as of March 25, 2024

Policies for investment in infrastructure construction and business in hi-tech parks in Vietnam as of March 25, 2024 (Internet image) 

On February 1, 2024, the Government issued Decree 10/2024/ND-CP regulating hi-tech parks in Vietnam

Policies for investment in infrastructure construction and business in hi-tech parks in Vietnam as of March 25, 2024

Pursuant to Article 23 of Decree 10/2024/ND-CP, which stipulates the policies for investment in infrastructure construction and business in hi-tech parks in Vietnam:

- Investment in hi-tech park infrastructure construction and business shall be carried out for the whole system of technical infrastructures of the hi-tech park (in case the state budget does not invest in the construction of the system of technical infrastructures of the hi-tech park) or parts of the system of technical infrastructures of the hi-tech park (in case the state budget invests in the partly construction of the system of technical infrastructures of the hi-tech park).

- Regarding a project on investment in infrastructure construction and business at a hi-tech park with its construction of the system of technical infrastructures partly invested in by the state budget:

(1) Regarding the land area for the construction of the system of technical infrastructures and public-use land according to the approved subdivision construction planning for the area of the project on investment in infrastructure business, the Management Board of the hi-tech park shall lease land to infrastructure investors for investment in the construction of the system of technical infrastructures and public-use areas. Infrastructure investors may lease out infrastructures invested in by them to business and construction investors within the area of the project on investment in infrastructure business after completing the consistent construction according to stages of the approved investment project;

(2) Regarding the area for projects on investment in production and business in the area of the project on investment in infrastructure business (excluding the land area prescribed in (1)), the Management Board of the hi-tech park shall, based on the progress of the investment in technical infrastructure construction and the plan to attract investment, allocate land to infrastructure investors to carry out the site preparation or construction of factories, offices, and warehouses for lease. After the completion of the site preparation or construction of factories, offices, and warehouses, infrastructure investors shall hand over the land to the Management Board of the hi-tech park.

Infrastructure investors may lease out the invested system of technical infrastructures, factories, offices, and warehouses to other investors within the scope of the project on investment in infrastructure business and collect fees for the use of infrastructures as prescribed in Clause 7 Article 21 of Decree 10/2024/ND-CP, costs of site preparation (if any), rental or purchase prices of factories, offices, and warehouses from other investors and other amounts as per regulation (if any);

+ If infrastructure investors invest in the construction of factories, offices, and warehouses for lease, they shall be issued with certificates of ownership of factories on the land according to land laws regarding cases where owners of construction works are not land users and may lease out factories under laws;

+ If infrastructure investors voluntarily advance money to carry out compensation or site clearance according to the scheme approved by the competent state authority regarding the land area prescribed in (1), they may include the advanced amounts in the project investments.

If infrastructure investors advance money to carry out compensation or site clearance for the land area leased by the State to the investors according to (2), investors shall pay infrastructure investors the amount advanced for compensation or site clearance by the infrastructure investors according to the scheme approved by the competent authority; the paid amount shall be deducted from the refund of compensation or site clearance or land rental that investors must pay to the State.

- Regarding a project on investment in infrastructure construction and business at a hi-tech park with its construction of the system of technical infrastructures not invested in by the state budget:

+ Infrastructure investors shall receive land leased by the State for the implementation of the project on investment in technical infrastructure construction and business of the hi-tech park; 

+ Infrastructure investors may sublease the land with a constructed system of technical infrastructures and offices, factories, and warehouses according to investment, construction, land, and real estate business laws and relevant laws;

+ Regarding investment projects subject to principles and criteria prescribed in Article 28 or Article 35 of Decree 10/2024/ND-CP, infrastructure investors shall sublease the land with a constructed system of technical infrastructures and offices, factories, and warehouses after the Management Board issues a document confirming that investment projects satisfy the hi-tech operation principle according to Clause 4 Article 19 and Article 26 of Decree 10/2024/ND-CP;

More details can be found in Decree 10/2024/ND-CP, which comes into force from March 25, 2024.

The following Decrees and regulations cease to be effective from the effective date of Decree 10/2024/ND-CP:

- Decree 99/2003/ND-CP promulgating the regulation on High-Tech Parks;

- Article 112 of Decree 31/2021/ND-CP detailing and guiding the implementation of a number of articles of the Law on Investment 2020.

To Quoc Trinh

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