04 things to know about the Fund for prevention of tobacco harms in Vietnam

04 things to know about the Fund for prevention of tobacco harms in Vietnam (Source: Internet)

1. What is the fund for prevention of tobacco harms?

According to Clause 1, Article 28 of the Law on Tobacco harm prevention 2012, The fund for prevention of tobacco harms (below referred to as the fund) is a national fund placed under the Ministry of Health and under the financial state management of the Ministry of Finance. The fund is a state-run financial institution having the legal person status and own seal and account.

Specifically, The fund is managed by an inter-sectoral management council, which is composed of the President, vice President and members: 

- The Council's President is the Minister of Health,

- The Vice President is a leader of the Ministry of Finance,

- The members are representatives of the leaderships of the Ministry of Industry and Trade, the Ministry of Education and Training, the Ministry of Information and Communications and representatives of other related agencies, organizations and individuals.

(Clause 1, Article 28 of the Law on Tobacco harm prevention 2012)

2. Purpose and tasks of the fund for prevention of tobacco harms in Vietnam

The fund shall operate on a not-for-profit basis with the function to mobilize, provide and coordinate its financial resources for the prevention of tobacco harms nationwide.

The fund shall support the following activities:

- Communication on tobacco harms and the prevention of tobacco harms suitable to each target group;

- Building and developing pilot models of tobacco smoke-free communities, agencies and organizations; developing and widely expanding effective models;

- Organizing community-based campaigns and initiatives on prevention of tobacco harms; providing consultancy on organization of separate smoking areas in public places;

- Organizing smoking cessation;

- Building pilot models of community-based smoking cessation and developing and widely expanding effective models;

- Conducting research to produce evidence for the prevention of tobacco harms;

- Developing, supporting and raising capacity for the network of collaborators on prevention of tobacco harms;

- Developing contents and introducing education about tobacco harms and prevention of tobacco harms into the educational programs suitable to each educational level;

- Applying measures to help tobacco growers, tobacco ingredient processors and tobacco manufacturing workers change their occupations.

(Article 29 of Law on Tobacco harm prevention 2012)

3. Sources of the fund for prevention of tobacco harms in Vietnam

Specifically, in Clause 1, Article 30 of the Law on Tobacco harm prevention 2012, the fund is established from the following sources:

- Compulsory contributions of tobacco manufacturers and importers, which are calculated in a percentage of the excise tax-liable prices according to the following roadmap: 1% from May 1, 2013; 1.5% from May 1,2016; and 2% from May 1,2019.

These compulsory contributions must be declared and paid together with excise tax, and be declared, assessed and paid into the fund's account by tobacco manufacturers or importers;

- Donations and voluntary contributions of agencies, organizations and individuals at home and abroad;

- Other lawful revenues.

4. Principles of using the fund for prevention of tobacco harms in Vietnam

According to Clause 2, Article 30 of the Law on Tobacco harm prevention 2012, the fund is used on the following principles:

- The fund is used only for the tasks specified in Clause 2, Article 29 and Point f of Clause 2 of Article 30 of the Law on Tobacco harm prevention 2012;

- The expenditures of the Fund are based on its annual plans of activities, short-term and long-term programs and strategies and priority objectives for each period, as approved by the Inter-Sector Management Council;

- The fund is audited annually in accordance with law;

- Openness and transparency;

- Assured effective use of its financial sources;

- The administrative costs comply with regulations of the Prime Minister of Vietnam.

Thanh Rin

>> CLICK HERE TO READ THIS ARTICLE IN VIETNAMESE