Investment Incentives for SMEs
15 May 2020
As the outbreak of COVID-19 hampers business activity, Vietnam introduced Decree No. 37/2020/ND-CP (Decree 37) on 30 March 2020 to update the list of sectors and industries access to investment incentives under Decree 118/2015/ND-CP. The move underlines the government’s efforts to support businesses and particularly small and medium-sized enterprises (SMEs) affected by COVID-19. Decree 37 will take effect on 15 May 2020.
The regulation expands the list of business lines eligible for investment incentives. It includes four types of SME business lines as follows:
- Small and mediums sized enterprises (SMEs) supply chains;
- Business incubators for SMEs,
- Technical support facilities for SMEs; and
- Co-working spaces of SMEs.
The aforementioned businesses will be eligible for import duty exemptions on fixed assets as well as other exemptions based on location.
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Type:
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Promotion and facilitation (Investment incentives)
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Industry:
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