30% Reduction in Land Rent for Enterprises in Industrial Parks and Technology Incubators
On the afternoon of May 12, the Standing Committee of the Economic and Financial Committee held the 2nd Plenary Session to review the draft Resolution of the National Assembly on a number of specific mechanisms and policies for private economic development.
Presenting the Draft Report, Deputy Minister of Finance Nguyen Duc Tam said that the Draft institutionalizes 5 major policy groups, namely: Improving the business environment; supporting access to land resources, production and business premises; supporting finance, credit and public procurement; supporting science, technology, innovation, digital transformation and human resource training, supporting the formation of medium and large enterprises, and pioneering enterprises.
Regarding specific content, the Draft stipulates some quantitative contents, such as high-tech enterprises in the private economic sector, small and medium enterprises, and innovative startups are supported to reduce at least 30% of land rental fees within the first 5 years from the date of signing the land rental contract with the investor in the infrastructure business of industrial parks, industrial clusters, and technology incubators. This land rental support is refunded by the State to the investor according to the Government’s regulations.
Based on the actual situation, the Provincial People’s Committee determines the land fund for each industrial park and industrial cluster to ensure an average of at least 20 hectares/zone, industrial cluster or 5% of the total land fund invested in infrastructure for high-tech enterprises in the private economic sector, small and medium enterprises, and innovative startups to rent.
the Draft also stipulates that enterprises in the private economic sector, business households, and individual businesses are supported with an interest rate of 2%/year when borrowing capital to implement green, circular projects and apply the environmental, social, and governance (ESG) standards framework.
