Amendments will impact foreign investors
Law on Land No. 45/2013/QH13 (“new Land Law”) came into effect on 1 July. Some notable points include:
user (rather than being generally referred to as “foreign
organisations and individuals” as previously). FIEs are now defined as
comprising: 100% foreign owned enterprises, joint venture enterprises and
Vietnamese enterprises in which foreign investor(s) purchase shares, or with
which it merges or which it acquires. This clearer definition of FIE corrects
the previous inconsistency between land laws and other laws, especially the Law on Investment, and should
remove some of the confusion in implementation of land laws.
where FIEs can be allocated and lease land.
The State may allocate or lease land to FIEs via auction of land use
rights, e.g. for investment in construction of residential housing for sale,
lease or hire-purchase, or for investment in construction of infrastructure for
transfer or lease.•