HCMC pledges to speed up business licensing

Ho Chi Minh City has pledged to speed up the issuance of business licenses in cases where ministerial authorities have delayed the process, said mayor Phan Van Mai.

Mai made the statement at a Wednesday roundtable meeting between municipal authorities and 25 foreign business associations in the city. He clarified that HCMC's Department of Industry and Trade would consider the Ministry of Industry and Trade’s no response as a yes and then issue licenses to businesses.

EuroCham chairman Alain Cany emphasized that tourism is a key sector for HCMC's economic growth and the city should grant a 30-day visa exemption policy for all European citizens.

He added that many visitors have negative experiences at Tan Son Nhat Airport, such as long waiting times and no priority lines for passengers that buy business class tickets. He also noted easier procedures for work permits would help attract more experts to help HCMC's growth.

Replying to EuroCham’s suggestions, HCMC’s labor authorities said it had already quickened up the progress from 14 to seven days, and even one day in special cases. Mai suggested it should be lowered to three days at most.

In response to suggestions regarding infrastructure, the mayor said HCMC is looking to invest 50-70% of its budget in traffic infrastructure in both short and long-terms. He added that the National Assembly, Vietnam's highest legislative body, is scheduled to vote on a distinct mechanism for HCMC this May. Upon approval, the resolution will facilitate infrastructure development, including its metro system, and grant more autonomy to HCMC.

Tran Quang Lam, head of HCMC’s Department of Transport, said the city has plans to improve traffic infrastructure and regional connections, such as the Metro Line No.1 in 2024 and the second in 2030, along with the establishment of public transport to support the Metro No.1, the completion of Ring Road 3 in 2026 and Ring Road 4 in 2030, and construction of a third terminal at Tan Son Nhat International Airport with links to Long Thanh International Airport in Dong Nai province and relevant expressways, among others.

At the event, John Rockhold, chairman of AmCham in Hanoi, delivered eight recommendations.

First, HCMC should improve the investment environment, such as boosting digitalization in public administration, improving capacities of local firms to further join the global supply chain, making tax adjustments in line with the Global Minimum Tax mechanism, and applying global accounting standards.

Second, the city must upgrade the environment, particularly noise and air pollution, healthcare, pavements, and public transport.

Third, improving education, localization of the supply chain, investment in logistics and transport infrastructure, and transition to green energy.

Fourth, investment in transport infrastructure is essential to sustainable growth, including the manufacturing and tourism sectors.

Fifth, HCMC should grasp opportunities from digitalization to attract innovative startups.

Sixth, the southern economic hub should focus more on training to build a strong workforce.

Seventh, the metropolis should renovate its capital market and establish a regional financial hub, which will become an international one in future.

Eighth, authorities should further simplify policies on visas and work permits for businesspeople.