On September 16, 2023, at Pullman Saigon Center Hotel, Viglacera Corporation – JSC (VGC) was officially honored in the category of “Top 50 Most Effective Business Companies in Vietnam 2023”

The “50 Most Effective Business Companies in Vietnam” (TOP 50) ranking is a valuable and prestigious ranking compiled by Nhip Cau Dau Tu Magazine with consultation from economic and business experts from Harvard University to search and honor effective business companies in the Vietnamese stock market.

Viglacera Corporation (VGC) respectively achieved a 13.0% compound annual growth rate (CAGR), 15.0% return on equity (ROE) and 115.0% return on stock (Stock Return).

TOP 50 is implemented on the basis of measuring business results of companies for 3 consecutive years, based on 3 growth indicators: revenue, return on equity (ROE) and return on shares. Measurement results aim to objectively evaluate the enterprise’s management capacity.

Certificate of “Top 50 most effective business companies in Vietnam” 2023 of Viglacera

Based on the above evaluation criteria, Viglacera Corporation (VGC) respectively achieved a 13.0% compound annual growth rate (CAGR), 15.0% return on equity (ROE) and 115.0% return on stock (Stock Return).

Viglacera’s representative received the certificate of “Top 50 most effective business companies in Vietnam” 2023

Viglacera, with more than half a century of operation, has continuously researched and developed green building materials. The company understands the importance of building sustainability through environmentally friendly products. Proud to apply modern and advanced production technologies in the Vietnamese market, Viglacera meets strict standards in strategic markets such as the US, Europe and many other countries.

Currently, Viglacera’s products have reached more than 40 countries and territories worldwide. With its current orientation, using advanced production technologies and nearly 100% recyclability, Viglacera is committed to strongly contributing to efforts to reduce carbon emissions and working towards the Net Zero goal by 2050.

2023, a year full of turmoil, witnesses many challenges from the business environment and macro management policies. Despite facing many difficulties, Viglacera still stands firm, proving its sustainability and pioneering position in the construction materials industry. As of August 2023, the accumulated consolidated profit of the Corporation in the first 8 months of the year reached 121% of the yearly plan; the parent company’s profit alone reached 143% of the August plan and the cumulative first 8 months of the year reached 117% of the 2023 plan.

The development of a law on IPs and EZs became pressing to improve the legal framework and ensure consistency in policies to create a favourable investment climate and promote production and business.

The Ministry of Planning and Investment is seeking public comments for a draft law on industrial parks (IPs) and economic zones (EZs) to create breakthroughs for the development of IPs and EZs in the context that Vietnam aims to increase high-quality investment.

The ministry said after 30 years of development, IPs and EZs have contributed significantly to the socio-economic development of Việt Nam and the country’s industrialisation and modernisation as well as creating jobs, improving human resource quality and increasing productivity.

However, there have been a number of problems arising during the development of IPs and EZs, the ministry said.

The ministry pointed out that limitations in planning and capital attraction, coupled with slow renovation of IP and EZ models, failed to meet requirements.

Linkages between IPs and EZs and with outside areas remains limited while the development of IPs and EZs has lacked sustainability and balance in economic, environmental, and social development. In addition, land use efficiency has remained low, the ministry said.

The limitations were caused by a number of reasons, one of which was an incomplete institution and legal framework related to IPs and EZs. The IPs and EZs need breakthrough developments to set a new development direction, the ministry said.

According to the ministry, the legal framework regulating the operation of IPs and EZs has not seen fundamental changes. Vietnam only has a decree on managing IPs and EZs while the operation of IPs and EZs relates to many other sectors, including planning, investment, enterprise, land, construction, environment, housing, and labour.

This is causing a lot of difficulty in the development of IPs and EZs towards new models, the ministry said.

The investment incentives and support policies of Việt Nam in general and of IPs and EZs in particular are not effective enough to direct investment flow, the ministry said.

The existing investment incentives for IPs and EZs have not taken into account the specific development conditions of each zone and there is no distinction between manufacturing and service sectors.

There is also a lack of policies to promote linkages of projects in IPs and EZs, which made it difficult to attract investment in IPs and EZs in localities with difficult socio-economic conditions, encourage the foundation of specialised zones or linkages among projects to establish value chains.

The inconsistencies in IPs and EZs policies also cause investors to hesitate to increase their investments.

The development of a law on IPs and EZs becomes pressing to improve the legal framework and ensure consistency in policies to create a favourable investment climate and promote production and business.

Under the draft, the ministry proposed six group of policies, including development orientations of IPs and EZs in line with regional and provincial planning, infrastructure, incentives for IPs and EZs in localities with difficult socio-economic conditions and incentives for projects which contributed to promotinge industry linkages, the promotion of new IP and EZ models, and incentives to enterprises and State management.

The draft law is expected to be submitted to the 15th National Assembly for consideration at the sixth meeting in October 2023 and passed at the seventh meeting in May 2024.

Source: https://baochinhphu.vn

The Ministry of Planning and Investment (MPI) has proposed measures to support investment in hi-tech fields amid the global minimum tax regime.

MPI has consulted with the Ministry of Justice (MOJ) on a resolution on pilot policies to support investment in hi-tech fields. MPI has submitted to the government a draft National Assembly resolution on investment encouragement policies with simplified procedures.

MPI said that changes in supplementing investment incentives forms and encouraging new investments in hi-tech fields amid the global minimum tax is a must to ensure the competitiveness and attractiveness of Vietnam as an investment environment.

The ministry has proposed an investment encouragement policy on a trial basis for four groups of enterprises.

First, enterprises running projects with investment capital of over VND12 trillion, or enterprises with turnover of VND20 trillion a year in hi-tech manufacturing fields.
Second, hi-tech firms that have investment projects capitalized at over VND12 trillion or annual turnover of over VND20 trillion.
Third, projects utilizing high technology with investment capital of over VND12 trillion or annual turnover of over VND20 trillion.
Fourth, projects on research and development centers capitalized at over VND3 trillion.

The draft resolution mentions four forms of investment incentives, including: supporting training and development of human resources; giving financial support to create fixed assets and social infrastructure; giving financial support for manufacturing hi-tech products; and supporting research and development.

Regarding investment support methods, the compilation agency suggested that investment support should be deducted from enterprises’ corporate income tax obligations, or come directly from the state budget.

The funds to implement the investment support policy will be included in the annual state budget.

MPI said that the measures follow OECD’s (the Organisation for Economic Co-operation and Development) recommendations on creating policies amid the global minimum tax application.

These are investment support measures being applied by other regional countries. In Vietnam, this support still has not been legalized.

The resolution would be valid for five years, starting January 1, 2024. During the time of implementation, in case the Investment Law, the State Budget Law and other related laws are amended, the new regulations will be implemented.

Vietnam wants to apply the global minimum tax from 2024 and to facilitate enterprises to pay additional tax in Vietnam.

Source: https://baochinhphu.vn