Another concern is the implementation of the economic needs test (ENT). According to EuroCham, the ENT remains a barrier to investment, despite Vietnam’s official opening of distribution services since January 1, 2009. However, over the last two years foreign investors have complained that the establishment of 100 per cent, foreign-owned capital companies in the distribution sector remains subject to unpredictable and discretionary decisions by the authorities. Currently the MUTRAP team is drafting a decree on retail services. EuroCham has already commented on that draft and is currently gathering more input from the businesses. It remarks in the Whitebook that the definitions of wholesale and retail services as well as the criteria for applying the ENT needs to be further specified. … [Read more...] about EuroCham calls for change
