Procedures for notification of investment activities abroad

Article overview

Notification of investment activities abroad is an important step to ensure legality and transparency for investors when expanding operations into the international market. Complying with this procedure helps investors protect their rights, minimize legal risks and access preferential policies from the government. The article below will provide detailed instructions on this procedure.

Procedure of notification of investment activities abroad
Procedure of notification of investment activities abroad

In what ways can Vietnamese people invest abroad?

Pursuant to Article 52 of the Law on Investment 2020, Vietnamese people can invest abroad through the following forms:

  • Establish an economic organization according to the law in the country receiving investment;
  • Investing abroad in the form of contracts;
  • Participate in the management of economic organizations abroad through capital contribution, share purchase, or capital contribution
  • Buy and sell securities, valuable papers or invest in information on investment securities and other intermediary financial institutions abroad
  • Implement other forms of investment according to the provisions of the law of the country receiving investment.

Each form of investment has its own characteristics and legal requirements. Investors need to consider carefully to choose the form that suits their goals and abilities. Compliance with the laws of Vietnam and the host country is a key factor to ensure effective and sustainable investment activities.

Do investors need to carry out notification procedures when investing abroad?

According to the provisions of Article 73 of the Investment Law 2020, investors are required to carry out notification procedures when conducting investment activities abroad. Specifically:

Within 60 days from the date the investment project is approved or licensed according to the law of the host country, the investor must send a written notice of the implementation of investment activities in the host country. outside.

This notice must be accompanied by a copy of the investment project approval document or documents proving the right to invest in the investment-receiving country.

Subjects receiving notifications include:

  • Ministry of Planning and Investment
  • State Bank of Vietnam
  • Vietnamese representative agency in the investment receiving country

This notification helps state management agencies grasp the overseas investment situation of Vietnamese enterprises, thereby taking appropriate support and management measures. At the same time, this is also the basis for investors to fulfill their periodic reporting obligations in the future.

 Regulations on procedures for notification of investment activities abroad
Regulations on procedures for notification of investment activities abroad

Procedures for notification of investment activities abroad

Reporting regimes for overseas investment activities that investors must comply with

Pursuant to Article 73 of the Law on Investment 2020 and Circular 25/2023/TT-BKHDT, investors need to comply with the following reporting regimes when making investments abroad:

  • Initial report: Within 60 days from the date the project is approved or licensed in the investment-receiving country, the investor must send a written notification of the implementation of investment activities abroad.
  • Periodic reports: Investors must submit reports on the investment project’s performance on a quarterly and annual basis to the competent authorities.
  • Financial reports: Within 6 months from the date of the tax finalization report or equivalent document according to the regulations of the investment receiving country, the investor must send a report on its operations together with a financial report. main, tax finalization report.
  • Unscheduled reports: When there is a request from a competent state agency related to management or arising problems of the investment project.

Strict compliance with these reporting regimes not only helps investors avoid administrative sanctions but also creates favorable conditions for their investment activities abroad.

Instructions for filling out the notification form

The form for notification of investment activities abroad is specified in Form B.I.11 issued together with Circular 25/2023/TT-BKHDT. When filling out this form, investors should note:

  • Fill in all information about the investor, including name, address, business code or ID card/CCCD number.
  • Provide details about the investment project such as project name, location, goals, scale, and investment capital.
  • Clearly state the form of investment abroad (establishing an economic organization, contributing capital, buying shares, investing under contract, opening a branch).
  • Attach a copy of the investment approval document of the receiving country or documents proving the right to invest.
  • Provide information about overseas investment capital accounts at licensed banks.
  • Sign, stamp (if any) and clearly state the date and year of making the notice.

In addition, when announcing investment activities, investors need to submit the following documents:

  • Copy of International Investment Registration Certificate;
  • Copy of written approval from the country or territory where the investment is made, or copy of document confirming share ownership, membership or shareholder status (in case of capital, share purchase or contribute capital); Other documents of equivalent value;
  • Copy of transaction registration authentication document Except related to international investment activities (if any);
  • Other copy document links (if any).
 Form for notification of investment activities abroad
Form for notification of investment activities abroad

Consulting on procedures and effective forms of foreign investment at Long Phan

Long Phan is a unit with many years of experience in the field of overseas investment consulting. We provide the following services:

  • Consulting on choosing investment forms based on customers’ goals, industries and investment scale;
  • Guidance on choosing the optimal form of investment based on the host country’s legal regulations and economic standards;
  • Advise and explain in detail the process, conditions and related legal requirements;
  • Support customers in preparing documents and applications for investment registration certificates;
  • Support customers in contacting and working with basic functions of the country/region;
  • Providing consulting services according to each customer’s specific requirements related to investment regulations and processes.

Notification of investment activities abroad is an important procedure, requiring careful preparation and strict compliance with legal regulations. For professional support on this procedure as well as issues related to foreign investment, please contact Long Phan via hotline. 0906735386. We are ready to advise and accompany customers on their successful investment journey.