Vietnam's Ministry of Planning and Investment (MPI) has started working on a joint project with the Korea International Cooperation Agency (KOICA) as part of the government's efforts in improving the country's investment procedures and e-government systems.
According to Viet Nam News, the scheme seeks to help develop the country's e-government assistance programs for Vietnamese communities. It is also expected to promote administrative reforms on investment procedures for domestic and global transactions.
Transparency is one of the project's main priorities as it aims to provide favorable conditions for interested investors and the people of Vietnam. The joint venture will also see the birth of a national investment information system that focuses on providing service to private sectors.
Aside from basic investment settings, the national system will be integrated into other national information systems in Vietnam. These include tax management, environmental agencies, and offices that handle issues and disputes on land and property.
Deputy Director of the Ministry's Foreign Investment Agency, Vu Van Chung, explained that upon establishment of the national investment information system, companies will be tasked to conduct necessary reports through online portals. These surveys are said to be more cost-efficient than traditional survey processes.
South Korea has pledged non-refundable funding of $5.5 million for the Vietnam-South Korea project. While the initiative is still in its early stages of development, it is expected to be completed and running by 2021.
Meanwhile, Vietnam continues to strengthen its diplomatic and trade relations with South Korea as it was revealed on Friday that two of the countries' corporate leaders are deliberating on enhancing exchange and shares.
According to Retail News Asia, SK Group is reportedly considering to acquire a $1 billion stake in what could be Vietnam's largest and most successful private corporation, Vingroup. The outlet said Vingroup just recently held a shareholders' vote on raising a little over $1 billion. The funds are expected to come from five foreign investors.
Part of the funding is expected to be allocated for Vingroup's debt restructuring while another part of the stakes budget will be invested into the Vietnamese group's vehicle arm as well as its technology departments Vinsmart and Vintech.
SK Group has already acquired a 9.5 percent stake in another Vietnamese corporation, Masan Group. The stake is said to have reached $470 million.
Earlier this month, Vietnam and South Korea pledged to enhance cooperation in the finance sector to benefit both parties. The declaration was made during the 8th International Conference on Finance and Economics in Hanoi last week.
"We really hope that Korean investors will grasp co-operation opportunities by participating in the equitization process of Vietnamese enterprises, especially the restructure of the banking sector and the application of fintech," vice chairman of the National Financial Supervisory Commission, Ha Huy Tuan, said.
