No. 35 / NQ – CP
SOCIALIST REPUBLIC OF VIETNAM
Independence – Freedom – Happiness
Ha Noi, June 3, 2014
The Government’s regular meeting – May 2014
Pursuant to the Law on Organization of the Government dated December 25, 2001;
Pursuant to the Government’s Decree 08/2012/ND-CP, dated February 16, 2012 promulgating the Working regulation of the Government;
Based on the discussions among the Cabinet’s members and the conclusion of the Prime Minister at the Government’s regular meeting held in April 2014,
1. Regarding the reports on socio-economic performance in May and the first five months of 2014; the implementation of the Government’s Resolution No. 01/NQ-CP, dated January 2, 2014 on key tasks and solutions for guiding the realization of the socio-economic development plan and State budget estimate in 2014;
The Government unanimously agreed that ministries, agencies and localities have seriously implemented the Resolutions of the Party Central Committee, the National Assembly and the Government. The socio-economic performance in May, 2014 continued to progress positively in the right direction with promising outcomes in almost all fields in which the macro-economy was stabilized; inflation was put under control, consumer price index (CPI) in May picked up 0.2% against April and 1.08% against last December which is the record low over the last ten years; foreign reserve was on the rise; the balance of payments enjoyed big surplus ; budget collection was higher than the same period last year. The industrial production index (IPI) surged by 5.6% in the first five months; consumption index of the processing and manufacturing industry increased by 7.7% in the first four months; agro-forestry and fishery sector was fundamentally stable; epidemics were put under control; the service sector progressed fairly, the number of foreign arrivals went up 26.1%; social security was maintained; life of people was given due attention, the rate of hunger households declined by 13.6% against the same period last year. Political security and social order were strengthened. External relations were promoted. A series of measures in the field and on diplomatic and media fronts against China’s illegal placement of its drilling rig in Viet Nam’s exclusive economic zone (EEZ) and continental shelf (CS) received special attention and support from local people and the international community in favor of Viet Nam’s fight for justice.
However, the economic recovery was slow; enterprises faced numerous production and business difficulties, the number of enterprises which were dissolved or temporarily suspended operation remained high, credit growth was low, export growth rate was on the decline; purchasing power of the economy yet improved much; epidemics evolved complicatedly; and traffic accidents were high. Since early May, China’s illegal positioning of an oil rig in Viet Nam’s EEZ and CS has seriously violated international law, the Declaration of the Conduct of Parties in the East Sea (DOC) and agreements reached between Vietnamese and Chinese high-ranking leaders; directly threatening peace, stability, security, safety, freedom of navigation and aviation in the East Sea; negatively impacting on the socio-economic development in Viet Nam. Vietnamese people have strongly opposed the move of China in Viet Nam’s waters; however, a few demonstrators in some localities, incited by bad persons, took extremist behaviors and violation activities against the law, affecting security, social order, production, business and investment environment of Viet Nam. The Government has introduced a series of synchronous measures to timely prevent and strictly punish those individuals; ensure security, order and support damaged enterprises to stabilize production and business; and commit to absolutely safeguarding safety for foreign offices, enterprises and people in Viet Nam.
The Government requested ministries and agencies to proactively keep a close watch on the situation and make forecasts on possibly negative impacts on the socio-economic development plan in the coming time, prepare for response to emerging issues; continue pursuing the fight against China’s wrong doings via peaceful measures; strive for realization of the socio-economic development plan in accordance with Resolution 01/NQ-CP and the Government’s regular resolutions; focus on the following tasks:
- Ministers and leaders of ministerial-level agencies, Chairmen of municipal and provincial People’s Committees drastically implement the Government’s Resolution 19/NQ-CP, dated March 18, 2014 on major tasks and solutions for improving the business environment and national competitiveness; fulfill the goals on inflation curbing, macro-economic stabilization, swiftly conduct Report 207/TB-VPCP, dated May 20, 2014 and Document 3758/VPCP-KTTH, dated May 26, 2014 and the conclusion of the PM on solutions to help businesses overcome damage, and early restore business and production.
- The Ministry of Foreign Affairs chairs and works with other ministries, agencies and localities to pursue diplomatic measures which demand China withdraw its Haiyang Shiyou 981 from Viet Nam’s waters; take advantage of the support and backing of the international community; encourage FDI enterprises to do long-term business in Viet Nam.
- The Ministry of National Defense and the Ministry of Agriculture and Rural Development continue to deploy measures in the field to affirm sovereign right and jurisdiction of Viet Nam in the EEZ and CS in accordance with the 1982 UN Convention on the Law of the Sea and international law.
- The State Bank of Viet Nam reviews and speeds up the handling of non-performing loans; promotes credit growth in favor of production and business; allocates credit resources for prioritized fields, especially aquaculture exploitation; combines economic growth with affirmation and protection of Viet Nam’s sovereignty over territorial waters and traditional fishing grounds; researches for adjustments to mechanisms on credit lending for fishermen; applies effective measures to remove difficulties in accessing loans for enterprises damaged by recent disturbance to early resume and develop business and production.
- The Ministry of Industry and Trade chairs and works with other ministries, agencies and localities to deploy the measures to raise production competence, boost business, production and consumption; early finalize projects of essential products to develop supply of commodities; strengthen market management, ensure the balance of demand and supply; promote investigation, inspection and punishment of counterfeited, smuggled and tax evaded products; properly make accurate market forecasts to early take effective measures; especially boost potential and new export markets.
- The Ministry of Planning and Investment chairs and cooperates with other ministries, agencies and localities to extricate obstacles and speed up progress of key projects; conducts key projects; synchronously implements measures to accelerate disbursement of projects; reports the PM the allocation of 2015 capital in advance for projects which were disbursed in 2014; cooperates with the People’s Committees in site clearance and resettlement to ensure the progress of ODA and foreign-funded projects; researches effective measures to sort through incompetent bidders and creates possible ways for both domestic and foreign bidders to recruit more Vietnamese laborers.
- The Ministry of Finance presides over and works with other ministries and agencies to define economic damage enterprises have suffered from the disturbance in some localities to guide insurance companies to fulfill their tasks towards simplifying procedures or providing compensation in advance in cases which have been identified; take necessary measures to ensure enterprises’ operations ; stabilize laborers’ life in accordance with law; instruct and supervise the processing of customs procedures in a convenient and safe manner; keep a close watch on and regulate the securities market towards stability and transparency; proactively deploy measures to balance budget collection and spending in line with the reality.
- The Ministry of Labor, Invalids and Social Affairs chairs and coordinates with other ministries, agencies and localities to conduct policies on social security, poverty reduction, and assistance to policy beneficiaries; guides the realization of procedures on unemployment insurance in a convenient manner for laborers who lost jobs at damaged enterprises and facilitates the arrival of experts and skilled workers in FDI projects in Viet Nam.
– The Ministry of Education and Training makes best preparations for the 2014 university and college entrance examinations; urgently researches, builds and perfects types of exams for 2015 and submits them before September 5, 2014.
– The Ministry of Health strengthens prevention of human epidemics; supervises food hygiene and the usage of chemicals and preservatives in food processing.
– The Ministry of Culture, Sports and Tourism enhances dissemination and advertisement of Vietnamese tourism products at international markets, maintains traditional markets, expands and develops new markets, diversifies types and quality of domestic tourism services.
– The Ministry of Construction chairs and works with other ministries, agencies and localities to accelerate the program to build houses for poor households, flood-hit households; continues to remove difficulties in the real estate market; strengthens supervision of management and quality in construction projects.
– The Ministry of Public Security investigates and strictly punishes those who make use of demonstrations to agitate, disrupt and distort the friendship between Vietnamese and Chinese people; reinforces measures to keep a close watch on the reality, ensures political security, social order and avoids passive and unexpected responds.
– The Ministry of Information and Communications works with the Party Central Committee’s Commission of Popularization and Education to encourage people to unite and support each other in favor of business and production development, protection of the fatherland’s sacred sovereignty in accordance with domestic and international law, maintains the friendship with Chinese people; promotes advertisement of Viet Nam’s images in the international arena; timely provides accurate information about the reality; prevents political protesters; directs press agencies to press ahead with communication campaigns so that the international community especially Chinese people understand the reality in the East Sea, the orientations and viewpoint of the Vietnamese Party and State in resolving the East Sea issue, ensures national security and territorial integrity.
The Ministry is in charge of ensuring information security, supporting ministries, agencies and localities to timely respond to information security incidents and outside cyber threats; proactively maps out restructuring plans for the Viet Nam Posts and Telecommunications Group (VNPT) including the MobiFone equitization plan. The Government’s members are responsible for supplying accurate and timely information for the media about the orientations, policies, regulatory solutions, and management in their assigned areas in order to strengthen public confidence and create social consensus.
The People’s Committees clarify, provide dossiers and documents, evidence to define the value of damaged assets; apply tax reduction or exemption to affected enterprises in accordance with the laws, support them to resume operation early.
– As preparing for reports to be presented at the 7thsession of the 13th National Assembly, authorized Cabinet members focus on the issues which draw much attention from the National Assembly, voters and people. Ministers, leaders of ministerial-level agencies, Chairmen of the provincial People’s Committees review their working programs to ensure the schedule and quality of preset projects, especially by-law documents guiding the implementation of laws and ordinances; evaluate the governance performance in the first half of 2014, identify shortcomings for solutions; and figure out tasks for the rest of the year in line with the preset targets.
2. Regarding the Government’s Resolution on promulgation of the Government’s Action Plan to realize Resolution 29-NQ/TW, dated November 4, 2013 on fundamental and comprehensive innovation in education and training in support of industrialization and modernization in the context of the socialist-oriented market economy and stronger international integration, which was approved at the 11th Party Central Committee’s 8thplenary session.
The Ministry of Education and Training was assigned to work with the Office of the Government and related agencies to collect comments of the Government’s members to perfect the Resolution on the Government’s Action Plan; thereof submit it to the Prime Minister for signing and issuance in June, 2014.
3. Regarding the Government’s Decree on aquaculture development policies:
The Government agreed to issue a decree on policies targeting to make breakthroughs and create a foundation to boost the aquaculture sector to develop in a fast, robust, efficient and comprehensive manner to meet demand. Accordingly, the State would provide maximum support and encourage offshore fishing activities with the following polices:
– In terms of credit: Vessel owners, enterprises, cooperatives are allowed to access preferential loans to build large-scale and service vessels for offshore fishing. For these loans, the State Bank of Viet Nam keeps the lending interest rate at less than 5% per year, of which vessel owners, enterprises and cooperatives pay the maximum interest rate of 3% while the State budget covers the rest. The duration is 11 years including a grace period of one year without interest rate. Assets as the mortgages for acquiring the credit loans are the assets taking shape by realizing the credit loan use plans and are ensured.
– Regarding insurance: the State supports 70% of insurance fee for the ship; while the remaining 30% is paid for insurance companies by ship owners, enterprises and cooperatives. The State provides 100% support for human insurance.
– Besides the above policies, localities are encouraged to develop aquaculture in accordance with their resource conditions.
The Ministry of Agriculture and Rural Development chairs and works with the Ministry of Justice, the Office of Government and related agencies to collect comments of the Government’s members, thereof finalize a draft decree and issue it on abridged sequence and procedures./.
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