Foreign businesses, including those from Finland, will enjoy a number of preferential treatments when they invest in the Mekong delta city of Can Tho.
Profitable investors in the field of services for example, will receive corporate income tax exemption within two years, which will be reduced by 50 percent in the three following years, said Deputy Chairman of the municipal People’s Committee Dao Anh Dung at a recent workshop held in the city.
The locality will also grant tax-free for overseas businesses for certain imported commodities such as equipment, machinery, spare parts, and specialised means of transport, Dung added.
Finland ’s Ambassador to Vietnam Kimmo Lahdevirta noted that two-way trade reached US$192 million in the first ten months of this year. Both countries are working to raise the figure to US$1 billion in the coming time.
Finland mainly exports machinery, equipment and timber products to Vietnam , while importing footwear, interior decorations, garments, IT equipment and office supplies from the Southeast Asian nation.
Vietnam and Finland signed an agreement on investment encouragement and protection in 2008, which is considered an important legal foundation for both sides to increase their trade links.
As of October this year, Finland had eight investment projects in Vietnam with a total registered capital of over US$320 million, becoming Vietnam’s 27th largest foreign investor.
Finland ’s small and medium-sized projects mainly focus on manufacturing industrial glue, garments and timber products, heard participants.
Organised by the Can Tho City People’s Committee and Finland’s Embassy in Vietnam, the December 2 workshop was a good chance for businesses to explore investment opportunities in the city and expand trade ties between the two countries.