Khanh Hoa Province - Great Investment Opportunities for Entrepreneurs

Khanh Hoa province has offered many incentives to investors to attract investment capital for economic development and effective exploitation of resources of land, landscapes and natural minerals.

Land Priorities

Those enterprises which develop infrastructure in industrial parks (IPs) and those enterprises already operating in IPs are exempted from rent for land without infrastructure facilities during the period in which their projects are being developed. Projects on building houses for workers in IPs are exempted from rent for land without infrastructure for five years from the time their projects begin operation and enjoy incentives for their building of houses for sale and rent in Khanh Hoa province. At the same time, Khanh Hoa will provide a subsidy of 80 per cent for IP infrastructure developing enterprises whose projects are valued at least VND 70 billion (about US$4.435 million) or in the software or traditional crafts industries. Projects valued at between VND 30 billion (about US$19.108 million) and 70 billion will be given a subsidy of 50 per cent. Other projects will enjoy a subsidy of 30 per cent. Furthermore, the province will pay costs for compensation and site clearance with site clearance to be implemented in the shortest possible time. Those enterprises which relocate from urban areas to IPs will enjoy a  subsidy of 100 per cent for infrastructure use fees for three years from the time they re-rent land. Also, enterprises in IPs can use their land and assets on their land to get loans from credit organisations operating in Vietnam. They will also be given certificates of land use rights and other documents recognising their ownership of works on the land during their land re-rental. 

Corporate income tax incentives

Investors in Khanh Hoa province will get 100 per cent of their corporate income tax refunded for between three and ten years that they pay tax. Also, they will be supplied with trained workers. If they train their own workers, the province will grant a support valued at VND 1 million (about US$63) maximum for each local worker. The province will help investors to get loans from the local development assistance fund and fund for development investment. Moreover, investors will be given favourable conditions to seek and expand their shares in the domestic and foreign markets.   

Other incentives

Investors in IPs in Khanh Hoa province will have to make contact with one agency, namely the Khanh Hoa management board of IPs in an ‘on-the-spot one door’ mechanism with simplified procedures. It will take ten days maximum to get licences from the time that they submit all necessary documents. Also, the province will spend a certain expenditure apart from current expenditures of the Khanh Hoa management board of IPs to support enterprises’ promotion programmes, calling more Vietnamese and foreign investors to local IPs and launching advertising programmes on the Internet and the mass media with a total cost of between VND 20 million (about US$1,267) and 100 million (about US$6,337).