The Vietnam Chamber of Commerce and Industry (VCCI) believes that applying a 30% reduction in land rent for 2024 is reasonable.

Additionally, VCCI recommends a higher reduction for 26 provinces severely impacted by Typhoon Yagi compared to the general nationwide reduction.

In response to the Ministry of Finance’s request for input on the draft decree regarding land rent reductions for 2024 aimed at boosting production and business, VCCI, after consulting with businesses and experts, has offered several opinions.

The draft provides two options for the nationwide reduction in land rent for 2024: 15% and 30%.

According to VCCI, land rent reduction policies from 2020 to 2023 have had a positive impact on the economy, giving businesses additional resources to recover production and business operations following the effects of COVID-19. The 30% reduction in the previous year was deemed reasonable.

Therefore, VCCI suggests that the drafting committee opt for the second proposal, which applies a 30% reduction in land rent for 2024.

Additionally, VCCI raised concerns regarding the land rent reduction for the 26 provinces affected by Typhoon Yagi.

VCCI acknowledges that the damage caused by Typhoon Yagi to 26 northern provinces was extremely severe. Businesses in these provinces are in urgent need of support to quickly restore production and business operations.

The Government has also issued Resolution 143, which calls for studying policies to waive, reduce, and extend the payment of land and water surface rent for those affected by storms, floods, and landslides.

Therefore, VCCI proposes that the drafting committee consider implementing a higher reduction in land rent for the 26 provinces affected by the typhoon, compared to the nationwide reduction.

This policy would help businesses in these provinces gain more resources to recover production, create jobs, and prepare employee benefits for the upcoming Lunar New Year.

Ngoc Cuong