by Russin & Vecchi's lawyers

LIST OF BUSINESS LINES WHICH REQUIRE MINIMUM LEGAL CAPITAL19

No Form Level of legal capital requirement
I Credit institutions
1 Shareholding commercial bank 3,000 billion VND
2 Policy bank 5,000 billion VND
3 Development bank 5,000 billion VND
4 Foreign invested bank 3,000 billion VND
5 Foreign bank branch 15 million USD
6 People's credit fund 0.1 billion VND
II Non banking credit institutions
1 Finance company 500 billion VND
2 Finance leasing company 150 billion VND
III Real estate business
Enterprise or cooperative 6 billion VND
IV Security service 2 billion VND
V Debt collection service 2 billion VND
VI Film production 1 billion VND
VII Operation of aviation port and airport
1 Domestic airport operator 30 billion VND
2 International aviation port and airport operator 100 billion VND
VIII Other Aviation services
1 Operating in a domestic airport 10 billion VND
2 Operating in an international airport 30 billion VND
IX International air transportation service
1 Airline with 10 aircraft or fewer for international flights 500 billion VND
2 Airline with 10 aircraft or fewer for domestic flights 200 billion VND
3 Airline with 11 - 30 aircraft for international flights 800 billion VND
4 Airline with 11 - 30 aircraft for domestic flights 400 billion VND
5 Airline with over 30 aircraft 1,000 billion VND for international flights and
500 billion VND for domestic
6 General trading aviation 50 billion VND
X Insurance Business
1 Non-life insurance business 300 billion VND
2 Life insurance business 600 billion VND
3 Insurance brokerage 4 billion VND
XI Commodities exchange
1 Commodities exchange operator 150 billion VND
2 Traders on the commodities exchange 75 billion VND
3 Commodities exchange brokerage 5 billion VND
XII Securities business
1

Securities company

  • Securities trading
  • Securities brokerage
  • Underwriting for securities issuance
  • Securities investment consultancy
100 billion VND
25 billion VND
165 billion VND
10 billion VND
2 Fund management company 25 billion VND
3 Securities investment company 50 billion VND
XIII Importing books 5 billion VND
XIV Multimodal transportation business 80.000 SDR20
XV Establishment of private university 50 billion VND
(excluding land use rights value)
XVI Labour exporting service 5 billion VND
XVII Auditing service 3 billion VND21
XVIII Establishment of ground fixed telecommunication network

Without using radio frequency band and telecommunication subscription numbers

  • Within a province
  • Within a region
  • Nationwide
5 billion VND
30 billion VND
100 billion VND
XIX Establishment of ground mobile telecommunication network
1 Using radio frequency channel 20 billion VND
2 Without using radio frequency channel 300 billion VND
3 Using radio frequency channel 500 billion VND
XX Establishment of satellite fixed and mobile telecommunication network 30 billion VND

Footnotes

19This list has been compiled from many sources. We believe the list is complete, but there may be some inadvertent omissions.
20SDR units are Special Drawing Rights and are calculated and valued by the International Monetary Fund. The exchange rate between SDRs and Vietnamese dong is announced by the State Bank of Vietnam from time to time.
21From January 1, 2015, this minimum legal capital shall be increased to 5 billion VND.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.