Investors undertaking the project must deposit a security fund.

(Baonghean.vn) - The People's Committee of Nghe An province has recently issued Decision No. 66/2016, effective December 1, 2016, regarding the deposit of security funds to ensure the implementation of investment projects using land in Nghe An province.

Many projects along 3/2 Avenue will require a deposit when making investments. (Illustrative image.)

Accordingly, the applicable subjects are investors implementing direct investment projects that do not use state budget funds and are allocated land, leased land, or permitted to change land use purposes by the State.

The deposit amount is determined in accordance with Clause 3, Article 27 of Decree No. 118/2015/ND-CP.

The deposit is paid into an account opened by the investment registration authority at a commercial bank in Vietnam, at the investor's discretion.

The principle is that investment projects using land in Nghe An province must have a commitment to project progress and implement measures to ensure the project's success. The escrow agreement to guarantee the project's implementation is made during the investment policy approval phase and is one of the contents recorded in the investment policy decision.

Investors will be reimbursed their deposit and the corresponding interest earned during the deposit period if the project is completed on schedule as committed.

In cases where adjustments to the investment project result in changes to the deposit conditions, the investment registration authority and the investor shall agree to readjust the deposit in accordance with these regulations.

Pearl

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