Vietnam needs to make changes to its legal system, simplify administrative procedures, and reduce sub-licenses in order to facilitate the business operations of Korean investors in the country, said Hong Sun, chairman of the Korea Chamber of Business in Vietnam (KORCHAM).

Vietnam should seek to relax policies on work permits, temporary residence, and fire protection permits as it seeks to attract more investors from the Republic of Korea (RoK) moving forward, Hong Sun said a seminar in Hanoi on May 8 to seek further trade and investment opportunities between Vietnam and the RoK.

He pointed out that a number of large Korean enterprises operating in the Vietnamese market face challenges in obtaining investment licenses to deploy some projects in the country.

At the event, Vu Tien Loc, chairman of the Vietnam International Arbitration Center (VIAC), revealed that the RoK has retained its leading position in foreign direct investment in the Vietnamese market with a total capital of US$80.5 billion over recent times.

The RoK also ranked second in terms of cooperation in tourism and labour, and third in trade exchanges with Vietnam, with two-way trade turnover between the two countries reaching US$88 billion last year.

He emphasised that local firms are required to diversify their partnerships and strengthen relations with strategic partners amid continued global uncertainties

Local businesses must pay close attention to legal issues and contracts as a means of protecting each other from risks in transactions, he said, adding that with a large network of experts, economists, arbitrators, the Vietnam International Arbitration Center, the Korean Business Association, and the Korean Commercial Arbitration Board will provide them with useful legal advice to their investment activities in the coming time.

VOV