According to the draft, a new airline must have capital of at least 100 billion VND (4.66 million USD).
Under the draft, if the airline registers one to 10 airplanes, investors will have to guarantee charter capital of at least 700 billion VND for international services and 300 billion VND for domestic services. If the airline registers 10 to 30 aircraft, investors are required to guarantee at least 1 trillion VND for international flights and 600 VND for domestic flights.
If the airline registers over 30 aircraft, the guarantee will be at least 1.3 trillion VND for international flights and 700 billion VND for domestic flights.
The draft also presents regulation related to foreign investment in aviation. In details, foreign ownership is not allowed to exceed 30 percent of the charter capital, while Vietnamese individuals or investors are not permitted to hold more than 49 percent of charter capital. If they want to sell their shares to foreign investors, it can be done after two years since the date of issuing the business licence for aviation.
The draft offers two business methods. The first method requires that the minimum capital for establishing and maintaining the operation of airport enterprises that provide aviation service is 100 billion VND for domestic airports and 200 billion VND for international airports.
Foreign ownership is not allowed to exceed 30 percent in companies that manage passenger terminals, goods terminals, gas and oil supply, as well as ground commercial technical services. Airlines are not allowed to own more than 30 percent of charter capital in airport enterprises and enterprises that manage passenger and goods terminals.
The second method requires that companies that manage apron areas, news services, navigation aid and supervision, as well as weather observation, must be at least 65 percent State-owned.
The draft regulation on the charter capital ratio was adapted according to the equitisation plan for the Airports Corporation of Vietnam (ACV), which was approved by the government, according to Minister of Transport Truong Quang Nghia. ACV which operates airports across Vietnam, is allowed to sell part of the State’s stake in the corporation and issue more shares to increase its charter capital.
