HANOI APPROVES MULTIPLE SUPPORT SOLUTIONS FOR COLLECTIVE ECONOMIC ORGANIZATIONS AND COOPERATIVES

HANOI APPROVES MULTIPLE SUPPORT SOLUTIONS FOR COLLECTIVE ECONOMIC ORGANIZATIONS AND COOPERATIVES

2023-09-15 18:53:22 992

Based on the approved directives and strategies for supporting the development of collective economy and cooperatives for the period of 2021 – 2030 approved by the Prime Minister under Decision No. 1804/QD-TTg dated November 13, 2020, and Decision No. 340/QD-TTg dated March 12, 2021, on September 5, 2023, the People's Committee of Hanoi issued Decision No. 4381/QD-UBND ("Decision 4381") regarding the Plan to support and enhance the effectiveness of cooperative activities during the period of 2023 – 2025, with an outlook towards 2030 in Hanoi city ("Plan"). The goal by 2030 is to have 3,000 cooperatives in Hanoi, of which 70% demonstrate good and satisfactory performance. The Plan has proposed several notable solutions for the members and employees working in collective economic organizations ("CEOs") and cooperatives, encompassing support measures from the establishment, organizational structure development, and human resource capacity enhancement to funding and market development for products and services.

Here, ATA Legal Services summarizes some key solutions provided by the Plan for CEOs and cooperatives in Hanoi as follows:

1. Support in enhancing capabilities and understanding of the collective economic sector

  • Beneficiaries: members and employees of CEOs.
  • Support in training:

+ Tuition fees, and study materials as per the training institution's regulations: 100% coverage.

+ Subsistence allowance for learners: at least 1.5 times the regional minimum wage/1 training course. In the case of training courses lasting less than 01 month, the subsidy will be provided based on the actual number of days attended (26 days/01 month).

  • Support for human resource development:

+ Expenses for travel, class organization, and purchase of study materials: 100% coverage.

+ Subsistence allowance for learners:

(i) If the CEO operates in the agriculture sector: 90% coverage.

(ii) If the CEO operates in other sectors: 80% coverage.

+ For employees returning to work at the CEO: The monthly subsidy must be at least 1.5 times of the regional minimum wage, for a maximum of 03 years/person, and 02 people/CEO/year.

2. Support in developing CEOs and cooperatives

  • Beneficiaries: Cooperatives, cooperative alliances in sectors of which they are operating, operating inefficiently or requiring development and expansion; cooperatives, cooperative alliances established through merger, consolidation, or separation; collective economic organizations, cooperatives, People's Credit Funds that have yet undergone conversion.
  • Support in legal dissemination, training; consultation in drafting and amending internal operation regulations; promoting the application of information technology, and digital transformation in administrative and managerial activities.
  • Support in digital transformation for cooperatives, People's Credit Funds.

3. Support in trade promotion and market expansion

Cooperatives, and cooperative alliances with products engaged to value chains, green products, OCOP mechanism, will receive subsidy to organize or participate in events enhancing brand recognition and product promotion, trade promotion. Particularly, the Hanoi People's Committee will support the establishment of common venues to introduce and sell products of cooperatives and cooperative alliances, such as:

  • Establishing trade promotion centers and supporting operation funding for the first 03 years; or
  • Periodically organizing fairs, trade conferences connecting supply and demand between cooperatives and enterprises for each product group according to sectors.

4. Support in accessing operational funding for production and business activities

  • Banks, funds, and other credit institutions will implement credit support policies such as debt restructuring, interest waiver or reduction, maintaining debt categories for cooperatives and their members affected by natural disasters and pandemics.
  • The city will continue to support operational capital for CEOs, and cooperatives, and provide additional charter capital from the city budget for the Cooperative Development Support Fund.

Decision 4381 is effective from the date of issuance.

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