Message from the Secretary General 2018

03/04/2018 16:22

Vietnam’s economy made a significant progress in 2017 with the GDP growth rate of 6.81%, the highest rate since 2011. The macro economy remains stable. Foreign direct investment reached the highest increase in the past 10 years. 2017 is also the year when trading environment of Vietnam get improved and more favorable. The Government enacted Resolution No. 19/2017/NQ-CP on continuing to implement main duties and solutions for improving business environment and enhancing national competitiveness in 2017 and orientation towards 2020. Consequently, according to the rating report issued by the World Bank, Vietnam has increased 14 levels in terms of business environment index and ranked 68th out of 190 economies in the world.

Laws on arbitration and mediation are geting completed.  The Government continues to advocate the development of arbitration and many policies to improve the effeciency of arbitration. In 2017, the Ministry of Justice has been developing a project aiming to improve the capacity of arbitrators, arbitration centers and to orient one or a number of prominent arbitration centers which are internationally competitive for the period from 2018 to 2023 with the directing viewpoint, to institutionalize Resolution No. 49-NQ/TW dated 2 June 2005 of the Poliburo, encouraging the settlement of a number of disputes by negotiation, conciliation and arbitration; the court shall assist by recognizing the settlement decision. Besides, the aim of this project is to contribute to the improvement of the quality as well as support for the development of arbitration as a method of dispute settlement, to promote the demand for arbitration services in dealing with commercial disputes, then consequently reduce judical workload for the court and improve the environment of investment, business and international integration.

Regulations on commercial conciliation are also being built and completed. For the first time in 2017, the Government issued Decree No. 22/2017/ND-CP on commercial mediation (“Decree 22/2017/ND-CP”). VIAC is proud to be one of organizations positively participating in the process of drafting this important document.  This is a significant milestone where it sets the legal ground for the founding and development of commercial conciliation in Vietnam. Decree 22/2017/ND-CP has created a unified legal frame, helping to encourage disputants to use mediation services. Especially, the Decree has recognized the effect of conciliation result to guarantee benefits and interests of the parties when using mediation. The issuance of Decree 22/2017/ND-CP also reflects the encouragement of the State for parties in disputes to use mediation and mobilize resources for commercial conciliation.

Given this favorable situation, VIAC’s activities in 2017 have made impressive achievements. In relation to dispute settlement, VIAC has received and settled 151 cases with the total value up to 1,400 billion dong. In which local disputes account for 71.52%, which is the highest share amongst the recent years, while cases involving foreign elements contribute 28.48%. Currently there are over 60 counties and territories in the world having enterprises settling disputes in VIAC. China, USA and Singapore continue to be the countries having the largest number of cases in VIAC. Statistics show that enterprises are paying more attention to VIAC.  In addition to key economic areas such as Hanoi, Ho Chi Minh City, Vung Tau, Binh Duong, Dong Nai…, it turns up some more businesses coming from other provinces who also select VIAC for dispute settlement. Up to now, there have been 36 over 63 cities and provinces having their enterprises settle disputes in VIAC. A lot of big corporations in the country and abroad, FDI companies keep their trust in VIAC and select us for their dispute settlement. The field of disputes is ranging more and more diverse, involving in all areas of commerce, including trade in goods, services and investment.

For the purpose of improving the quality of dispute resolution, VIAC always keeps improving procedures and proceedings to facilitate the most for enterprises. The issuance of Arbitration Rules in 2017 is considered having positive effect to the business community. Three most considerable points in Rules 2017 are multiple contracts (Article 6), consolidation of arbitration (Article 15) and expedited procedure (Article 37).  These new provisions not only help the parties to save more time and around 15% of expenses for arbitration but also contribute to a more unified and comprehensive resolution. Especially in terms in expedited procedure stipulated in Article 37, processing duration is shortened, some procedures can be reduced, and the application of technology in holding meetings via teleconference or videoconference. Rules 2017 is a highlight evidencing VIAC has met the demand of business community for a fast, flexible and effective method of dispute settlement.

In order to be able to provide mediation services in due course as per Decree 22/2017/ND-CP, right after the issuance of this decree, VIAC has registered for the supplementation of mediation activity and being approved by the Ministry of Justice. VIAC has officially established the Vietnam Mediation Center (VMC), and is currently working on the Rules of commercial mediation, Code of ethics for mediators as well as invite prestigious experts in mediation skills to the VMC list of mediators.

The promotion of VIAC also made good achievement. With all efforts of staff and arbitrators, VIAC image has appeared in nearly 500 events in Vietnam and other countries, and in 650 articles on media, which helps VIAC become closer to the business community. Additionally, VIAC continues to maintain good cooperative relationship with the courts, enforcement agencies, ministries and business associations, ect. to preform VIAC’s duties.

In 2018, towards the 25th anniversary (28 April 1993 – 28 April 2018), VIAC will keep striving; deserves to be a reliable address and the prioritized selection in any case of disputes. We believe with the solid foundation as well as our determination, VIAC will have a successful new year. 

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