Following the direction of Deputy Prime Minister Le Minh Khai in Document No. 5503/VPCP-KTTH which assigned the Ministry of Finance to preside over and coordinate with relevant agencies to urgently consider problems with loan interest and VAT refund policies of BOT projects, the Department of Corporate Finance (Ministry of Finance) has just issued Document No. 3210/TCND-VP dated November 8, 2021 to Deo Ca Transport Infrastructure Investment Joint Stock Company on dismantling inadequacies in the allocation of loan interest expenses of BOT projects.

Accordingly, the Department of Corporate Finance believes that the allocation of loan interest expenses as proposed by HHV is consistent with the BOT contract, credit contract and appendices that the company has signed with funding banks. The Department of Corporate Finance has agreed with the mechanism on allocating loan interest expenses in accordance with the specific characteristics of BOT projects.

The document shows that, at present, the General Department of Taxation is studying the characteristics of BOT project enterprises to supplement guidance on the financial mechanism and accounting for the allocation of loan interest expenses to ensure compliance with relevant law provisions and the actual situation of enterprises. Accordingly, implementing the Resolution of the 2021 Annual General Meeting of Shareholders, the Company has applied to move HHV shares from UPCOM to Ho Chi Minh City Stock Exchange (HoSE). However, because HHV is a BOT enterprise, which has many different characteristics compared to normal enterprises. Moreover, there are no specific regulations and instructions for BOT projects’ specific mechanisms and policies, leading to a delay in the consideration of HHV’s listing documents.

At HHV’s 2021 Extraordinary General Meeting of Shareholders in early November, the Company also announced the roadmap to the shareholders, after the policy problems were removed and new regulations are issued, HHV will continue to work with the Ho Chi Minh City Stock Exchange to complete the listing procedure for HHV shares on HoSE. Mr. Ho Minh Hoang, Chairman of the Board of Management of HHV affirmed: “The listing on UPCOM has ensured the conditions for capital mobilization for investment and project development. However, to increase liquidity and attract investors, especially foreign investors, transferring HHV to HoSE will be done at an appropriate time to serve the interests of more than 25,000 shareholders and ensure the law compliance”.

Thus, the policies problems of the enterprise have been directed to be removed by the Government, and the Ministry of Finance has taken actions through a special working group, increasing the confidence of investors when investing in BOT – PPP projects, which have been blocked for a long time.

BY TT