THE MINIMUM CAPITAL REQUIRED ESTABLISHING AIRLINE AIR TRANSPORTATION BUSINESS IS 300 BILLION VND
On April 08, 2013, the Government issued the Decree No. 30/2013/ND-CP on air transportation and general air operation.
This Decree regulates detailed regulations on capital’s conditions. The minimum capital required to establish and maintain airline air transportation business: operating up to 10 aircrafts: 700 billion VND for airlines with international transportation operation; 300 billion VND for the airlines only operating domestic air transportation; operating from 11 – 30 aircrafts: 1.000 billion VND for the airlines operating international transportation; 600 billion VND for the airlines only operating domestic air transportation; operating over 30 aircrafts: 1.300 billion VND for the airlines operating international transportation; 700 billion VND for the airlines only operating domestic air transportation.
At the same time, the Decree also regulates that the minimum capital to establish the airline of general air operation for commercial purposes: 100 billion VND. In particular, the foreign invested capital airlines must satisfy the conditions that the foreign party must not exceed 30% of charter capital for an airline; a Vietnamese individual or entity has no foreign invested capital must keep the largest charter capital.
Besides, age of the second-hand aircraft imported in Vietnam is also an important content in this Decree. For aircraft carrying passenger: not exceeding 10 years from the ship date to the time of being imported into Vietnam; not exceeding 20 years from the ship date to the end of lease contract. As for helicopter is 25 years from the ship date to the end of the lease contract; for cargo aircraft, postal matters, postal parcels, air business for commercial purposes: not exceeding 15 years from the ship date to the time of being imported into Vietnam; not exceeding 20
years from the ship date to the end of lease contract and so on.
This Decree takes effect from June 1, 2013 and supersedes Decree No. 76/2007/ND-CP dated May 9, 2007.
