Total amount of foreign investment companies to Invest
"What is “Total Investment”? I cannot understand." We often encounter such questions. The concept of total investment occurs because at the very beginning, the one so-called a foreign-invested enterprise or a project company, which in essence, is not the general sense of those in market but a specific construction project before its expiration date that come into exist. At the time when approving the establishment of such foreign-invested enterprises, it approved the relevant scale and the size of these kinds of investments.
The concept of “Total Investment” lines in the rules and regulations governing foreign investments. For local enterprise, this concept does not exist. The composition of the total investment includes, actual paid or undertaken to subscribe capital plus investors and foreign-invested enterprises registered capital from borrowings. It is quite similar to those project companies with minimum capital requirement.
Four significant aspects in supervising foreign investment amount:-
(a) Based on the total investment of the foreign-invested enterprise to determine its registered capital; (b) Based on the total investment of the foreign-invested enterprise to determine the amount of duty-free import of equipment; (C) Based on the total foreign investment to determine the amount of foreign exchange loans investing in the enterprises; (d) Based on the total investment approved by the authority for foreign-invested enterprises division to determine.