Retail, restaurant chains ask government for financial support

By Dat Nguyen   April 23, 2020 | 02:00 am PT
Retail, restaurant chains ask government for financial support
A closed Gogi House restaurant in Hanoi in March 2020. Photo by VnExpress/Giang Huy.
Twenty-one retail and food and beverages businesses have petitioned the government for tax breaks and discounts on electricity and water.

The businesses, including coffee chains Starbucks and The Coffee House, electronics retailer Mobile World, and food service chains Otoke Chicken and Dairy Queen, have sought a 50 percent reduction in value-added tax and delay in payment of income tax and other taxes until December 31.

In a joint letter to Prime Minister Nguyen Xuan Phuc and related ministries, they also asked for a 50 percent discount on electricity and water bills, and a government subsidy of VND1.8 million ($76) per worker.

Most of them have remained closed since the end of March after the government ordered a partial lockdown to prevent the spread of Covid-19, and have seen revenues slump.

They have tried to get their rents reduced but not all have been successful.

Nguyen Ha Linh, owner of Thai Koh Yam restaurant chain, which has five outlets, said the closure had caused a revenue loss of VND3 billion ($127,000), and almost 200 employees had to stay at home without pay.

Hanoi and Ho Chi Minh City have been allowed to end their social distancing campaigns from Thursday. 

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