The 15th National Assembly (NA) ratified the amended Law on Cooperatives with 466 votes in favor, or 94.33 per cent, from deputies at their working session on June 20.

It includes regulations on the establishment, management, reorganization, dissolution, bankruptcy, and related activities of cooperatives, cooperative groups, and cooperative unions, as well as State policies on the development of cooperative groups, cooperatives, and cooperative unions.

The law clarifies the minimum and maximum capital contributions by official members to cooperatives. One member can contribute 30 per cent at maximum to the charter capital of a cooperative and no more than 40 per cent to the charter capital of a cooperative union.

The total capital contribution of all members being foreign-invested economic organizations and foreign individual investors must not exceed 30 per cent of the charter capital of a cooperative or a cooperative union.

The law will take effect from July 1, 2024.