LETTER OF UNDERSTANDING AMONG THE PARTIES TO THE AGREEMENT ON TRADE IN SERVICES UNDER THE FRAMEWORK AGREEMENT ON COMPREHENSIVE ECONOMIC COOPERATION
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1 LETTER OF UNDERSTANDING AMONG THE PARTIES TO THE AGREEMENT ON TRADE IN SERVICES UNDER THE FRAMEWORK AGREEMENT ON COMPREHENSIVE ECONOMIC COOPERATION AMONG THE GOVERNMENTS OF THE MEMBER COUNTRIES OF THE ASSOCIATION OF SOUTHEAST ASIAN NATIONS AND THE REPUBLIC OF KOREA
2 The Parties to the Agreement on Trade in Services under the Framework Agreement on Comprehensive Economic Cooperation among the Governments of the Member Countries of the Association of Southeast Asian Nations 1 and the Republic of Korea (hereinafter referred to as the Agreement ) have reached the following understanding: (a) for Article 1 (Definitions) ASEAN Member Countries and the Republic of Korea understand that for Article 1(o)(i), the phrase beneficially owned shall not be construed so as to require: (i) (ii) the Philippines to allow for ownership of a juridical person inconsistent with the 1987 Philippine Constitution (the Constitution of the Republic of the Philippines); Commonwealth Act No. 108 as amended or the Anti-Dummy Law, (an Act to Punish Acts of Evasion of the Laws on the Nationalization of Certain Rights, Franchises or Privileges); Batas Pambansa Bilang 68 as amended, (the Corporation Code of the Philippines); Republic Act No. 386 (an Act to Ordain and Institute the Civil Code of the Philippines); and Republic Act No (an Act to Further Liberalize Foreign Investments, Amending for the Purpose Republic Act No. 7042, and for Other Purposes); Viet Nam to allow for ownership of a juridical person inconsistent with the Civil Code No. 33/2005/QH11 dated 14 June 2005; Law on Enterprises No. 60/2005/QH11 dated 29 November 2005; Law on Investment No. 59/2005/QH11 dated 29 November 2005 and Law on Securities No. 70/2006/QH11 dated 29 June 2006 of Viet Nam; (b) for Article 13 (General Exceptions) ASEAN Member Countries and the Republic of Korea understand that the issue relating to taxation measures under paragraph (d) of Article 13 and footnote 7 is still subject to further negotiations; and (c) for Paragraph 2 (Prudential Measures, Exchange Rate and Financial Stability) of the Annex on Financial Services ASEAN Member Countries and the Republic of Korea understand that, for this Agreement, notwithstanding the placement of paragraph 2 on Prudential Measures, Exchange Rate and Financial Stability in 1 The Parties agree that the Kingdom of Thailand may sign this Letter of Understanding at a later date upon the completion of her parliamentary procedure.
3 the Annex on Financial Services, the Parties shall not be limited to imposing the measures as provided in paragraph 2 of the Annex on Financial Services only to the financial services sector. This Letter of Understanding takes effect on the same date as the Agreement on Trade in Services and shall form an integral part of the Agreement. DONE in Singapore, this 21 st of November 2007, in duplicate copies in the English language. For the Government of Brunei Darussalam: LIM JOCK SENG Second Minister of Foreign Affairs and Trade For the Royal Government of Cambodia: CHAM PRASIDH Senior Minister and Minister of Commerce For the Government of the Republic of Indonesia: MARI ELKA PANGESTU Minister of Trade
4 For the Government of the Lao People's Democratic Republic: NAM VIYAKETH Minister of Industry and Commerce For the Government of Malaysia: RAFIDAH AZIZ Minister of International Trade and Industry For the Government of the Union of Myanmar: U SOE THA Minister for National Planning and Economic Development For the Government of the Republic of the Philippines: PETER B. FAVILA Secretary of Trade and Industry
5 For the Government of the Republic of Singapore: LIM HNG KIANG Minister for Trade and Industry For the Government of the Socialist Republic of Viet Nam: VU HUY HOANG Minister of Industry and Trade For the Government of the Republic of Korea: KIM JONG-HOON Minister for Trade
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