Government urged to help grow private sector

The sentiment was expressed by representatives of the Vietnam Private Business Association during a meeting with Prime Minister Nguyen Xuan Phuc in Ha Noi on Monday.

The association suggested the Government simplify procedures. The private sector currently contributes just 40 per cent of the country’s GDP. The association said that if steps are taken to make it easier to do business in Viet Nam, that figure could rise to as much as 80 per cent.

The association asked the Government to assign the private sector more demanding tasks such as investing in airports and ports. It also requested mechanisms to promote innovation and train a workforce ready to take on new jobs created by the Fourth Industrial Revolution.

At the meeting, Prime Minister Phuc said the country had a socialist-oriented market economy with various sectors including the State economy, private sector and household economy. “These sectors are equal before the law and all receive support,” he said.

The PM said the meeting was held to hear from private enterprises about their challenges. The goal was to get feedback on Party Resolution 10-NQ/TW, which deals with developing the private sector into a driving economic force.

“We must build a self-reliant economy in the context of international integration,” PM Phuc said. “Therefore, there must be a team of businesses of different types, including Vietnamese private enterprises.”

He reiterated his key principles for supporting businesses, which he earlier expressed at the Vietnam Private Sector Economic Forum 2019 in Ha Noi last month. They included businesses being treated fairly, being protected, receiving encouragement and having opportunities.

PM Phuc said one of the Government’s most important tasks was to boost the development of various different types of businesses, including private ones.

“A question that we are thinking about is how to make Vietnamese private enterprises rapidly increase in size, quantity and competitiveness in both domestic and foreign markets,” the PM said. “From there, we will enter the high value areas on the global supply chain.”

“Enterprises need to pay attention to answering this question or giving suggestions to the Government to solve it,” he said.

The Prime Minister also said he expected private enterprises to develop solutions to help sell products to and connect with foreign direct investment enterprises as well as State-owned enterprises.

PM Phuc said he wanted the private business community and the Vietnam Private Enterprise Association to show the vision and drive to succeed. They needed a reasonable strategy to minimise risks and contribute more to the growth and quality of the wider economy through job creation, budget collection and innovation.

“Private businesses should care about social responsibility, green development and sustainability, being aware of environmental protection and compliance with international laws and commitments,” PM Phuc said. “Vietnamese private enterprises should participate in anti-corruption efforts.”