VBF – 20 years of accompanying the business community and working towards socio-economic development goals in 2020

Minister of Planning and Investment Nguyen Chi Dung spoke at the Forum. Photo: Duc Trung (MPI)

During the past 20 years, VBF has always accompanied the Government, all levels, industries and the business community in efforts to improve the business investment environment, enhance competitiveness, remove difficulties and obstacles, promote innovation, startups, and business development. The Vietnamese business community has increasingly matured, grown up with the country, is large in number, strong in potential and is the leading driving force behind the economy's high and continuous GDP growth over the past 20 years, increasing 8 times. GDP in 1997 only reached 27 billion USD, by 2017 it is estimated to reach nearly 220 billion USD.

In his opening speech at the Forum, Minister of Planning and Investment Nguyen Chi Dung said that, based on the practice and policies and orientations of the State, VBF's specialized working groups and legal experts in many specialized fields have made important contributions to help Vietnam gradually improve the legal system, approaching international practices, increasing transparency, predictability, equality and non-discrimination. treat. In particular, the reduction and simplification of many administrative procedures has brought a new breeze to the expansion of investment and business activities of enterprises. Thanks to the efforts of both sides, the Government and the business community, Vietnam's investment environment is improving day by day.

In the new context, Government agencies have also changed their approach in advising, planning and implementing policies, enhancing the role of people and businesses. The Ministry of Planning and Investment has advised the Government to issue important Resolutions such as Resolution No. 01/NQ-CP on socio-economic management solutions; Resolution No. 35/NQ-CP on supporting and developing businesses until 2020; Resolution No. 19/2017/NQ-CP on improving the business environment, enhancing national competitiveness... Most recently, implementing Resolution No. 98/NQ-CP dated October 3, 2017 on promulgating the Government's action program to implement Resolution No. 10-NQ/TW dated June 3, 2017 of the Party Central Committee ConferenceThe 5th session of the 12th session on developing the private economy to become an important driving force of the socialist-oriented market economy, the Ministry of Planning and Investment will advise and propose the abolition of unreasonable regulations, minimize barriers, reduce risks, and eliminate discrimination in investment and business of enterprises.

>Overview of the Forum. Photo: Duc Trung (MPI)

At the same time, ministries, ministerial-level agencies, Government agencies, People's Committees of provinces and centrally-run cities and related agencies will also continue to review, evaluate and propose to abolish at least 1/3 to 1/2 of the current business conditions and administrative procedures in the field of management that are causing obstacles and difficulties for investment and business activities of enterprises.

Minister Nguyen Chi Dung said that businesses also need to be more proactive and active in innovating management and corporate governance; Strengthen production links and participate in domestic, regional and world value chains; Building brand and "credibility" in business; Take care of training and development of human resources; Research and application of science and technology; Seriously fulfill financial obligations to the State and legal regulations; Protect the legitimate rights of workers; Ensuring the environment and sustainable development.

Speaking at the Forum, Mr. Kyle F. Kelhofer, Senior Country Director of IFC in Vietnam, Laos, and Cambodia assessed that Vietnam has successfully deployed VBF in recent times. Through recommendations from the business community, the Government has issued many policies that contribute to creating connecting relationships and creating added value to strengthen and improve the business investment environment. Mr. Kyle Kelhofer said that Vietnam's investment needs to be done on a large scale, so it requires the participation of the private sector and IFC hopes to support Vietnam to create a space for private investment.

VBF Alliance Co-Chairman Hirohide Sagara also assessed that Vietnam has experienced turning points and succeeded in attracting FDI, creating connections with the world economy. Vietnam has amended its Investment Law and Enterprise Law and is highly appreciated by the business community. Mr. Hirohide Sagara believes that the recommendations of the business community in VBF will be paid attention to by the Government, contributing to improving the business investment environment, creating conditions to attract private investment, and contributing to transparency and effectiveness of administrative reform.

Appreciating the directing and operating role of the Government and the Prime Minister, Mr. Vu Tien Loc, Chairman of the Vietnam Chamber of Commerce and Industry, and Co-Chairman of VBF said that 2017 was a year with many important milestones in the Government's efforts to create a favorable business environment for the development of enterprises. The determination to build a Government that acts, creates, has integrity, and serves development is clearly taking shape from issued policies to specific actions. Many important resolutions have been issued recently such as Resolution No. 19, Resolution No. 35/NQ-CP. 2017 is determined to be the year of reducing costs for businesses, the Government and the Prime Minister have regularly paid attention toc reforming administrative procedures, simplifying business conditions, reducing inspection and examination of businesses... The Prime Minister's Working Group regularly urges and inspects the implementation of tasks by ministries, branches and localities.

The above efforts are creating more confidence in the business community. International organizations have also recognized Vietnam's efforts to improve this business environment. In the 2017 - 2018 global competitiveness report of the World Economic Forum (WEF), Vietnam ranked 55/137 economies, up 5 places compared to the previous year and up 20 places compared to 5 years ago. According to the 2018 Doing Business Report published by the World Bank, Vietnam is ranked 68/190 economies, up 14 places compared to 2017.

Prime Minister Nguyen Xuan Phuc gave a directive speech at the Forum. Photo: Duc Trung (MPI)

Speaking at the Forum, Prime Minister Nguyen Xuan Phuc highly appreciated the contributions of VBF and the business community in promoting the rapid and sustainable development of Vietnam's economy, deeply integrating with the regional and global economy. In 2017, Vietnam's economy continued to grow strongly, achieving comprehensive results in all fields, including reaching and exceeding all 13/13 planned targets, creating an exciting atmosphere in business investment and the whole society, strengthening the people's confidence. Notably, GDP growth reached 6.7%, the highest level in the past 10 years. The macroeconomy is stable, inflation is controlled, exports have increased sharply, the industrial sector has recovered clearly, becoming an important driving force of the country.and economic growth. Confidence, excitement and the spirit of innovation and entrepreneurship are spreading widely throughout society. The number of newly established businesses this year will reach a record level of over 120 thousand with newly added registered capital of over 3 million billion VND, and at the same time over 25 thousand businesses will resume operations. Registered FDI capital reached a record of over 35 billion USD, an increase of 30%, realized capital reached 17.5 billion USD, the highest in the past 10 years.

To develop together with the business community in the coming time, Prime Minister Nguyen Xuan Phuc emphasized that the Government will focus on solving 06 main issues: First, continue to maintain socio-political stability, firmly stabilize the macro economy, strongly implement strategic breakthroughs, substantially restructure the economy associated with innovating the growth model, improving productivity, quality, efficiency and competitiveness. Encourage innovation, entrepreneurship, business development, and promote sustainable growth.

Second, focus on improving the quality of institutions and legal policies, drastically reforming administration, strengthening discipline, improving the effectiveness of law enforcement and executive direction in all branches and levels. Third, promote prevention of corruption, waste, negativity, and group interests. Fourth, encourage and promote private economic development to become an important development driving force of the economy. Fifth, develop a startup and creative economy through commitments to support and create favorable conditions to cultivate and realize startup ideas. Sixth, implementing tax reform ensures transparency, fairness and efficiency, and is competitive towards high standards of the Organization for Economic Cooperation and Development (OECD)./.