What does the private economy do with the motivation from Resolution 68?

Proactive access to capital and land

In recent years, the private economy of the country in general and Dak Nong in particular has been constantly developing, contributing to socio-economic development. However, enterprises in this economic sector still face many difficulties in the process of expanding their scale and improving their competitiveness.

In Dak Nong , there are currently more than 3,000 private enterprises developing out of a total of 4,700 registered enterprises. Of these, nearly 900 enterprises have received loans from credit institutions.

business(1).jpg — The private economic enterprise sector still faces many difficulties in the process of developing scale and improving competitiveness.

This means that nearly 80% of enterprises in the province have not or will not borrow capital from banks in the province. The total outstanding credit balance for enterprises is nearly 8,000 billion VND, accounting for nearly 1.6% of the total outstanding debt of the entire economy in Dak Nong.

In addition to lack of capital, many businesses have not accessed land policies during the development process. Among them, businesses participating in production in the agricultural sector must be mentioned.

Mr. Le Van Cuong, Director of Green Service Private Enterprise, Cu Jut district, said that after more than 5 years of operating in the agricultural sector, the unit itself has not received any support policies.

“We have researched many support policies from the State. Many policies have been issued, and our units have also applied for support. However, there are still many barriers,” Mr. Cuong shared.

h-sx(1).jpg — In addition to difficulties and obstacles from mechanisms and policies, businesses themselves still have many limitations.

Through practical research, in addition to difficulties and obstacles from mechanisms and policies, businesses themselves still have many limitations. Most of Dak Nong businesses are lacking confidence in the current context. The reason is that the labor force has limited qualifications and skills, the planning of raw material areas is unclear, and the production and business plans are not up to the mark.

“Businesses have difficulty accessing capital, land credit, and start-up procedures are still limited. These are obstacles that reduce the resistance of businesses,” said Mr. Ho Bao, Director of Van Xuan Agri Joint Stock Company, Cu Jut district.

Resolution 68 is considered a driving force to untie the private economic sector. However, to develop strongly and comprehensively, enterprises in this sector need to change and enhance their own value.

According to Deputy Director of State Bank Region XI Pham Thanh Tinh, none other than Dak Nong enterprises must constantly improve their management, financial reporting, operations, and labor training skills.

Enterprises must develop their own effective investment plans and methods, suitable to their financial, technological and human capacity to increase value.

img_9805(1).jpg — Dak Nong enterprises borrow capital from banks to serve production needs, which is still quite modest.

“When businesses can do that, we believe that businesses will not need to borrow, but credit institutions will come to them. Banks are proactively looking for reputable and viable customers to accelerate capital flow,” Mr. Tinh affirmed.

Chairman of Dak Nong Business Association Nguyen Tri Ky said that capital and land policies are the lifeblood of businesses. Borrowing capital and having a stable source will be a prerequisite for any business that wants to develop sustainably.

Ms. Nguyen Thi Minh Nguyet, Director of Hong Duc Company Limited, Dak R'lap district said: "Enterprises must constantly enhance their value by improving their financial situation, building feasible business plans and effectively managing risks.

A business with good financial potential, transparent credit history and clear development strategy will always be a reliable partner of the bank. From here, the business will easily access preferential capital sources to serve long-term development.

Improve competitiveness

One of the inherent weaknesses of the private sector is low competitiveness. Most Dak Nong enterprises still use outdated technology and low labor productivity. To meet the requirements of sustainable development, private enterprises need to increase investment in research, technological innovation, and apply digital transformation and automation in production and management.

production-image-1(1).jpg — Enterprises need to focus on developing high-quality human resources to increasingly meet production processes.

According to the Department of Finance, businesses need to focus on developing high-quality human resources. Currently, human resources are the key factor determining the success or failure of businesses in the digital age. Private businesses need to change their mindset in human resource management, build a professional corporate culture, and a modern working environment to attract and retain talent.

“To improve competitiveness, the private economy must strengthen its links and participate in the global value chain. Private enterprises cannot develop alone, but need to form industry and regional links and participate deeply in the global value chain. Building production, service and technology clusters will help improve internal capacity and increase the competitiveness of the entire industry,” said Tran Dinh Ninh, Acting Director of Dak Nong Department of Finance.

cn(1).jpg — To develop strongly, enterprises in the private economic sector must promote linkages and enhance value.

According to Mr. Ninh, to keep up with global trends, private business leaders need to innovate their management thinking, dare to think big, dare to accept risks and dare to invest long-term. Building a flexible business strategy, orienting the market and updating new trends will be the guiding principle for the future development of businesses.

It can be affirmed that the private economy is facing great opportunities but also many challenges. To meet the expectation of becoming the main growth engine of the economy, this sector needs to restructure, innovate and develop in a sustainable direction. The success of the private economy is not only the success of enterprises, but also the driving force for strong and comprehensive economic development.

According to statistics, currently, the human resources in Dak Nong enterprises with master's degrees account for only 0.05%. The labor force in enterprises with university degrees accounts for only 8%, college degrees over 6%, and vocational secondary schools 12%. The rest are unskilled and below-unskilled laborers.

Source: https://baodaknong.vn/kinh-te-tu-nhan-lam-gi-voi-dong-luc-tu-nghi-quyet-68-254059.html