Open for private enterprises to participate in key national projects

Resolution 68 of the Politburo is opening a new development period for the private economy, a period in which entrepreneurs and businesses are ready to shoulder the country's responsibilities in the new era.

The country needs, businesses are ready

Nearly two decades since the idea was officially proposed, the North-South high-speed railway (HSR) has always been a "hot" topic, creating many forums for debate among professional agencies, scientists and people because of the huge total investment. Even now, when the project has been approved by the National Assembly, the issue of capital mobilization is still a challenging problem. According to the Government's Resolution, the project must start construction before December 2026, but it is currently facing difficulties in identifying the enterprise (DN) as the investor as well as the exploitation and operation. Therefore, as soon as VinSpeed ​​High-Speed ​​Railway Investment and Development Joint Stock Company (VinSpeed ​​Company) proposed the investment, the Government Office held a meeting to collect opinions from relevant ministries, departments and branches.

Assessing VinSpeed's proposal, Dr. Le Xuan Nghia, former Vice Chairman of the National Financial Supervisory Commission, affirmed that this is a groundbreaking and revolutionary proposal, consistent with the spirit of the newly issued Resolution 68 of the Politburo on private economic development. This proposal of the enterprise is very encouraging, showing that private enterprises are willing to shoulder major national responsibilities, even accepting risks.

VinSpeed ​​representative also affirmed that the proposal to build the North-South expressway is a specific action in response to Resolution No. 57-NQ/TW on promoting science, technology, innovation and national digital transformation and Resolution No. 68 on private economic development of the Party and State. Previously, for the first time, Prime Minister Pham Minh Chinh met with large private enterprises in Vietnam to invite them to participate in major projects. While Truong Hai Group ( THACO ) was assigned to research, produce train cars and move towards producing locomotives for the expressway, Hoa Phat Group was assigned by the Prime Minister to undertake the production of railway rails, "taking care" of the steel for the North-South expressway, the railway connecting with China, as well as urban railway lines. The Prime Minister also discussed directly with billionaire Pham Nhat Vuong, encouraging Vingroup to build a subway system from the center of Ho Chi Minh City to Can Gio District. Immediately afterwards, Vingroup Corporation quickly developed a project and sent it to the competent authority in accordance with regulations.

Representatives of ministries and branches basically support VinSpeed ​​​​Company's proposal to invest in the North-South high-speed railway project.

PHOTO: MINISTRY OF TRANSPORT GRAPHICS

Representatives of ministries and branches basically support VinSpeed ​​​​Company's proposal to invest in the North-South high-speed railway project.

PHOTO: MINISTRY OF TRANSPORT GRAPHICS

Not only Vingroup or VinSpeed, leaders of leading private economic groups in Vietnam also expressed their excitement and enthusiasm for these special "orders". Mr. Tran Ba ​​Duong, Chairman of the Board of Directors of THACO, affirmed that THACO has achieved certain foundations in the industries it is operating in to move towards a new era and develop with very clear directions and strategies set by the Government. In the field of mechanical engineering - supporting industry, THACO has formed a foundation for both product research and development and production organization; especially participating in the global value chain in mechanical engineering.

In line with the Prime Minister's direction and guidance, Mr. Tran Ba ​​Duong concluded that the group will focus on participating in urban railway construction, especially train cars and steel components. He expressed: "With a team of engineers as well as experience in product research and development, international cooperation, I promise the Prime Minister that we will have a reasonable technology transfer, organize on-site production to reduce costs and this product will have the participation of Vietnamese enterprises, responsible for quality and price. We also promise to promote cooperation through large projects, helping small and medium enterprises participate in the production chain, as well as linking to order steel manufactured according to product standards".

VinSpeed ​​'volunteers' to register to invest in North-South high-speed railway, Government opinion gives

Chairman of the Board of Directors of Hoa Phat Group Tran Dinh Long emphasized that the railway projects worth up to 250 billion USD are a great opportunity for enterprises. The development of the domestic steel industry will contribute to meeting the demand for raw materials for key national projects, reducing dependence on foreign supplies.

Many small and medium-sized enterprise leaders in all fields from transportation to tourism, manufacturing, etc. have boldly proposed special mechanisms and policies to remove bottlenecks so that they can participate in key projects and join hands to realize the great goals of the nation.

The country's resources must be reserved for Vietnamese enterprises.

Before VinSpeed, Hoa Phat Group also proposed that the Government enact a resolution on supporting private enterprises and domestic enterprises to participate in key projects in writing, clearly expressed this policy to create a great source of encouragement for enterprises that are waiting. "Vietnam can learn from the lesson of Korea, there is a resolution to boldly assign to domestic units that are manufacturing enterprises and construction contractors like us. That will solve two problems, one is that we boldly invest and importantly, when investing, we have output products. In the near future, Hoa Phat can start construction on a railway factory with an investment capital of 10,000 billion VND. This is a very special product, if it is not used for the project, we do not know who to sell it to. Therefore, we really hope to have a document like a resolution so that enterprises can confidently invest and produce products to serve the project", Mr. Tran Dinh Long proposed to the Prime Minister.

Opening a new mechanism for private enterprises to carry out key projects will bring many benefits to the country.

PHOTO: NHAT THINH

Affirming the state's determination to mobilize internal resources, right after Resolution 68, the draft Resolution of the National Assembly on a number of special mechanisms and policies for private economic development also proposed a number of specific policy groups, including a group of solutions to promote and attract private enterprises to implement key projects. formation, the state expands the participation of private enterprises in key and important national projects through direct investment or investment in the form of public-private partnership or cooperation models between the state and the private sector as prescribed. Competent persons and investors choose the form of ordering, limited bidding, designated bidding or other forms as prescribed by law to implement strategic and key national projects (high-speed railways, urban areas, foundational and spearhead industries, energy infrastructure, digital, green transport, national defense, urgent tasks) to ensure publicity, transparency, quality and security progress. Late yesterday morning, May 17, this resolution was passed by the National Assembly with 429/434 delegates present in favor.

According to Associate Professor Dr. Tran Dinh Thien, former Director of the Vietnam Economic Institute, expanding and encouraging enterprises to participate in key national projects is necessary. This is an opportunity for private enterprises to rise up. Depending on the nature of each project, the state can "place an order" with a leading enterprise or need an alliance with the participation of many other units, but it is imperative to create conditions for the participation of domestic private enterprises.

"Large projects are the country's resources that must be reserved for Vietnamese enterprises. Only when participating in key projects can private enterprises quickly improve their capacity and grow stronger. The resolution on private economic development must have clear mechanisms and policies to create conditions for the private enterprise sector to participate. This shows that we should not just stop at the Party's general policies but also implement specific actions," Associate Professor, Dr. Tran Dinh Thien emphasized.

Dr. Nguyen Quoc Viet (University of Economics - Vietnam National University, Hanoi) emphasized: Promoting and attracting private enterprises to implement national key projects is one of the new mechanisms mentioned in Resolution 68 of the Politburo. Previously, there were private enterprises participating in part or being investors in public investment projects under the forms of public-private partnership (PPP) or BOT, but they mainly participated in local projects or only in part and have not yet become real investors for a key state project.

The private economy will be the most important driving force to make the country develop strongly.

PHOTO: VG

Opening a new mechanism for private enterprises to implement key projects will bring many benefits to the country. Firstly, it helps reduce the burden of state investment capital for projects, reducing the risk of increasing public debt. Secondly, private enterprises when participating in projects partly or as project investors will take advantage of their management and operating capacity, which is quite dynamic, without stagnation, with little waste or corruption. Thirdly, large private enterprise groups often have an entire ecosystem that will promote the spread and development of the entire community from key projects, especially in transport infrastructure projects. From these benefits, it is necessary to have a specific mechanism to encourage and attract private enterprises with sufficient potential, capacity, and conditions to participate in major national projects.

However, Dr. Nguyen Quoc Viet noted that when building a special mechanism in this issue, it is necessary to obtain wide consultation and consensus. It is best to consider building a special mechanism that still follows the direction of public and transparent bidding so that many enterprises have the conditions to participate. This will avoid the emergence of group interests and distort the nature of the new mechanism to encourage private economic development.

Opportunity for "Vietnamese eagles" to do extraordinary things

In addition to opening a mechanism to attract resources from the private economy, the draft Resolution also sets the task of the State supporting the formation and development of medium and large enterprises and private economic groups of regional and global stature. formation, the State allocates the budget to support medium and large enterprises and private economic groups according to two programs: One is to develop 1,000 typical enterprises in science - technology, innovation, digital transformation, green, high-tech industry, and supporting industry; the other is to support reaching out to international markets, supporting markets, capital, technology, brands, distribution, logistics, insurance, legal advice, dispute resolution, and connection with multinational corporations.

Associate Professor, Dr. Tran Dinh Thien analyzed that in the process of promoting private economic development, Vietnam needs to focus resources and support a number of large corporations leading the economy. That is the support of the Government in creating mechanisms for private enterprises to participate in large projects and works; support enterprises to connect with foreign markets... In particular, it is necessary to build strong domestic economic corporations, leading enterprises. These will be the force leading the private sector to integrate more deeply into the global value chain, gradually upgrading the position of Vietnamese enterprises in the international market. To do this, it is necessary to focus support on a number of industries, support each enterprise, each field to form a number of Vietnamese supply chains, led by Vietnamese people, thereby creating conditions to pave the way for domestic small and medium enterprises to join the chain. Along with that is a good competitive business environment so that capable enterprises will break through and develop; Encourage start-up businesses, innovation, and contribute to forming "leading cranes" to lead economic growth...

"If we have better policies and more practical solutions, the private economic sector can achieve extraordinary achievements; there is nothing that is impossible. If given the right opportunities and fully unleashed, the private economy is not just an option, but the long-term solution for Vietnam's economic development strategy in a period of great uncertainty," Associate Professor, Dr. Tran Dinh Thien emphasized.

We have to assign many tasks to large enterprises. I am also assigning some tasks to help people form their thinking. Resources come from thinking, motivation comes from innovation. We must thoroughly understand this spirit when implementing the planning. The country's innovation will be more secure and proactive in terms of strategy when there are strong Vietnamese enterprises. The Government's policy is to share thoughts and visions, together with large launching enterprises to identify and jointly implement national projects, find solutions to the country's major problems in order to achieve the goal of making our country a developed, high-income country by 2045.

Prime Minister Pham Minh Chinh

According to the project approved by the National Assembly, the North-South Expressway project has a capital investment of about VND1,562 trillion (equivalent to about USD61.35 billion), excluding compensation costs, relocation support, and resettlement for site clearance. VinSpeed ​​​​submitted a plan to participate in the investment and be responsible for arranging 20% ​​of the total investment capital of the project, equivalent to VND312,330 billion (about USD12.27 billion). For the remaining 80% (excluding compensation costs, relocation support, and resettlement for site clearance), VinSpeed ​​proposes to borrow state capital without interest within 35 years from the date of disbursement. If approved, the company plans to start the project before December this year, speed up the construction progress, and put the entire route into operation before December 2030.

Source: https://thanhnien.vn/mo-cua-cho-doanh-nghiep-tu-nhan-tham-gia-du-an-trong-diem-quoc-gia-18525051721034834.htm