Practical support policies to meet business needs
According to statistics, the city currently has more than 40,200 enterprises, branches and representative offices in operation, with a total registered capital of VND 257,065 billion. The contribution of enterprises to the total domestic revenue in the city in 2021 was VND 13,926.2 billion, accounting for 79% of the total domestic revenue in the city (VND 17,683.2 billion); in 2022, the revenue contributed by enterprises was VND 13,952.6 billion, accounting for 74.5% of the total domestic revenue in the city (VND 18,732 billion); in 2023, enterprises contributed VND 13,802.7 billion, accounting for 75.7% of the total domestic revenue in the city (VND 18,236.4 billion).
Permanent Vice Chairman in charge of the City People's Council Tran Phuoc Son chaired the meeting.
Reporting at the meeting, Deputy Director of the Department of Planning and Investment Nguyen Thi Thanh Huong said that from 2021 to now, in order to promptly support businesses to overcome difficulties, restore and expand production and business, the Central Government and the city have issued many important support policies, including practical policies that meet the needs of businesses such as policies on capital, interest rates, taxes, fees, etc.
Regarding the Central Government's support policies, accumulated from the beginning of the program to the end of December 2023, the loan turnover of the 2% interest rate support program from the state budget according to Decree No. 31/2022/ND-CP dated May 20, 2022 of the Government, Circular No. 03/2022/TT-NHNN dated May 20, 2022 and Directive 03/CT-NHNN dated August 16, 2022 of the State Bank of Vietnam reached VND 3,750 billion, the amount of interest rate support reached VND 20.9 billion, for 92 customers.
With the banking industry's support policy for customers facing difficulties in production and business activities and repaying loans to serve their living and consumption needs according to Circular No. 02/2023/TT-NHNN dated April 23, 2023 of the State Bank of Vietnam, accumulated to December 31, 2023, the total value of debt (principal and interest) that has been restructured and the debt group maintained is VND 5,631.37 billion, with 565 customers having their debt restructured. Implementing Decree No. 52/2021/ND-CP dated April 19, 2021 of the Government on extending the deadline for payment of value added tax, corporate income tax, personal income tax and land rent in 2021, 5,834 taxpayers have been granted an extension, 5,834 with the amount of VND 1,321.62 billion.
Regarding 17 separate policies issued by the city to support the business community, currently 15 policies are continuing to be implemented and 2 policies have expired. Of which, the policy to support the reduction of infrastructure usage fees in 2021 for enterprises leasing land, subleasing land in Da Nang High-Tech Park and industrial parks affected by the Covid-19 pandemic according to Resolution No. 63/NQ-HDND dated December 17, 2021 of the City People's Council has supported 342 enterprises with an amount of 26.4 billion VND.
The policy of promoting industry and developing the production of souvenir products for tourism in Da Nang city according to Resolution No. 324/2020/NQ-HDND dated December 9, 2020 of the City People's Council has supported 8.12 billion VND; the policy of supporting the implementation of the Trade Promotion Program of Da Nang city according to Decision No. 13/2016/QD-UBND dated April 20, 2016 of the City People's Committee has supported over 9.33 billion VND; the policies of supporting enterprises in technological innovation in Da Nang city according to Resolution No. 18/2016/NQ-HDND dated August 11, 2016 of the City People's Council have supported 72 enterprises with a total cost of over 8.5 billion VND...
Deputy Director of the Department of Planning and Investment Nguyen Thi Thanh Huong reported at the meeting.
According to the City Tax Department, the amount of support for people and businesses has never been as large as in recent years, thereby contributing to solving difficulties, creating motivation to help businesses overcome difficulties, expand production and business, creating favorable conditions to promote economic recovery and growth.
This is reflected in the total revenue from consumer goods and services in 2022 in the city increasing by 43.9% over the same period, contributing to a 13.2% increase in the gross regional domestic product (GRDP) compared to 2021, and a 5.9% increase in the total domestic budget revenue in 2022 compared to 2021. Continuing the growth momentum of 2022, in 2023, the total revenue from consumer goods and services increased by 16.8% compared to 2022, GRDP increased by 2.58% compared to 2022, and the total domestic budget revenue in the city excluding land use fees increased by 4.7%.
Review to adjust and improve the effectiveness of policies
According to Deputy Director of the Department of Planning and Investment Nguyen Thi Thanh Huong, in addition to the achieved results, there are still certain difficulties and limitations in the implementation of business support policies. Some policies have not been implemented effectively in practice, and not many businesses have benefited from them. The reason is that some support policies have quite complicated regulations, causing difficulties for beneficiaries when determining the content and level of support; some policies have been implemented late, leading to not being able to reduce the burden on businesses in time; some policies are still interrupted and have not been implemented continuously.
In addition, regulations on support conditions, support objects, complicated dossier components or tightened regulations make many businesses in need but not eligible to enjoy the policy; during the policy implementation process, some support contents are no longer suitable for practice or no longer suitable for new regulations of the Central Government.
Speaking at the meeting, Permanent Vice Chairman in charge of the City People's Council Tran Phuoc Son commented that the timely issuance and implementation of support policies by the Central Government and the City have had specific impacts on different groups of beneficiaries, partially solving the immediate difficulties of businesses, creating financial resources for businesses to maintain investment, production and business activities and increasing motivation and "resistance" for businesses to develop, thereby contributing to increasing budget revenue, creating jobs, and developing the city's socio-economy.
“Implementing policies to support businesses not only helps businesses overcome difficulties, maintain and develop their business, and is a measure to help sustainably nurture revenue for the state budget, but also has great significance in conveying a humane message about the understanding and companionship of the Party and Government with the business community and the people,” the Standing Vice Chairman in charge of the City People's Council emphasized.
In order to bring support policies closer to businesses and meet their expectations, the Standing Vice Chairman in charge of the City People's Council, Tran Phuoc Son, said that the Department of Planning and Investment, as the general management agency for business operations, needs to advise the City People's Committee to review and evaluate the implementation results of support policies as well as the effectiveness of the policies, thereby making specific recommendations and proposals for each policy, such as which policies are currently effective and should continue to be maintained; which policies have complicated procedures and take a lot of time; which policies are being effectively applied but the support level is still modest; which policies are not suitable for reality and should be revised, supplemented or abolished.
According to the Standing Vice Chairman in charge of the City People's Council, the report of the Supervisory Delegation on the implementation of business support policies in the city will be submitted to the People's Council at the mid-year session of 2024, as a basis for proposing the issuance of new policies in the coming time. "In order for new policies to be truly effective and meet the needs of businesses, it is recommended that advisory agencies in the policy-making process should consult the business community; at the same time, it is necessary to promote information and propaganda work, helping all businesses in need to access the policies, in order to bring the policies into life and promote their effectiveness," said Standing Vice Chairman in charge of the City People's Council Tran Phuoc Son.
NGO HUYEN
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