Building business trust in business

According to the Vietnam Federation of Commerce and Industry (VCCI), businesses are facing huge challenges as in the first nine months of 2023, 165,240 businesses entered and re-entered the market, up 1.2% over the same period.

Workers at the Jinko Solar 2 photovoltaic cell technology factory in Song Khoai Industrial Park, Quang Yen town. (Photo: QUANG THO)

Although the number increased, the total registered capital added to the economy by enterprises decreased by more than 34% compared to the same period, reaching only 2.5 million billion VND, of which the registered capital of newly established enterprises was nearly 1.09 million billion VND (down 14.6%).

Notably, the whole country had more than 135,000 enterprises leaving the market in nine months, an increase of nearly 20% over the same period and higher than the same period from 2018 to 2022. This is an important indicator showing that the "health" of the business sector is alarming.

Besides, the situation where enterprises do not dare to make new investments, limit production and business expansion; civil servants do not dare to act, do not dare to decide is still happening.

Lack of confidence seems to persist in both businesses and policy-making and implementation agencies.

Enterprises also reflect that Vietnam's standards in some areas are even more demanding than those of developed countries; access to basic production and business resources (capital, human resources, land) is not really convenient; compliance costs are high, beyond the capacity of many enterprises; there is even a phenomenon of abusing the issuance of circulars, issuing technical regulations or having issued standards but when the time comes to apply them, domestic testing laboratories with sufficient capacity have not been designated, causing congestion of goods.

With these difficulties, according to the General Department of Customs, for the first time in many years, Vietnam's export growth has decreased compared to the same period. As of September 15, Vietnam's total export turnover reached 242.04 billion USD, down 8.8% compared to the same period; clearly shown in key export products such as: electronics (down 6.06 billion USD, equivalent to 14.3%), garments (down 3.8 billion USD, equivalent to 13.8%), wooden furniture (down 2.66 billion USD, equivalent to 22.8%), ...

The decline in total demand in the international market has also quickly affected Vietnamese manufacturing enterprises, causing a decline in industrial production value. Therefore, more than ever, the business community recommends building a safe business environment so that enterprises can feel secure, develop and contribute.

The business community also expects the Government to continue to issue breakthrough mechanisms and policies to help businesses strengthen their internal strength and overcome current difficulties, especially in the context of declining global trade growth, businesses falling into a passive position. At the same time, it is necessary to improve the quality of laws and the predictability of laws, increase consultation and opinion gathering, especially with circulars, planning and plans; the principle of non-retroactivity must be applied more widely...

Enterprises also hope to apply risk management in business inspection and examination to reduce arbitrariness in law enforcement.

In fact, it is not that businesses want to "grow slowly" but many businesses have consciously invested in researching and learning to "grow", but somewhere there are still problems in the mechanism, lacking sustainable strategic policies that create a premise for businesses.

Therefore, the Government needs to direct ministries, branches and localities to resolutely remove barriers for businesses, review unrealistic regulations, and not set regulations that are higher than the region, the world or higher than necessary to avoid wasting business resources.

Hopefully, the strong changes and the determination and support of the Government will create momentum for recovery and development for Vietnamese enterprises in production and business activities, helping to increase confidence in the market.

According to Nhan Dan Newspaper

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