Government unveils action plan to boost private sector development

Under this plan, ministries, sectors, localities, and business associations are tasked with devising and implementing widespread and regular public communication campaigns to disseminate the key content of Resolution 68. Implementation plans of each ministry, sector, and locality must include quantifiable targets and clear allocation of responsibility to ensure equitable and fair treatment of the private sector and develop open, friendly, incorruptible, and development-enbling relations between administrations and enterprises.

Relevant ministries and agencies are set to conduct a thorough review of current enterprise support policies and programmes to revise or seek revisions by higher-level authorities. The focus will be on simplifying procedures and documentation, increasing support to better reflect market conditions, ensuring adequate resource allocation, and encouraging the engagement of associations, research institutes, and universities in delivering these support measures.

Stressing the importance of improving the private sector's access to land and grounds for production and buisienss activities, the Government's plan assigns the Ministry of Agriculture and Environment to fine-tune the Land Law and related documents, and introduce mechanisms to manage land price volatility, particularly for non-agricultural land used for business purposes.

In addition, the Ministry of Finance is to amend the Government’s Decree No. 35/2022/ND-CP on the management of industrial and economic zones. This includes a proposal requiring local authorities to allocate either a minimum of 20 hectares per industrial zone or 5% of land at those zones to high-tech firms, small- and medium-sized enterprises (SMEs), and innovative start-ups.

Local administrations, meanwhile, are told to promptly publicise land use plans, coordinate effectively with political and social organisations to facilitate site clearance, and fully embrace digital transformation. The goal is to offer end-to-end online public services for handling land-related administrative procedures, thereby cutting the time needed for processing land lease applications and land use right certificates by at least 30%.

The Governmentalso tasks the Ministry of Science and Technology with finalising the draft law on science, technology and innovation. The draft should include a provision allowing businesses to allocate up to 20% of their taxable income for the funds dedicated to science, technology, innovation, digital transformation, and R&D. Businesses are allowed to use these funds to conduct R&D on their own or channel funding into contracted R&D activities.

Meanwhile, ministries, sectors, and localities are asked to boost the enforcement of the Law on Support for SMEs, as well support policies of sectors, to help SMEs improve their capacity, connect with large and FDI firms, and increase investment in priority fields.

A wood processing plant of the Y-A Chau Industrial Door Co., Ltd. in Tan Uyen City, Binh Duong Province (Photo: VNA)

The Ministry of Finance is directed to revise the Law on Bidding and its guiding documents to incorporate preferential policies designed to encourage the private sector's participation alongside the State in strategic sectors and nationally significant scientific research projects, including high-speed railway, urban railway systems, key industries, energy and digital infrastructure, green transport, and defence-security industries.

The Ministry of Industry and Trade is assigned with developing and implementing the “Go Global” programme, aimed at expanding Vietnamese enterprises’ presence in international markets. The initiative will be built upon a comprehensive review and integration of existing and planned business support schemes of sectors. It will focus on measures to assist firms in areas such as market access, brand development, distribution channels, logistics, insurance, consultancy, legal services, dispute resolution in commercial transactions, mergers and acquisitions, and connection with multinationals.

In the action plan, the Government also farms out tasks to other ministries, along with business associations, and organisations representing enterprises and entrepreneurs.