Government determined to improve investment environment

09:53 | 14/07/2016 Investment

(VEN) - Governmental Decision 19/2016/NQ-CP is intended to see Vietnam enter the top four ASEAN countries thanks to an improved business environment in 2017 and top three ASEAN countries by 2020. Economists believe this target will be a major challenge to Vietnam.

Government determined to improve investment environment

Business environment gradually improved

Speaking at the workshop to implement Governmental Decision 19/2016/NQ-CP on improving business environment and national competitiveness capacity jointly held by the Government Office and the Ministry of Planning and Investment’s Central Institute for Economic Management (CIEM), Director of CIEM’s Business Environment and Competitiveness Department Nguyen Minh Thao said that the implementation of Governmental Decision 19/2014/NQ-CP and Governmental Decision 19/2015/NQ-CP have positively improved the country’s business environment and national competitiveness capacity. Vietnam jumped from 68th to 56th place by the World Economic Forum last year, marking the highest jump since 2012.

The World Bank also acknowledged Vietnam’s three-step jump last year from 93rd ranking in business environment thanks to improvements in five of ten indexes related to business start-up and power and credit accesses.

However, Vietnam remains far behind regional countries in these indexes. For example, it will take business people 20 days to start up a business in Vietnam, but only four days in Malaysia and 2.5 days in Singapore.

More drastic measures should be taken

Governmental Decision 19/2016/NQ-CP came to define concrete targets and solutions to improve business environment and national competitiveness capacity through public administrative reforms which are believed to improve the transparency and effectiveness in state administration. The decision contributes to consolidate links between the government and business communities through assigning ministries, agencies, localities, business associations and the Vietnam Chamber of Commerce and Industry concrete tasks.

The Ministry of Planning and Investment was asked to rapidly issued circulars guiding the implementation of the Enterprise Law and Investment Law, prepare regulations on business and investment conditions and management.

The Ministry of Finance was asked to adopt electronic tax declaration, payment and repayment methods to cover at least 95 percent of all tax-related procedures, publicize a complete tax repayment database to facilitate tax management and monitoring.

To effectively implement Governmental Decision 19/2016/NQ-CP which is part of the government’s resolution to improve business environment and national competitiveness capacity, all involved in the implementation should struggle to function the best. In addition, every entrepreneur should be fully aware of why and how to improve business environment and national competitiveness capacity. 


Nguyen Hoa