Government spurs on business growth

14:19 | 13/06/2016 Society

(VEN) - Governmental Decision 35/NQ-CP on business development support until 2020 was issued in mid-May. The document has been welcomed as it is believed to give businesses a momentum to move forwards in the coming period.

Government spurs on business growth

Private businesses must be an impulse to improve competitiveness of the economy

Business is regarded as the object of services

The decision targets to have at least one million businesses by 2020, including large-scale enterprises, with privately owned businesses contributing about 48-49 percent of the national gross domestic product (GDP) while accounting for 49 percent of the total investment. The total factor productivity (TFP) will account for 30-35 percent of GDP. Labor productivity will increase by five percent. About 30-35 percent of domestic businesses annually adopt new scientific and technological applications.

The decision came as part of the implementation of the 12th Party Congress Resolution and the 2016-2020 Socioeconomic Development Targets approved by the National Assembly, with a focus on improving the role of businesses, especially private businesses, in the economy.

According to experts, the decision is considered as a push to domestic business development.

The government has laid stress on the role of businesses in national socioeconomic development through asking related ministries and agencies to regard businesses as the object of services and facilitate them in investment and trading in accordance with the current laws and regulations, said Nguyen Thi Minh Thao, Deputy Director of the Department of Business Environment and Competition Capacity under the Ministry of Planning and Investment’s Central Institute for Economic Management.

Equality highlighted

Governmental Decision 35/NQ-CP is supposed to ensure equality for all businesses regardless of business types or what sector they are in to access capital and natural resources as well as do business. The government will have incentives for small and medium enterprises and start-ups to encourage them to renovate production for increased productivity and product quality. It will also focus on streamlining administrative procedures and simplify inspection and control activities.

The decision decriminalizes economic and civil relations while strictly dealing with any violations of the law, said Vice Chairman of the Government Office Le Manh Ha.

To ensure a successful implementation of the decision, the government asked related ministries and agencies and centrally run cities and provinces to strictly carry out Governmental Decision 19-2016/NQ-CP on the improvement of business environment and national competitiveness capacity and Governmental Decision 36a/NQ-CP on electronic government.

Decision 35/NQ-CP and Decision 19-2016/NQ-CP attracted special attention at a national business dialogue held in late April.


Nguyen Hoa