06:00 | 24/01/2021 Society
(VEN) - The capital city of Hanoi aims to register about 30,000 newly established enterprises annually during the 2021-2025 period.
|Priority should be given to businesses owned by women or those employing many female workers|
As a locomotive in the northern key economic region, Hanoi has devised many solutions for improving its business and investment environment and creating favorable conditions for the development of enterprises. Those include accelerating administrative reforms, shortening the time it takes to set up businesses, promoting online business registration, supporting new enterprises, improving competitiveness and strengthening market development. As a result, the number of newly established enterprises in the city has increased significantly in recent times.
During the 2016-2020 period, Hanoi had more than 112,000 newly established enterprises, with an average annual growth of 9.7 percent, bringing the total number of firms in the city to 292,000. In particular, the capital city granted business registration certificates to more than 27,000 enterprises in 2019.
To ensure sustainable development of enterprises, Hanoi has directed all departments and sectors to focus on synchronous implementation of solutions to overcome difficulties and resolve challenges for enterprises in their trade and production activities. The capital city has also promoted budget spending in order to implement support programs and policies and enhance knowledge and administration for businesses, as well as strengthen training of human resources for small- and medium-sized enterprises (SMEs) owned by women.
During the 2016-2020 period, local SMEs made up more than 30 percent of the city’s gross regional domestic product (GRDP), while their investment capital accounted for 25 percent of the city’s total social investment capital. In addition, the business community created more than 140,000 new jobs annually during the reviewed period.
|Industrial production at My Duc District’s Phung Xa Industrial Cluster|
Promoting economic development
The Hanoi People’s Council adopted a resolution on an SME support project in the capital city during the 2021-2025 period.
The project will provide support for SMEs and help those converted from business households play a part in sectorial links and supply chains. It aims to accelerate public administrative reforms and delivery of level 3 and level 4 public administrative services to improve the city’s provincial competitiveness index (PCI), and to achieve an average annual growth of 10 percent and record about 30,000 newly-established enterprises annually.
The project also envisions the creation of 1.5 million new jobs and targets exports of more than 25 percent of Hanoi’s total, constituting more than 40 percent of the city’s GRDP and 30 percent of the local budget.
It is expected to benefit at least 500 SMEs in manufacturing and processing in the areas of information technology, electronics, engineering, high-tech agriculture, and food and agricultural preservation and processing.
To achieve the goal, the city will need more than VND957 billion, including about VND832 billion to be funded by its own budget.
The SME support project for the 2021-2025 period has received positive feedback from businesses. Accordingly,
priority should be given to businesses that have criteria consistent with the city’s policies and strategies on developing
key industries, as well as those owned by women or employing a large number of female workers.