Private sector important driving force of Vietnam’s economy

Delegates to the Congress said the development of the sector will contribute significantly to Vietnam’s international integration. 

It is the first time that the private sector has been mentioned as an important part of the economy in a draft document of a national Party Congress. Vietnam now has approximately 500,000 private businesses, which employ half of Vietnam’s workforce and generate 40% of the national GDP.

Vice-chairman of Tay Ninh province’s People’s Committee Nguyen Thanh Ngoc said the draft document reflects the Party and state’s acknowledgement of the private sector’s contributions to national development. 

He said the sector should be given more state support and opportunities for equal competition.

“We need specific directions and policies to encourage the development of the private economic sector. A fair solution would be to offer incentives on which private businesses can plan their production,” Ngoc added.

Most Vietnamese private businesses are small or medium-sized and their competitiveness, administration, and product quality are low. Delegates say economic institutions should be reformed to develop a highly competitive private business community, which will create more jobs in the future.

Deputy Party Secretary of Dak Nong province Ngo Thanh Danh noted, “Specific policies for each type of business and each region are needed. Prompt motivation and encouragement will increase the role of private businesses in the economy.”

Delegates believe that the Party’s ideology on the private economic sector at this congress will soon be turned into policies and mechanisms.