The Prime Minister has assigned the MoF to the task, emphasising that the private economy must be one of the key driving forces for growth which helps to improve labour productivity and enhance the competitiveness of the national economy.

As part of solutions to improve institutions, mechanisms, policies, and legal regulations, the MoF has been tasked with conducting a comprehensive review of investment and business conditions, professional practice requirements, administrative procedures, and compliance costs for enterprises.

The goal is to cut down administrative procedures in a bid to reduce hassle and save costs for citizens and firms, improve the investment and business environment, quickly resolve investment procedures, and encourage investments from all economic sectors.

The PM has requested reducing at least 30% of administrative processing time by 2025; cutting down at least 30% of business costs; abolishing at least 30% of unnecessary business conditions; and ensuring all procedures related to enterprises are performed online, smoothly, seamlessly, and effectively.

With regard to support for enterprises, the MoF is required to report to the competent authorities by March 15, 2025, with proposals for policies on tax, fees, land rent exemptions, reductions, and extensions to support citizens and companies, boost production activities, tourism, and domestic consumption this year.

During the February 27 meeting with local businesses, the PM asked relevant ministries and agencies to summarise practical experiences and review policies related to private enterprises and small and medium-sized enterprises (SMEs). This includes studying and proposing the development of a new resolution of the Party Central Committee regarding private enterprises and SMEs, which will then be institutionalised and effectively implemented.

The development of the private economic sector can be viewed as one of Vietnam’s key priorities in its economic development strategy, with the ultimate aim of promoting innovation, sustainable growth, and creating more job opportunities for the people.

Competent agencies have so far issued several resolutions aimed at developing the private economic sector. The Party Central Committee issued Resolution No. 10-NQ/TW, dated June 3, 2017, identifying the development of the private economy as an important driving force for the socialist-oriented market economy.

In March 2023, the Government issued Resolution No. 45/NQ-CP on the Action Programme to implement Resolution No. 10-NQ/TW, aiming to concretise the objectives, tasks, and solutions for developing the private economy.

Statistics show that, as of December 31, 2024, there were approximately 940,078 businesses operating across the country, with 98% of them labelled as SMEs. Compared to the goal of having at least two million businesses by 2030, it is still a long way to go.

In addition, the Government’s Resolution 66/NQ-CP in 2024 sets the target that by 2030, enterprises will contribute approximately 65% - 70% of the national GDP, about 32% - 38% of total employment in the economy, and 98% - 99% of total import-export turnover.

PM Pham Minh Chinh urges SMEs to break limits for growth

Prime Minister Pham Minh Chinh has called on small- and medium-sized enterprises (SMEs) to push beyond their limits and strive for growth at a Government conference with the group on February 27.