Removing barriers to promote start-ups

Vietnamese enterprises contribute about 40% of the GDP every year, generate thousands of jobs, and help to address national social issues. Many enterprises remain on a small scale with low degree of professionalism. The number of successful start-ups is still modest. Administrative procedures and regulations on taxation, and competition have disturbed enterprises’ operation. 

Do Thi Kim Lien, Chairwoman of the Board of Directors of Song Duong Company said “Enterprises need to improve professionalism and qualifications. In the integration process, enterprises need to understand international business laws otherwise we have to pay a heavy price”.

Promoting start-ups and mapping out directions for enterprises are vital requirements for Vietnam. Start-up does not just mean establishing a business, but also restructuring a business in terms of products, services, management, and technology. 

Pham Thi Thu Hang, Secretary General of the Vietnam Chamber of Commerce and Industry said “Government resolution 35 on supporting and developing enterprises until 2020 spells out solutions including a program on promoting creative start-ups. Under this program, the government aims to include supporting creative start-ups in the Law on Supporting SMEs. There have been policies on supporting SMEs and encouraging individual traders to become enterprises. The government has done a lot to create a favorable environment for enterprises.”

2016 is being observed as the National Year of Start-ups with a goal of having 1 million profitable businesses by 2020. The Ministry of Planning and Investment is building the Law on Supporting SMEs. 

The Vietnamese government has put in place special incentives concerning administrative procedures, business registration, taxation, land access, and production technology to create a momentum for start-ups and big enterprises to develop and integrate into the world.