The HCM City will continue acting as a bridge to connect commercial banks with local enterprises, and direct authorised agencies to seriously implement policies related to tax extensions, reductions and refunds.—Illustrative image/VNS File Photo

HCM CITY (VNS)— The municipal administration plans to step up efforts to help local enterprises surmount difficulties and stabilise production and other business activities, a Vietnam Economic Times report said.

It cited a report by the HCM City Party Committee as saying that City's authorities would continue co-operating with the local State Bank of Viet Nam's branch to strengthen control over activities of local credit institutions.

It would also ensure flexible management and operation of local gold and foreign exchange markets, the report said.

The City will continue acting as a bridge to connect commercial banks with local enterprises, and direct authorised agencies to seriously implement policies related to tax extensions, reductions and refunds.

"The Vietnamese give priority to Vietnamese goods" campaign will be promoted further and enterprises encouraged to invest in advanced production technology and equipment, improve product quality and sharpen their competitiveness.

The City will pay more attention to expanding the distribution network for Vietnamese goods with diversified sales approaches, and to balancing commodity supply and demand.

It will also initiate measures and mechanisms to support enterprises in reducing their inventories through greater consumption, encouraging them to sell products at industrial parks and rural and remote areas with attractive promotion programmes.

Policy influence

Reviewing the City's first-quarter performance, the report noted that the city had set up five working teams to implement Resolution No 02/NQ-CP issued by the Government in January on removing difficulties in production and trade, dealing with non-performing loans and supporting the market.

Several support programmes for local enterprises had already been carried out and achieved positive results, the report said.

In its role as a go-between, the City has created opportunities for many enterprises to access cheap bank loans. As of April 18, local banks had signed loans worth VND102.5 trillion (US$4.88 billion) at interest rates of between 9 and 11 per cent per year with local enterprises and household businesses involved in the five prioritised sectors.

Several trade promotion activities designed to help enterprises to sell their products, enhance brand recognition and find new partners had been implemented, the report said.

It said City officials had organised meetings with enterprises to understand their practical situation and offer timely help.

As a result, production and trade have showed encouraging signs of recovery in the first four months of the year. — VNS