Under the draft resolution, the country will have one million enterprises by the year 2020. The private sector will contribute about 48-49 per cent to GDP, and investment from people and private enterprises will account for 49 per cent of total investment. — VNA/VNS Photo Tran Viet

HA NOI (Biz Hub) —The Government resolution on Vietnamese business development would create a breakthrough in administrative management, create favourable conditions for business operations, and promote production and business activities, said Prime Minister Nguyen Xuan Phuc at a cabinet meeting yesterday to discuss the draft resolution on Vietnamese business development.

"The resolution will contribute to protect the business rights of enterprises as per the laws and wipe out hurdles and sub-licenses, which are really burdens refraining the development of the business community," said Phuc.

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Speaking at the meeting, the leader affirmed that the resolution will not discriminate between business sectors, and that foreign direct investment, State-owned and private enterprises will all be treated equally.

The Party, State and Government considered private business as a motivation to improve the competitiveness and independence of the country's economy, he said.

Under the draft resolution, the country will have one million enterprises by the year 2020. The private sector will contribute about 48-49 per cent to GDP, and investment from people and private enterprises will account for 49 per cent of total investment.

The resolution focuses on five major tasks and measures including administrative procedural reform, the build-up of a favourable business environment, ensuring business rights and equality in business opportunity and approaches to human resources, the reduction of business fees, and the protection of legal rights and benefits of enterprises.

Notably, under the resolution, chairmen of cities and provincial People's Committees will have to organise monthly dialogues with the business and investor community and set up hotlines and online Q&A meetings.

The chairmen must also take responsibility to the Government for staff management violations including any negative acts of corruption and bureaucracy.

The resolution mentions credit assistance measures for small- and medium-sized businesses and start-up enterprises. According to Vu Tien Loc, chairman of the Viet Nam Chamber of Commerce and Industry (VCCI), the first target of the resolution was to strengthen belief and trust in businesses.

"The No1 important target of the resolution is to create belief and trust in the business community," Loc said.

In addition, the resolution should focus on solving difficult issues raised in the recent meeting between enterprises and the Prime Minister, Loc said.

He suggested the resolution should be supplemented and adjusted every year.

The chamber chairman also proposed that the resolution should focus on developing private enterprises as well accelerating the restructure of State-owned businesses.

The cabinet agreed with the targets and tasks mentioned in the resolution.

Speaking at the meeting, Deputy Prime Minister Vuong Dinh Hue said, "The resolution must express a main point: that enterprises should put their trust in the State and vice versa." He also suggested that the Vietnam General Federation of Labour should act as a representative of employees as the VCCI does for employers.

According to the deputy Prime Minister, along with administrative procedural reform, the resolution must focus on measures for developing markets of capital, labour and real estate so as to effectively support business development.

He recommended setting up criteria for assessing business development effectiveness.

Concluding the meeting, PM Phuc asked the Ministry of Planning and Investment – the resolution compiler – to collect opinions so as to complete the resolution and submit it to the Government next week for approval. — VNS