Local investment climate has improved: VBF

Tuesday, Jun 09, 2015 20:40

Prime Minister Nguyen Tan Dung greets participants of the Viet Nam Business Forum 2015 in Ha Noi — Photo sggp.gov.vn 

HA NOI — The country's investment climate has witnessed significant improvements following three challenging years of macroeconomic instability, according to Minister of Planning and Investment (MPI) Bui Quang Vinh.

In his opening remarks at the mid-term Vietnam Business Forum 2015 held yesterday in Hà Nội, the minister said the forum will help boost the international integration of Việt Nam, especially at the time of signing and participation in new free trade agreements (FTA).

With the theme "Enhancing Enterprise Competitiveness for Global Integration," the forum focused on the solutions and measures to develop the private economic sector and make it more competitive for global supply chain.

The minister forecasted an annual growth of 6.2 per cent for 2015, adding that local business difficulties were easing.

Chairman of the Vietnam Chamber of Commerce and Industry (VCCI) Vu Tien Loc said the local business community has recognised the Government's efforts to provide a better regulatory environment.

However, the VCCI chairman pointed out the lack of transparency in access to regulatory documents of Government agencies, unpredictable changes in rulings by regulatory agencies, and law enforcement not conducive to business still troubling local enterprises and firms.

Meanwhile, Sherry Boger, Chairperson of the American Chamber of Commerce (Amcham) emphasised that Viet Nam has been extremely successful with international economic integration in general and with the United States in particular.

She remarked that last year, the total trade between the two countries reached US$36.3 billion, up by 20 per cent. She added that it can reach nearly $72 billion by 2020 if the present trends continue, and even more with TransPacific Partnership (TPP).

The Amcham chairperson added that in 2014, Viet Nam became the leading supplier to the United States among ASEAN countries, ahead of Malaysia and Thailand. Việt Nam's share of total US imports from ASEAN was 22 per cent and can exceed 30 per cent by 2020.

Addressing the forum, Prime Minister Nguyen Tan Dung said more work needs to be done determinedly to secure the rapid and sustainable socio-economic development of Viet Nam.

He added that the Government will do more to stabilize macroeconomic elements by controlling exchange rates, inflation, budget overspending, and trade deficit.

He told the forum that the Vietnamese Government will commit to improve the business and investment climate, as well as raise entrepreneurs' competitiveness.

"Aiming to sign 14 FTAs in the coming time, Viet Nam will establish trade relations with 55 partner countries, including 15 member countries from G-20. That will be the fundamental foundation for Viet Nam to integrate with the world," said Dung.

Nguyen Thi Hong, Deputy Governor of the State Bank of Viet Nam, said the SBV has used its monetary policy tools in restructuring local financial institutions and enhancing monetary and banking regulations. As a result, it will improve investors' confidence in Viet Nam. Hong noted that the SBV will reduce the bad debt rate to 3 per cent by the end of 2015.

According to Country Director of the World Bank Victoria Kwakwa, Viet Nam has made significant progress in a number of areas and important legislations, adding that the WB will see how the country continues to move in the right direction and towards a more private sector-driven economy.

She said key FTAs will allow Việt Nam to transform itself and move towards a modern industrialised economy.

Highlighting that significant progress has been made in important issues for the businesses community, the co-chairman of Vietnam Business Forum Consoritum, Virginia B. Foote, said since the last forum, new laws on investment, enterprise, and land have been passed, while some amendments to the Tax Law were made to attract investment, support industries, and develop the local economy.

The forum was co-organised by the VBF Consortium, MPI, International Finance Corporation, and the World Bank in Ha Noi. — VNS

Comments (0)