Province solves difficulties, support businesses to operate stably

During the first 6 months of this year, the consumption market was narrowed, there was a lack of orders, many enterprises of textiles, garments, footwear, timber etc. in the province faced difficulties in production and business activities. Binh Duong has actively received opinions and recommendations of businesses to propose solutions supporting enterprises to maintain stable operations.

Vo Van Minh (right end), Chairman of Provincial People's Committee, visits and encourages workers of King Jade Vietnam Industry Co., Ltd. to overcome difficulties.

Difficulties pile up

On June 21, Binh Duong Provincial People's Committee held the sixth meeting to assign tasks of solving difficulties for enterprises in the area. Vo Van Minh, Deputy Secretary of Provincial Party Committee, Chairman of Provincial People's Committee, chaired the meeting, with the participation of Mai Hung Dung, Member of Provincial Party Standing Committee, Permanent Vice Chairman of Provincial People's Committee, together with leaders of some departments and branches.

Reports at the meeting said that in the face of difficulties, businesses suggested that departments and agencies need to regularly inform central and provincial policies on business and production recovery support. Many businesses believe that although the current loan interest rate is gradually decreasing, credit institutions are applying risk management standards according to international practices, making it difficult for businesses to access loans. Thereby, businesses recommended diversifying banking products and services, apply interest rate support policies, simplify lending procedures to create favorable conditions for businesses...

As of mid-June-2023, the province added more than VND35,300 billion of registered capital for domestic business. In which, there were 2,852 newly registered enterprises with a total charter capital of VND23,213 billion. Accumulated up to now, the province has 62,331 domestic enterprises with a total registered capital of VND665,891 billion. There are 21 newly established FDI enterprises with registered capital of VND837.7 billion. Facing the common difficult situation, the whole province had 294 enterprises completed dissolution procedures, an increase of 43.4%; 489 enterprises registered to suspend their business, down 27.88%; 157 enterprises abandoned their addresses, down 12.29 % over the same period in 2022.

At the meeting, leaders of Management Board of Industrial Parks (IPs) of the province submitted a proposal to remove difficulties in investment activities and production expansion of enterprises in IPs. Accordingly, due to some related regulations, the Management Board of Provincial Industrial Parks is rejecting several projects that do not have a business or have a business but are not in the functional subdivision of the IP. Access to loans for social housing development is very difficult, the collateral is the whole project, but the loan rate is too low. Banks only approve loans to social housing buyers, not to investors for social housing development. Enterprises also recommended Provincial People's Committee to increase the limit to create favorable conditions for investors to borrow loans developing social housing, and to propose the Central Government to increase additional capital...

Unlock the knot

Knowing the difficult situation of enterprises, following the direction of Provincial People's Committee, departments and branches of the province received information and noted recommendations to solve problems. Namely, Department of Industry and Trade collaborated with Department of Planning and Investment, Department of Foreign Affairs to advise Provincial People's Committee to organize dialogue sessions with industry associations to promote trade business, market connection...

Thereby, recommendations and proposals of enterprises in various fields were sent to departments and branches; then key solutions were developed to "unlock bottlenecks" that cause difficulties in production and business activities. In petroleum business, Department of Industry and Trade coordinated with relevant departments and agencies to help qualified shops and retailers return to business, contributing to ensuring the fuel supply to serve the travel and production needs of people and businesses...

Department of Construction also coordinated with related branches to actively remove obstacles, especially recommendations on capital, provide and confirm information, simplify administrative procedures, especially appraisal, consideration and settlement of people's social housing purchase dossiers. At the meeting, concerning shortcomings in the appraisal and verification of residence records of people wishing to buy social housing, representatives of Provincial Bank for Social Policies, Department of Construction also discussed shortcomings, and at the same time made recommendations to assist people wishing to buy social housing in completing loan procedures as soon as possible.

Regarding this issue, Vo Van Minh asked Provincial Police to review and help people make a certificate of residence according to regulations; Department of Construction and Provincial Bank for Social Policies need to create a continuous information connection channel during the process of receiving, considering and settling, in order to support people in getting early access to social housing loans, this is also a solution to solve product consumption issue for businesses and investors.

Speaking at the meeting, Vo Van Minh appreciated the efforts of the Steering Committee; many difficult issues, problems and urgent recommendations of enterprises were received, solved by the departments and branches, receiving positive feedback. Mr. Minh also noted the recommendations and proposals of departments and branches to consider and solve the issues according to their competence and continued to gather issues beyond the competence to propose to the Government and related ministries.

Vo Van Minh, Deputy Secretary of Provincial Party Committee, Chairman of Provincial People's Committee: As for difficulties in licensing investment in industrial zones, it is important to create the most favorable conditions for enterprises wishing to expand and make new investments. However, the Management Board of Provincial Industrial Parks and related departments, branches should prioritize the list of industries with high technology content, less labor intensive, and environmental safety. In particular, it is necessary to pay attention to creating favorable conditions for occupations in accordance with the announced list, to ensure infrastructure for wastewater treatment, emissions, to avoid labor-intensive, electricity-intensive, and to pay attention to the surrounding environment.  In construction and real estate sectors, besides removing difficulties for businesses, it is necessary to resolutely handle related violations.

Reported by Minh Duy - Translated by Ngoc Huynh