Troubleshooting to promote production and business development

In 2023, the business community expects policies on a favorable and safe business environment to restore confidence and business vigor to promote competitiveness and develop.

Furniture enterprises wish that obstacles removed to stabilize and develop production

Continual investment environment improvement

The year 2023 is forecasted to bear great difficulties and challenges as the global economy continues to face a financial and supplying chain crisis. Moreover, the potential and fitness of most businesses have not fully recovered after the COVID-19 pandemic. Therefore, in addition to the expectation of flexible, timely and effective policies from the government, the business community also expects the local support to be closely and effectively.

Nagato Takahiko, branch president of the Japan Business Association in Binh Duong, said that the locality has made great efforts to invest in infrastructure and technology to create favorable conditions for businesses, but until now, the phenomenon of traffic jams during rush hour still remain. "We hope that the province will further promote investment in construction and infrastructure improvement; thereby, contributing to promoting economic activities in the area," added Nagato Takahiko. Besides, businesses also expect the province to continue strongly reforming administrative procedures. Tran Thuy Thach, President of the Taiwan Traders Association in Binh Duong also said that businesses wanted the province to continue to further improve the investment environment, quickly solve problems related to administrative procedures for investors to continue to invest safely in the province.

For domestic enterprises, financial resources for production and business is currently the greatest problem. Pham Van Xo, Chairman of the provincial Import-Export Association, said that currently the high anchor lending interest rate is making the business community's production and business activities resize their production or have to do business in moderation. “Export businesses are now very eager to reduce interest rates. The reason is that businesses are having to compete quite fiercely. They are forced to accept purchase orders at low prices to create jobs for workers. Therefore, the demand for loans of businesses is very humble, but they are just pending for reduction of loan interest rates."

Sharing the same view, Nguyen Liem, Chairman of the provincial Furninture Association, said that the current interest rates are making it very difficult to organize production and business operations. Currently, many furniture enterprises are operating in moderation to maintain production and retain workers. However, it is difficult for them to survive the current interest rates.

Practical and specific support

In fact, interest rates and cash flows for businesses depend on the government's macroeconomic policy. Around the issue, according to Dr. Tran Dinh Thien, former Director of Vietnam Economics, before a challenging problem with high interest rates, businesses cannot survive as many objective and subjective conditions make it difficult for the to carry on but banks cannot lower interest rates. Therefore, a fundamental approach to the financial market system as well as an institutional solution to rebalance the markets is needed. Support policies need to be changed in a more accessible direction to support production and business, not to let businesses lose motivation.

In order to continue to support the business community, Vo Van Minh, Chairman of the provincial People's Committee, affirmed that in 2023, the province will continue to focus on administrative reforms by shortening the time for issuance of investment certificates, and create favorable conditions for the investors. At the same time, the province also focuses on investing in upgrading and developing socio-economic infrastructure, prioritizing appropriate resources for areas such as traffic, urban embellishment, public water supply and drainage, education, and medicine, focusing on accelerating infrastructure investment in the direction of expanding connectivity in the direction of inter-regional and multi-modal transport, creating favorable conditions for businesses. Binh Duong is expected to make a clear change in strategic breakthroughs in infrastructure development, growth promotion and social security.

Binh Duong with the goal of digital transformation centered on people and businesses and towards the interests of people and businesses with prioritized provision of essential services to people and businesses has the digital Binh Duong application platform completed from the determination of all levels and branches of the province in the effort to build e-government towards digital government, digital economy, digital society and Binh Duong smart city. Digital Binh Duong application is expected to form an integrated communication channel between people, businesses and the provincial authority, creating convenience for people and businesses in using online public services.

Nguyen Thanh Toan, Director of the Department of Industry and Trade, said that the department is fiercely focusing on supporting the development of key industrial sectors and products, supporting industries, and developing industrial products of high scientific and technological content, implementing investment stimulus programs to support enterprises to invest in renewing machinery, equipment and technology, expanding production, and improving productivity and product quality.

In the field of trade, import and export, supply and demand movements, prices of essential commodities are closely monitored along with coordination with businesses to take timely regulatory measures, ensure the balance of supply - demand and circulation of goods through the implementation of annual market stabilization programs. At the same time, the department will promote trade development in a modern direction associated with the implementation of program to stimulate domestic consumption, improve the connection between production and the market according to the supply chain, develop the distribution system through the implementation of the domestic market development project associated with the campaign of "Vietnamese people prioritize using Vietnamese goods."

Reported by Tieu My – Cam Tu – Translated by Vi Bao