Việt Nam needs “clear, transparent legal framework” to develop private economy: forum

Việt Nam needs “clear, transparent legal framework” to develop private economy: forum

Việt Nam needs a “clear and transparent legal framework,” including policies to support private enterprises as outlined in a recent National Assembly resolution, speakers said at a business forum.

Speakers at Vietnam Economic Forum themed “Private Sector: Removing Barriers - Assigning Responsibilities,” organised on Thursday by Người Lao Động (The Labour) newspaper. — Photo nld.com.vn

Speaking at the Việt Nam Economic Forum themed “Private Sector: Removing Barriers - Assigning Responsibilities,” Dr. Trần Du Lịch, former director of the HCM City Institute of Economics,, said the key message of Resolution 68 is to “remove barriers and assign responsibilities” to the private sector.

Lịch said it was vital to accurately evaluate the financial capacity and execution capabilities of businesses.

He called for the engagement of independent consultants and national advisors for major projects. “It’s important to assess investment capital and technology in accordance with international standards.”

Trần Đình Thiên, a member of the Prime Minister’s Policy Advisory Council, said despite challenges, the private enterprises are resilient and a strong to contribute to the economy. 

So expanding opportunities for this sector would render the ambitious target of achieving 8 per cent economic growth, or higher, attainable, he added.

Trần Anh Dũng, CEO of Hùng Hậu Development JSC, said it was vital to reform administrative procedures to create a supportive climate for businesses. 

He advocated for policies and an ecosystem that supports small and medium-sized enterprises, which are essential for future growth.

Phan Đình Tuệ, chairman of Bamboo Airways, recommended several specific support mechanisms for transitioning household businesses into formal enterprises. 

Nguyễn Quốc Kỳ, chairman of Vietravel Group, noted the inadequate investment in innovation and connectivity among businesses as a major hurdle to competitiveness. 

Lý Kim Chi, chairwoman of the HCM City Food and Foodstuff Association, called for the establishment of clear responsibilities among government officials.

He urged a shift in mindset to recognise businesses as equal partners, advocating for the elimination of regulatory barriers.

Legal frameworks

Lawyer Trương Thị Hòa highlighted the importance of reviewing outdated legal frameworks that hinder business growth, noting the key role of legal security in fostering a conducive business environment. 

With an objective of reaching 2 million enterprises by 2030, she said that the private sector is important for innovation and economic growth, as outlined in Resolution 68. 

“To ensure sustainable growth, it is essential to prioritize non-criminal resolutions in legal matters and focus on supporting businesses through inspections and guidance.” 

She recommended investing in the training of civil servants to uphold ethical standards and support the public and business communities. 

Limiting business inspections to once a year and conducting surprise checks solely for clear violations are viewed as positive developments, reassuring businesses that inspections are intended to assist rather than penalise, according to Hoà.

“We should continue refining our Penal Code and Criminal Procedure Code to establish a supportive legal framework, enabling businesses to invest, innovate, and grow with confidence,” she noted.

Việt Nam last month passed a resolution on private economic sector development (Resolution 68), which sets the stage for a vibrant future for entrepreneurs and businesses nationwide.

The Resolution 68 envisions the private sector as the leading driver of the economy, with a target of two million businesses and 20 large companies engaged in global value chains. 

By 2045, the private sector aims to grow to three million businesses, contributing over 60 per cent to GDP. 

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