Vietnam and China discuss policies to support private-sector growth

Vietnam and China discuss policies to support private-sector growth

On September 21, at the Ministry of Finance headquarters in Hanoi, Deputy Minister Nguyen Duc Chi held talks with a delegation from the Central Social Work Department of the Communist Party of China Central Committee, led by Zhao Shitang, Deputy Minister of the department.

Deputy Minister of Finance Nguyen Duc Chi and Zhao Shitang, Deputy Minister of CPC Central Committee's Central Social Work Department. Photo: Duc Minh

Deputy Minister Chi warmly welcomed the delegation and highlighted the significance of the visit in learning about Vietnam’s management of the non-state business sector, particularly the registration, management, and operation of private enterprises.

Providing an overview of Vietnam’s domestic economy, the deputy minister said that after nearly 40 years of economic reforms, the business sector has established itself as one of the strategic pillars of the economy.

The private sector currently contributes more than 50 per cent of Vietnam’s GDP, accounts for over 30 per cent of total state budget revenue, and provides employment for more than 82 per cent of the country’s total workforce.

Resolution No.68-NQ/TW of the Politburo on private-sector development identifies the private economy as the most important driving force of the national economy. As of the end of August , Vietnam had more than one million active businesses.

By 2030, Vietnam aims to have two million operating private enterprises nationwide, with the sector’s contribution rising to 55-58 per cent of GDP and around 35-40 per cent of total state budget revenue.

To realise these objectives, the National Assembly and government have moved to institutionalise the policies through key documents, while also revising and supplementing relevant legislation.

The policies focus on creating a more open and transparent investment and business environment, enabling the non-state sector to participate in major national projects, and mobilising financial resources, particularly to support the stronger development of small and medium-sized enterprises.

At the meeting, representatives of MoF's Department of Private Enterprise and Collective Economy Development provided a detailed presentation on the legal framework, state management, and policy orientations aimed at encouraging Vietnam’s private sector.

Photo: Duc Minh

Deputy Minister Shitang said the delegation had studied Vietnam’s development plans for 2026-2030, giving it a deeper understanding of the workload and important tasks being undertaken by Vietnam’s finance sector.

The Chinese delegation particularly highlighted the important role of foreign-invested enterprises, including Chinese businesses, in Vietnam’s economy. Chinese investors regard Vietnam as a key strategic destination, with their presence extending from southern areas around Ho Chi Minh City to northern provinces such as Bac Giang and Bac Ninh.

The Chinese side expressed confidence that, with the investment environment continuing to improve and with practical support from the Vietnamese government and the MoF, investment flows from China would continue to increase strongly in the coming period.

Deputy Minister Chi wished China success in hosting the APEC Economic Leaders’ Meeting scheduled for November. The two sides also acknowledged the traditional friendship and effective cooperation between Vietnam and China across the political, economic, and trade spheres. Given the two countries’ geographical proximity, bilateral economic ties are expected to become increasingly close and supportive.

He agreed with the proposal to establish a closer channel for exchanges and cooperation between CPC Central Committee's Social Work Department and Vietnam’s MoF.

He added that the period leading up to 2030 would bring significant challenges. Vietnam is determined to make every effort to achieve its targets, while viewing greater sharing of experience in managing social organisations and businesses as a practical step towards strengthening the comprehensive strategic cooperative partnership.

VIR