Businesses are one of the important drivers of economic reform at provincial level in Vietnam, states a report from the Vietnam Chamber of Commerce and Industry (VCCI) and the UK Institute of Development Studies (IDS).
Businesses are one of the important drivers of economic reform at provincial level in Vietnam , states a report from the Vietnam Chamber of Commerce and Industry (VCCI) and the UK Institute of Development Studies (IDS).
The report was presented at a seminar in Hanoi on July 5.
According to the report, a dynamic government always recognises the role businesses play, especially the private sector, while the private sector always looks for support from local authorities.
Both domestic and foreign-invested enterprises play an important part in economic reforms, said the report, however, smaller sized enterprises have less influence.
The Vice Chairman of VCCI, Hoang Van Dung, said there are more than 1,000 state-owned and 13,000 foreign-invested enterprises nationwide. The provincial authorities now have more power and are more dynamic in steering the economy and supporting enterprises.
According to Professor Hubert Schmitz at IDS, Sussex University in England , the business community, especially the private sector, plays an important role in enhancing reforms in the provinces that have improved the quality of local economic management.
Vietnam has surprised the global community thanks to the speed of its economic reforms, he said, adding that decentralising certain powers from central to provincial government has contributed to the success.
Dau Anh Tuan, Deputy Director of VCCI’s Legal Department, also clarified the role the provincial competitiveness index plays in boosting reforms.
The report is a joint project between VCCI and IDS, based on an analysis of 120 interviews with businesses from every economic sector in Bac Ninh, Hung Yen, Dong Thap, Ca Mau provinces and Hanoi as well as a quantitative analysis in 63 cities and provinces nationwide.-VNA