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COVER STORY

the Development and Planning Depart- to in the support package is removing
ment at Vietnam Airlines, told the gath- the difficulties facing businesses in terms
ering that the target of the package is to of mechanisms and policies, thereby help-
restore and develop the economy, creating ing them reorganize production and pro-
a driving force for other industries as mote exports, Ms. Nguyen Cam Trang,
well as Vietnam Airlines to develop. He Deputy Director General of the Agency
believes it will provide a push to develop of Foreign Trade at MoIT, told the forum.
infrastructure, which is an important As MoIT agrees with the concept of
factor for the aviation sector. Analysts “considering businesses as partners, not
have said that investment in reopening subjects”, it will work with the business
this sector should be prioritized because community and will offer support to over-
when it grows, the economy also grows, come the challenges. Businesses, however,
Mr. Trung emphasized. also need to make good use of FTAs by
being independent in every respect and
WELL-TARGETED AND EFFECTIVE seek market information on quality require-
Speaking from the perspective of a State ments and target customers, she added.
management agency, Mr. Dang Quyet Tien, Mr. Nguyen Quoc Toan, Director of
Director of the Corporate Finance Depart- the Agro Processing and Market Devel-
ment at the Ministry of Finance (MoF), opment Authority at the Ministry of Agri-
said fiscal policy is one of the basic contents culture and Rural Development (MARD),
of the support package. In terms of insti- said that besides businesses, farmers also
tutions, the MoF is currently coordinating need microfinance because they require
with relevant agencies to prepare a draft capital but lack collateral. This is some-
to cement the resolution. It is expected thing that needs to be addressed, as it
that drafts will be completed in January would help farmers be financially self-
and tax exemptions and so on will be issued sufficient. “I hope that the business com-
soon. The ministry is also coordinating munity and farmers can both benefit from
with agencies to reduce interest rates. the support package,” he said.
Regarding implementation, Mr. Tien
said the MoF will make a clear announce- URGENT MATTER
ment to businesses so that final benefi- The NA resolution on fiscal and mon-
ciaries receive due support. The ministry etary policies highlights five main tasks
will also focus on reforming administrative and solutions, so the expectations of busi-
procedures to cut the time required and nesses are also very clear. However, time
ensure consistency. It is also necessary is needed for the government to detail
to strengthen inspections and supervision, more specific programs. Businesses expect
and most importantly ensure well-targeted that fee reductions and exemptions and
and effective implementation, he added. the support package will be implemented
Notably, beneficiaries of the support immediately, Mr. Viet said, because the
package also include small and medium- end of January is coming.
PHOTO: VIET TUAN
sized enterprises (SMEs), cooperatives, This will be a test of the responsibility
the pandemic over the past two years, and business households, which are con- of the State in serving the business com-
according to General Director Than Duc sidered “weak” and in need of support. munity and society, according to Mr.
Viet. Input costs and transportation costs With large enterprises and corporations, Tien. “Though it is a challenge, it is also
increasing at least 1.5-fold and raw mate- the MoF will continue to promote research an opportunity to improve management
rial costs rising 10-15 per cent have made to prepare more breakthrough mecha- capacity,” he said.
it hard for businesses to maintain or nisms and policies. If the interest rate support package is
improve productivity to cap product costs. Mr. Tien also noted that the support fully disbursed, it will bring VND2
As a result, he told the forum, the com- package not only includes policies for quadrillion ($87.95 billion) into the econ-
petitiveness of enterprises and of the recovery but also other measures, such omy and businesses will be able to borrow
country as a whole has been affected. as using hedge funds to create a wave of at favorable rates, according to Professor
He believes the financial policy package startups and ecosystems in large corpo- Dr. Hoang Van Cuong, NA Deputy and
will be suitable for businesses, but it rations. “We have not yet exploited the Vice President of the National Economics
should focus on the characteristics of trillions of dollars at hedge funds, which University. There is also a strong spillover
each business and each industry, which is a waste,” he said. In the first quarter of effect for the economy. He hopes that the
is not easy. He noted that the time just this year, the MoF will focus on advising interest rate support package will be imple-
prior to Tet is the peak for orders in the the government on issuing a mechanism mented as quickly as possible, and that
garment industry, and businesses hope to resolve this issue. Mr. Tien expressed businesses will soon be able to access it.
to use higher fourth-quarter growth to a hope that in the 2022-2023 period, The NA quickly issued its resolution,
cover for the previous three tough quarters. along with breakthroughs and the speed- and the government now needs to respond
This, however, is impossible, since the ing up of the support package, non-ben- quickly to issue specific solutions for the
Labor Law stipulates that overtime must eficiary businesses will still be restructured economic recovery and development pro-
not exceed 40 hours a week per person. to have the conditions needed to develop gram. “I want specific measures to be
“We therefore expect that the policy fits as soon as the economy recovers. issued in January,” said Mr. Phan Duc
each industry and each sector,” he said. One of the pillars the Ministry of Hieu, Standing Member of the NA Eco-
Mr. Nguyen Quang Trung, Head of Industry and Trade (MoIT) pays attention nomic Committee. %

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