General Secretary and President Tô Lâm: "Although it is a small and medium-sized business community, it is very large..."

DNHN - On the afternoon of August 22, General Secretary and President Tô Lâm received a delegation of the Vietnam Association of Small and Medium Enterprises. This important and meaningful event was organized by the Business and Integration Magazine.

The event of the Vietnam Association of Small and Medium Enterprises, including some prominent entrepreneurs who have been closely associated with and have actively contributed to the Association's movements, was honored to meet with General Secretary and President Tô Lâm. This reflects the concern of the Party and the State for the activities of the Association and the small and medium-sized business community.

"Although it is a small and medium-sized business community, it is very large, very great"

At the event, General Secretary and President Tô Lâm evaluated that, over nearly 20 years of formation and development, the Vietnam Association of Small and Medium Enterprises has made many efforts, overcoming many difficulties to fulfill its role in gathering, connecting, and supporting the legitimate interests of the business community, while also serving as a bridge between businesses and the authorities. The Association has also developed a strong network and actively participated in the policies of the Party and the State, contributing to the process of building mechanisms, policies, advising, supporting businesses in accessing capital, applying technology, and participating in the market...

"With the majority across the country (over 98%), small and medium-sized enterprises play an important role in economic growth, deciding daily the lives of the people. Society cannot develop without the small and medium-sized business community. Over the past time, our Party and State have always paid attention and created the best conditions for the small and medium-sized business community. The 12th Party Congress Resolution clearly identified enterprises as the driving force of economic development. In addition, on October 10, 2023, the late General Secretary Nguyễn Phú Trọng, on behalf of the Politburo, signed and promulgated Resolution No. 41-NQ/TW on building and promoting the role of the Vietnamese business team in the new era. This is an inspiration, encouragement, and motivation for the Vietnamese business team to continue to confidently fulfill their noble role and mission in the construction and development of the country in the new era."

"Although it is a small and medium-sized business community, it is very large, very great", General Secretary and President Tô Lâm affirmed.

In addition to the results achieved in the past time, the General Secretary and President also shared the difficulties and challenges that the business community in general, including small and medium-sized enterprises, have to face, especially the consequences of the COVID-19 pandemic and the global economic recession, which are still very heavy. Although many businesses have taken advantage of opportunities and advantages to break through, many others are still struggling with difficulties in a fiercely competitive environment.

While acknowledging that there is still much to be done in terms of policy framework, cooperation from various levels, and sectors, the General Secretary and President affirmed that he always appreciates and recognizes the tireless efforts and positive contributions of the business community, including small and medium-sized enterprises, to the country's economy.

A great source of encouragement for the business community

On behalf of the Association's delegation, Dr. Nguyễn Văn Thân – Chairman of the Vietnam Association of Small and Medium Enterprises shared: "In the joyful atmosphere across the country, celebrating the 79th anniversary of the August Revolution's success and Independence Day on September 2, for the first time, the Vietnam Association of Small and Medium Enterprises is honored to be received by General Secretary and President Tô Lâm with a delegation of outstanding representatives of the national business community and the leadership of the Vietnam Association of Small and Medium Enterprises. This is a great joy, a special honor, and a tremendous encouragement from the General Secretary and President for the business community, bringing new hopes to us."

Dr. Nguyễn Văn Thân also expressed deep gratitude and thanks to the Party and the State, especially General Secretary and President Tô Lâm, who has always cared for, guided, and created conditions for the business community to fulfill their mission of serving the country and the people.

At the event, Dr. Nguyễn Văn Thân also reported on the recent activities of the Association and proposed several solutions related to the Association's work:

First, he recommended that the Party and the State direct early research and promulgation of a Law on Associations to strengthen the legal framework for business representative organizations, including the Vietnam Association of Small and Medium Enterprises.

Second, he suggested that the Party and the State direct relevant agencies to closely coordinate with the Association to research and amend the Law on Supporting Small and Medium Enterprises in Vietnam, bringing the Law into life soon.

Third, he proposed that the Party and the State support the Vietnam Association of Small and Medium Enterprises with office space under preferential rental terms to strengthen the image of a national-level representative organization of the business community, while facilitating businesses to gather and contribute more effectively to the country and society.

Fourth, he recommended that the Party and the State soon direct the relevant agencies to issue plans, roadmaps, and specific tasks related to the activities of small and medium-sized enterprises according to the spirit of Resolution No. 41-NQ/TW dated October 10, 2023, of the Politburo on building and promoting the role of the Vietnamese business team in the new era.

Following Dr. Nguyễn Văn Thân, Mr. Nguyễn Kim Hùng - Vice Chairman of the Vietnam Association of Small and Medium Enterprises and Director of the Institute of Business Administration and Digital Economy of Vietnam, also expressed his honor to meet General Secretary and President Tô Lâm.

"The business community in Vietnam completely trusts the correct directions, which have been concretized by the Resolutions of the Party, the State, the Government, and the National Assembly," Mr. Hùng said.

As the Director of the Institute of Business Administration and Digital Economy of Vietnam, Mr. Hùng recognized that in the current context, digital transformation is becoming an essential tool to help small and medium-sized enterprises develop and meet the requirements of the socialist-oriented market economy.

To achieve and exceed the goal of digital economic development, Mr. Hùng proposed three main solutions: First, to promote public-private partnership (PPP) models in the field of digital transformation instead of limiting them to education. Second, to expand financial support policies for digital transformation, enhancing the expansion of financial connection channels for small and medium-sized enterprises. Third, to promote the application of technology in training and communicating the policies of the Party and the State to the small and medium-sized enterprise sector.

Proposals and recommendations of businesses

On this special occasion, some distinguished entrepreneurs who have been closely involved with and made positive contributions to the Association's movements had the opportunity to express their opinions and make several recommendations to the General Secretary and President Tô Lâm.

Mr. Lê Nguyên Hòa - Director of LHLEGAL Law Firm:

On behalf of LHLEGAL Law Firm, I would like to present some recommendations to General Secretary and President Tô Lâm as follows. Firstly, to ensure that Resolution 41 truly comes to life and creates more significant transformations, it is necessary to further concretize policies and legal frameworks. Adding appropriate economic sanctions to handle violations without criminalizing economic relations is essential to protect the legitimate rights of businesses.

Secondly, regarding the issue of inspection and examination of businesses, the burden of inspections and examinations has been somewhat alleviated according to businesses. However, despite reform efforts, there is still room to improve efficiency. To address this, there needs to be adjustments in legal regulations to ensure consistency and transparency in inspection and examination activities, and to enhance dialogue between state agencies and businesses.

Thirdly, there should be improvements in state policies to develop the business community. There needs to be policies to support small and medium-sized enterprises (SMEs), especially in accessing capital and markets. The government should also promote infrastructure development, particularly digital infrastructure, so that businesses can fully utilize technology in their production and business activities; there should be policies to support businesses in participating in global value chains, promoting exports, and enhancing international competitiveness.

Mr. Phạm Lê Hùng - Chairman of the Board of Directors of Thăng Long Investment, Trading, and Mineral Exploitation Joint Stock Company:

One of the investment projects the company is encountering difficulties with is the Thạch Khê iron mine (Hà Tĩnh province). The mine was discovered in 1960 and has been studied by many reputable and specialized corporations in mining and metallurgy. In March 2006, the mine met all the conditions for exploitation, and harmful substances were all below the permissible threshold.

Following the directive in the Politburo's Conclusion Notice No. 72-TB/TW dated May 9, 2007, Thạch Khê Iron Joint Stock Company was established to implement the aforementioned project. Regarding legal procedures, all have been completed in accordance with Vietnam's Investment Law and Mineral Law.

During the approval process, the project received high consensus from the leaders, people of Hà Tĩnh, and related ministries and agencies. However, the company has not yet been allowed to proceed with the project, and the reason given to halt the project lacks scientific and practical basis.

As an investor in the Thạch Khê iron mine project, Thăng Long Investment, Trading, and Mineral Exploitation Joint Stock Company respectfully requests the Party and State leaders to consider and resolve the difficulties for the company so that the Thạch Khê iron mine project can be restarted.

Mr. Hà Quang Dũng - Chairman of the Board of Directors, General Director of Pramac Joint Stock Company:

Aware of the challenges still facing small and medium-sized enterprises, Pramac Joint Stock Company would like to make some recommendations:

Legal support information for businesses: It is necessary to build an online portal that fully updates policies supporting small and medium-sized enterprises from the government level to ministries, sectors, and localities, including tax assistance, support for auxiliary industries, incentives for investment in agriculture and rural areas, and science and technology policies. SMEs should be encouraged to participate in the National Trade Promotion Program and to strengthen the application of online bidding.

Human resource development: Annual human resource training for SMEs should be enhanced through surveys and needs assessments. The content and methods of training should be innovated, combining investment in vocational training development, with special attention to improving the quality of technical labor.

Enhancing integration capacity: Participation in the Trans-Pacific Partnership (TPP), the ASEAN Economic Community (AEC), and Free Trade Agreements provides new opportunities for Vietnamese businesses, especially SMEs. Promoting cluster-based production, linking in industry chains to optimize processes, and improving competitiveness should be encouraged. The state should support technology innovation in industrial clusters and incubators. Industry associations should organize market surveys abroad to help businesses build and promote their brands, while also registering for intellectual property protection.

Mr. Nguyễn Nam Thiều – Chairman of the Board of Directors of Discovery Group:

To promote development in the semiconductor industry, Discovery Group hopes that: The state will develop infrastructure for the semiconductor industry – the ability to develop semiconductors depends on an effective and comprehensive infrastructure network, which needs to be at least on par with regional competitors;

Develop local capacity – to move into the mature phase of the semiconductor industry, Vietnam must shift from being a manufacturing hub and low-cost location to a country with strong local capabilities, starting with supporting the development of strong local companies participating in the industry;

Build a comprehensive semiconductor ecosystem as a comprehensive ecosystem will be the optimal solution to connect the entire semiconductor industry, allowing the transfer of knowledge and technology among stakeholders. The ecosystem will not only include foreign corporations but also strong domestic enterprises, leading universities in the field, and innovation and technology development centers.

Ms. Đặng Thị Kim Oanh – Chairwoman of the Board of Directors of Kim Oanh Real Estate Group:

In response to the government's call to build 1 million affordable housing units, social housing for low-income people, Kim Oanh Group has boldly developed a Singapore-standard social housing model in Vietnam.

Kim Oanh Group hopes that, in the near future, management levels will pay more attention and support businesses, especially real estate businesses.

Regarding social housing construction, the state should research ways to help businesses access loans more easily, especially in terms of disbursing the 120 trillion VND package. In addition, the loan package for home buyers is the most important. The Social Policy Bank is currently lending to buyers at an annual interest rate of 4.8% under long-term contracts, but it has recently suddenly notified a rate increase to 6.6% per year, causing concern among the poor. Meanwhile, Vietcombank is currently offering commercial loans at only 6%. Therefore, it is unreasonable for the Social Policy Bank to offer social housing loans at 6.6% per year.

In recent years, businesses have faced extreme difficulties but have still tried their best to take care of employees and contribute to society. According to the law, businesses can apply for deferred tax payments and will have to pay an interest rate of 0.3% per day, which equates to more than 10% per year, and businesses still accept this. Meanwhile, the current bank interest rate is lower than 10%, but businesses are still unable to borrow, even with collateral provided to the bank. In reality, some businesses have total taxes of 1.6 trillion VND, of which they have paid 85%, with the remaining 15% being paid gradually on a quarterly basis, but the tax authorities still continuously issue documents to revoke business licenses, freeze invoices, and impose travel bans. This approach is unreasonable and affects the reputation of businesses, especially those that have partnerships with foreign entities.

Continue to improve all aspects, continuously enhance the quality of activities and movements of the Association

After listening to the representatives of the Association and the business community, General Secretary and President Tô Lâm directed that the Vietnam Association of Small and Medium Enterprises should continue to improve all aspects and continuously enhance the quality of activities and movements of the Association in the coming time. At the same time, the Association should have many creative and innovative content and organizational methods to overcome difficulties and limitations within the unique conditions of the Association's operations; and fulfill the tasks and goals set out by the 4th National Congress of Delegates for the 2023-2028 term of the Association.

The General Secretary and President asked the Association to perform well its function as a professional social organization, acting as an effective bridge, representing the voice, sentiments, and aspirations of businesses, strengthening unity within the business community, and maximizing the spirit of "self-reliance, confidence, self-reliance, self-strength, and national pride," increasingly deserving to be the national representative organization, a place to gather, spread, and nurture the growth of the Vietnamese small and medium enterprise community in the cause of industrialization, modernization, international integration, and the construction of a socialist-oriented market economy under the rule of law.

According to the General Secretary and President, the activities of the Association must focus on prioritized objectives, bringing clear and practical benefits to its members, which is also the foundation for the Association to expand member participation; while emphasizing that the business community needs to actively innovate, restructure, and continuously improve. Along with that, it is necessary to strongly promote digital transformation; enhance competitiveness, build brand and product reputation; pay attention to investing in the application of technology, and take advantage of the opportunities opened up by the Fourth Industrial Revolution and Free Trade Agreements.

The General Secretary and President Tô Lâm emphasized that the Vietnam Association of Small and Medium Enterprises must guide its member businesses to operate correctly, strictly comply with the law, adhere to progressive business standards, and fulfill all financial obligations, such as paying taxes, protecting workers' rights, safeguarding the environment, and maintaining the nation's brand and reputation. He also stressed that they must firmly reject any forms of commercial fraud, the production of counterfeit goods, and low-quality products. They should focus on building strong product brands, establishing their credibility and position, and making a worthy and proud contribution to the strength of the national brand.

Affirming that the country, after nearly 40 years of renewal, is facing many great opportunities and challenges, General Secretary and State President Tô Lâm expressed his desire for the Vietnamese business community to continue rising strongly, not only excelling in economic matters but also effectively handling political and ideological tasks within the business community. He urged businesses to deepen their understanding of their honor and responsibility to the nation and the people, to unite, strive, and be creative in their work, and to fulfill their responsibilities. He also called on businesses to work alongside the Party and the State, create more jobs for society, better care for the lives of workers, actively participate in social activities, and contribute to the superiority of Vietnamese enterprises.

Bao Bao