It’s time for private economy to develop

Professor Dr. Tran Dinh Thien, a member of the Government Economic Council talks about the important role of private economy in national economic development.

It’s time for private economy to develop
Tran Dinh Thien.

What should Vietnam do to turn political documents adopted at the recent 13th National Party Congress into life?

Private economy has been described as an important element in the national economy in all documents adopted at the recent 13th National Party Congress.

For a long time, the development of enterprises has been highlighted in the all Party’s documents, yet the element of development quality has not been properly treated. As a result, Vietnamese enterprises have not yet been developed as strong as they should be.

Whenever people talk about the enterprises, they often refer to them as State enterprises and the term private enterprises seems to have been forgotten.

Although the course of “đổi mới” or renewal has been going on for more than 30 years, the contribution of our private enterprises accounts for just 10 percent of the Gross Domestic Products (GDP). Meanwhile FDI enterprises accounts for 25 percent. So the development of the private economy is an important driving force for the national economy to develop. I hope that the political documents adopted at the recent 13th National Party Congress Vietnam will become a driving force for Vietnam to develop a complete strategy for Vietnamese enterprises in accordance to the principle of a market economy. 

Don’t you think it is time Vietnam should have strong enterprises serving as the mainstay for the national economy?

I highly appreciate Government’s policy to encourage the development of strong private economic groups. But that policy should be more specific. The multi-sectorial national economy, in which the private economic is recognised as an element, has helped avert the Vietnamese national economy from crisis.

 

In all the meetings of the advisory group to the Government, of which I’m a member, I told the Prime Minister that a very important element that has helped Vietnam gain success in the fight against the COVID-19 was the strong development of the private economy. And the private economy has become an important driving force for the country to move forward. However, right now, we only have a few big private economic groups. As a result they cannot play the role as a driving force in the national economic development.

If Vietnam wants to become an international economic power, we need many more strong Vietnamese private enterprises which are able to compete internationally. 

Political documents adopted at the recent Party Congress have laid a strong emphasis on the need to need to raise the national economy to a higher level. Do you have any comment on that?

I still remember, at the 1976 National Party Congress, we considered science and technology as important driving force for Vietnam to develop. And then, at the 1990 National Party Congress, an intellectual economy was introduced. By now these two proposals have not yet been totally achieved. However, we hope - in about 10 years, the economic gap between Vietnam and developed countries will be narrowed down.

Right now, Vietnam is in the course of wider and deeper international integration. So, Vietnam should utilize this opportunity as an internal driving force to take the country to a higher level.

VNS/SGDT

Private economy - pillar of the country’s development

Private economy - pillar of the country’s development

Government should take measures to protect private enterprises in key economic sectors to enhance their international competitiveness.

Party congress to highlight critical role of private sector

Party congress to highlight critical role of private sector

Vietnam’s development outlook is set to be formulated over the next few weeks when the 13th National Party Congress takes place in Hanoi, 

 
 

Other News

.
Retail industry strives to exploit US$200-billion market
Retail industry strives to exploit US$200-billion market
BUSINESSicon  03/04/2021 

The Vietnamese market had a spectacular leap in scale last year, becoming one of the 16 most successful emerging economies in the world. In which, the retail sector was extremely attractive and full of potentials, with lots of room for development.

Markets blacklisted for selling counterfeit goods
Markets blacklisted for selling counterfeit goods
BUSINESSicon  03/04/2021 

The US Trade Representative (USTR) office has blacklisted Vietnam's well-known markets in its 2020 review, for reasons of counterfeiting goods. Dong Xuan Market in Hanoi and Ben Thanh Market in HCMC have been named on the USTR blacklist. 

Mekong Delta: spoiled pigs eating sweets, and other unusual phenomena
Mekong Delta: spoiled pigs eating sweets, and other unusual phenomena
BUSINESSicon  03/04/2021 

Nguyen Hong Trang’s family in Vinh My A commune in Bac Lieu province raises pigs. More than a year ago, her sow gave birth to 11 baby pigs, one of which weighed only two kilos. As it could not suckle much, it stayed small.

Local authorities struggle to stop real estate bubble
Local authorities struggle to stop real estate bubble
FEATUREicon  03/04/2021 

The real estate market remains feverish not because of high demand and short supply, but because of speculation, experts have said.

Demand for industrial land rising: Savills Vietnam
Demand for industrial land rising: Savills Vietnam
BUSINESSicon  02/04/2021 

The sudden increase in demand for land, factories, and warehouses in Vietnam has pushed up rental costs at industrial parks (IPs) near major cities, according to Savills Vietnam.

Finance ministry studies legal framework for cryptocurrencies
Finance ministry studies legal framework for cryptocurrencies
BUSINESSicon  02/04/2021 

The Ministry of Finance is studying the legal framework for managing cryptocurrencies on stock exchanges which would pave the way for legal cryptocurrency transactions in Vietnam.

Vietnam’s airlines preparing to fly non-stop to US, resume international flights
Vietnam’s airlines preparing to fly non-stop to US, resume international flights
BUSINESSicon  02/04/2021 

Despite the Covid-19 crisis, Bamboo Airways and Vietnam Airlines have announced plans to fly non-stop to the US by the end of this year.

Plenty of room remains for growth of consumer credit market: Insiders
Plenty of room remains for growth of consumer credit market: Insiders
BUSINESSicon  01/04/2021 

Though Vietnam’s outstanding consumer credit almost tripled over the last decade, its share of total outstanding loans is yet to keep pace with that of its regional nations. 

Owner of US$7 billion system, billionaire Nguyen Dang Quang takes new step
Owner of US$7 billion system, billionaire Nguyen Dang Quang takes new step
BUSINESSicon  01/04/2021 

After Masan Group's acquisition of Vingroup’s retail chain, Masan’s Nguyen Dang Quang took great steps to master the $7 billion system and form an ecosystem for Vietnamese people.

Banks required to issue chip cards for security
Banks required to issue chip cards for security
BUSINESSicon  01/04/2021 

Vietnamese commercial banks are required to issue chip ATM cards to improve customers’ transaction security from March 31, according to the State Bank of Vietnam’s Circular No. 22/2020/TT-NHNN.

Industries bet on vaccine visa measures
Industries bet on vaccine visa measures
BUSINESSicon  01/04/2021 

In line with the global vaccine visa drive, Vietnam’s latest move to complete technical infrastructure for the availability of such a travel document in April is expected to revive industries, heralding strong economic recovery ahead.

Big businesses pour billions of dong into land purchases in Da Nang
Big businesses pour billions of dong into land purchases in Da Nang
FEATUREicon  01/04/2021 

While other land markets are hot, Da Nang remains very quiet, prompting many investors from Hanoi and HCM City to collect land plots in advantageous positions in "bottom fishing" deals.

More than 10 sugar mills shut down because of big losses
More than 10 sugar mills shut down because of big losses
FEATUREicon  01/04/2021 

Many sugar mills have had to shut down because they cannot compete with imports.

Vietnam Airlines unveils coveted US flight proposals
Vietnam Airlines unveils coveted US flight proposals
BUSINESSicon  31/03/2021 

Vietnam Airlines’ dream of a direct commercial flight to the US is being quickened as a way to shelter from the financial trouble amid the pandemic, with repatriation flights being the pre-runner for future non-stop journeys across the Pacific Ocean.

Rapid growth of online delivery services
Rapid growth of online delivery services
BUSINESSicon  01/04/2021 

The sudden, unexpected and virulent spread of the Covid-19 pandemic brought about a change in perception and planning in consumer sales behavior, and many well established businesses made a strong shift towards online delivery servicing. 

New strategy to place priority on green growth
New strategy to place priority on green growth
BUSINESSicon  31/03/2021 

The Ministry of Planning and Investment is drafting a national green growth strategy and plans to submit it to the Government by June to accelerate the transition towards a carbon-neutral economy in Vietnam.

VIETNAM BUSINESS NEWS APRIL 2
VIETNAM BUSINESS NEWS APRIL 2
BUSINESSicon  02/04/2021 

New interest rate level forecast in Q2 2021

Many Vietnamese exporters see profit soar during COVID-19
Many Vietnamese exporters see profit soar during COVID-19
BUSINESSicon  31/03/2021 

Many Vietnamese exporters have seen a sudden increase in profits during the COVID-19 pandemic.

VIETNAM BUSINESS NEWS APRIL 1
VIETNAM BUSINESS NEWS APRIL 1
BUSINESSicon  01/04/2021 

Gov't needs to provide more support for SMEs in taking advantage of the EVFTA

Aviation industry: Sasco reports profit, Nasco reports loss
Aviation industry: Sasco reports profit, Nasco reports loss
BUSINESSicon  31/03/2021 

Aviation service companies continue experiencing hardships due to the Covid-19 pandemic, but the business of Johnathan Hanh Nguyen still is making a profit.

 
 
 
Leave your comment on an article

OR QUICK LOGIN