return icon

Businesses’ fighting spirit has never been this low: economists

VietNamNet Bridge - While Vietnam makes every effort to strive for trade liberalization internationally, it has limited liberalization internally, according to Pham Chi Lan, a renowned economist.

VietNamNet Bridge - While Vietnam makes every effort to strive for trade liberalization internationally, it has limited liberalization internally, according to Pham Chi Lan, a renowned economist.


Pham Chi Lan, a renowned economist.

Lan, who participated in a workshop on Vietnam’s joining the ASEAN Economic Community (AEC) held by CIEM some days ago, noted that more barriers to Vietnamese businesses have been erected, though the government has vowed to remove any obstacles that hinder business development.

“Vietnam spent many years trying to solve problems and remove barriers, but not many things have been done. The existing bottlenecks have not been removed, while new ones have appeared,” Lan commented on Bizlive.

The economist emphasized that the administrative procedures businesses have to follow in Vietnam are complicated and burdensome, while management agencies, with their power, can create difficulties for businesses.

Meanwhile, Vietnamese businesses have been burdened with heavy fees and charges. Citing the examples that an egg bears 14 types of fees and a pig bears 51 types of fees, Lan commented that businesses have to live in an environment with unfavorable conditions.

“Vietnam has been trying to cut tax to remove tariff barriers to goods from other countries when signing a series of free trade agreements (FTAs). However, it has created new barriers for domestic enterprises,” Lan said.

An analyst, agreeing with Lan, said he was worried about Vietnamese businesses’ integration capability, though a report says Vietnam ranks second in readiness for joining AEC.

He noted that state-owned enterprises (SOEs) have not shown their interest in integration. What SOEs are interested in is accessing ODA (official development assistance) from Japan and the EU.

Meanwhile, foreign invested enterprises (FIEs) have been taking the initiative in getting adapted to the new circumstances. Vietnamese private businesses still have not been interested in the issue, even though they have been warned that they will bear the most pressure.

The analyst said it is because 70 percent of Vietnamese small- and medium-sized enterprises do not export products; therefore, they do not feel hard pressure like export companies.

He went on to say that private businesses now have many problems to worry about in the immediate time, while they don’t have time to think about the problems that will arise in integration.

“They are meeting big difficulties every day because of the unfavorable business environment. And they are worried about the record high number of dissolved businesses,” he commented. 

Despite impressive economic growth figures, the number of dissolved businesses remained high in the first 10 months of the year.

A report from the Business Registration Administration showed that 7,641 businesses in the last 10 months fulfilled procedures to stop their operation.

Kim Chi


PM requests combined efforts to combat IUU fishing

Prime Minister Pham Minh Chinh called for concerted efforts to fight illegal, unreported and unregulated (IUU) fishing while chairing a teleconference with 28 coastal provinces and cities on December 1.

Disciplinary measures against a number of leading officials, Party organisations

The Party Central Committee’s Inspection Commission held its 23rd session in Hanoi on November 29-30, during which it proposed disciplinary actions be taken against some leading officials and party organisations.

Big bosses lose billions of dollars

Several businessmen have built a fortune over the last decade, but their ambition of obtaining growth at lightening speed has caused their assets to drop dramatically.

Vietnam Airlines operates special flight on first anniversary of VN-US direct flight

On the occasion of the first anniversary of the non-stop flight between Vietnam and the US, Vietnam Airlines  provided a special flight with surprises for passengers on the evening of November 26.

Industry in need of strategic links

With not everyone in Vietnam’s industrial landscape yet recovering from 2021’s troubles, many groups have no choice but to move from low-cost production to manufacturing higher-value products.

Cherry blossoms attract tourists to Sapa

Cherry blossoms have been in full bloom in the tourist town of Sapa, attracting lots of visitors.

President to pay State visit to RoK next week

President Nguyen Xuan Phuc and his spouse will pay a state visit to the Republic of Korea from December 4-6.

Fansipan among five top destinations for mountain trekking at year-end

Renowned tourism website Women's Weekly of Singapore has named Fansipan among the leading five destinations to visit for mountain trekking at the end of the year, with the website noting the Vietnamese mountain’s impressive views.

Dortmund chiefs predict bright future for VN football

Although this was only a friendly game with many of the German stars absent from the starting eleven due to the Qatar World Cup, the victory gave the Bundesliga team food for thought about Vietnamese players.

International designers dazzle fashion fans in Hanoi

International designers left a deep impression on fans of fashion in Hanoi with hundreds of fascinating designs presented at the Aquafina VN International Fashion Week (AVIFW) Fall/Winter 2022.

Monthly Government meeting focuses on year-end key tasks

The Government has established working groups on liquidity and currency, the real estate market and corporate bonds led by deputy prime ministers to stabilise these markets.

Vietnam to reduce environmental impact of textile-garment industry by 2030

The Vietnam Textile and Apparel Association (VITAS) has set a goal of helping Vietnam's textile and garment industry be more environmentally friendly by 2030.

Property brokers no longer manipulate prices as buyers become more cautious

As buyers have become more aware and careful about shady practices, real estate brokers have not been able to sell properties at prices much higher than their real value.

Hanoi to turn middle alluvium ground into park

One more park has been designed for Hanoians. However, it is still unclear when the project will appear, as a number of other projects are still on paper or pending.

Asian investors eye more M&A opportunities in Vietnam

Investors from Japan, the Republic of Korea (RoK), and Singapore are looking for more potential merger and acquisition (M&A) opportunities in Vietnam, pinning high hopes on the long-term growth prospects of the market.