Ho Chi Minh City People’s Committee Chairman Nguyen Thanh Phong yesterday admitted that the case of Xin chao coffee shop has largely affected local business and investment environment which the city has strived to improve to attract more investors.

At a meeting to review city socioeconomic conditions in April and the first four months this year, the chairman expressed worry as last year the city’s competitiveness index reduced two points over 2014 to grade 6 in Vietnam.

The worst concern was that the transparency index dropped from grade 4 to 17, unofficial cost index climbed from 42th to 54th grade. Fair competitiveness and business assistance index remained unchanged.

In addition, public administration performance index (PAPI) was ranked 47th in 63 provinces and cities, which Mr. Phong said a very uncomfortable issue.

In the upcoming time, he urged leaders of agencies and districts to apply any measure they can to improve investment and business environment and draw investors to the city, intensify field trips instead of solving affairs at their desks.

Office chief of the HCMC People’s Committee Vo Van Hoan stated that the city has step up IT application in management and solving administrative procedures for residents and businesses.

However they still want to directly contact officials for thorough guidance because there are many procedures they do not understand on the internet.

He wondered if the key problem in administrative reform is the attitude of local officials and public employees to residents and the attitude toward citizens is not good because of the long existing thought of ‘Ask for and give.”

Most civil servants and officials have just answered and given what residents and businesses ask instead of taking the initiative in consulting citizens about solutions they need to solve their matters.

Hence, Mr. Hoan proposed to review the staff of officials and civil servants at every organization and government agency to ensure that they have fulfilled their responsibilities and wholeheartedly guided residents.

They should not be subjective and let everything for IT systems, Mr. Hoan said.