Third wave of reform: 20% more regulations on businesses to be cut

The Vietnamese government’s Resolution 68 that aims to reduce business regulations by 20% and at least 20% of costs is seen as the Government’s third wave of reform.

Chairman of the Government Office Mai Tien Dung

At the latest press conference of the Government Office on the program to reduce and simplify regulations related to business activities in the period 2020-2025 according to Resolution 68 of the Government, Chairman of the Government Office Mai Tien Dung said that over the past years, the Government and the Prime Minister have always paid attention to institutional reforms and e-Government development in the operation of State agencies to better serve people and businesses.

In the 2007-2010 period, Vietnam reduced and simplified 4,818 out of 5,421 procedures, equivalent to 37.31%, saving nearly VND30 trillion per year of social costs. The figures were 3,893 out of 6,191 business conditions and 6,776 out of 9,926 line of goods subject to specialized inspection reduced and simplified in 2016-2020, with a total social costs of more than 18 million working days per year, equivalent to about VND6.3 trillion saved.

However, Minister Mai Tien Dung noted that among the current legal documents, there are still many inadequate regulations, which are barriers to production and business. The regulations are still performed manually, which incur unnecessary administrative burdens.

Therefore, on May 12, 2020, the Government issued Resolution No. 68 on the Program to reduce and simplify regulations related to business activities in the period 2020-2025.

The program sets specific goals for the period 2020 - 2025: to reduce and simplify at least 20% of regulations and cut at least 20% of the cost of regulatory compliance related to business operations in documents effective to May 31, 2020; and at the same time, to minimize the number of current documents related to business operations and strictly control the issuance of new documents in order to prevent the emergence of unnecessary, unreasonable, illegal regulations that cause difficulties for businesses and people to do business.

The Chairman of the Vietnam Chamber of Commerce and Industry (VCCI) Vu Tien Loc said that Prime Minister Nguyen Xuan Phuc repeatedly emphasized the important role of institutional improvement. During this term, there have been three waves of reform, Loc said.

Chairman of the Vietnam Chamber of Commerce and Industry Vu Tien Loc

The first took place in 2016 when thousands of sub-licenses under the Investment Law and Enterprise Law 2014 were removed. The second wave was to review, cut and simplify 50% of business conditions and specialized inspection procedures.

 

The third wave comes with Resolution 68 that aims to cut business regulations by 20% in five years.

“One term with three waves, the Government has succeeded with promoting institutional reform, in a more methodical way. This is also the first term that the Government has set a target to develop 1 million businesses and to improve the business environment under Resolution 19 and Resolution 02 in a drastic way," Loc said.

According to a VCCI survey, the percentage of businesses that have to apply for a license in business conditions has decreased from 58% to 48%. This is not only a matter of money or time but also a matter of trust. The results show that the trust of the business community has increased.

"I hope that Resolution 68 will promote a new wave of reforms in business regulations, which is very important to the Vietnamese economy," said Loc.

According to the World Bank's global business environment rankings for the 2016-2020 period, Vietnam increased by 20 places, ranking 70/190 countries and economies and 5th in ASEAN.

According to the Global Competitiveness Index 4.0 of the World Economic Forum, Vietnam's competitiveness increased 10 places in the 2018-2019 period, from 77th to 67th out of 141 countries and 7th in ASEAN.

The US News & World magazine ranked Vietnam 8th out of 80 top countries for investment.

Thu Hang

 
 

Other News

.
Mekong countries, RoK agree to lift relations to strategic partnership
Mekong countries, RoK agree to lift relations to strategic partnership
POLITICSicon  14/11/2020 

Mekong countries and the Republic of Korea (RoK) on November 13 agreed to lift bilateral relations to a strategic partnership.

Mekong countries and partners boost cooperation
Mekong countries and partners boost cooperation
POLITICSicon  14/11/2020 

The 2nd Mekong-the Republic of Korea Summit and the 12th Mekong-Japan Summit took place via teleconference in Hanoi.

Thinking on development should be renewed
Thinking on development should be renewed
FEATUREicon  14/11/2020 

In the 2021 - 2030 period, it is necessary to renew thinking, accelerate institutional reform, and apply scientific and technological advances, innovation and digital transformation.

Vietnam pledges contributions to regional COVID-19 fight
Vietnam pledges contributions to regional COVID-19 fight
POLITICSicon  13/11/2020 

Vietnam will contribute 100,000 USD to the ASEAN COVID-19 Response Fund and is committed to contributing $5 million worth of medical supplies to the Regional Reserve of Medical Supplies, 

Thai Deputy PM speaks highly of Vietnam as ASEAN 2020 Chair
Thai Deputy PM speaks highly of Vietnam as ASEAN 2020 Chair
POLITICSicon  14/11/2020 

Deputy Prime Minister and Foreign Minister of Thailand Don Pramudwinai talked about issues discussed at the 37th ASEAN Summit and related meetings, held virtually from November 12-15, and the role of Vietnam as the ASEAN Chair in 2020.

East Sea issues must be resolved peacefully, constructively: Malaysian PM
East Sea issues must be resolved peacefully, constructively: Malaysian PM
MARITIME SOVEREIGNTYicon  13/11/2020 

Malaysia is firm with its stance that matters relating to the East Sea (known as the South China Sea internationally) must be resolved peacefully and constructively, Prime Minister Muhyiddin Yassin said on November 12.

Vietnamese, Polish ministries sign MoU on finance cooperation
Vietnamese, Polish ministries sign MoU on finance cooperation
POLITICSicon  13/11/2020 

The finance ministries of Vietnam and Poland have signed a memorandum of understanding (MoU) on cooperation in a range of fields between the two sides.

12th Mekong-Japan Summit opens
12th Mekong-Japan Summit opens
POLITICSicon  13/11/2020 

The 12th Mekong-Japan Summit was held online on November 13, under the chair of Prime Minister Nguyen Xuan Phuc and his Japanese counterpart Suga Yoshihide.

Vietnamese PM chairs 21st ASEAN-RoK Summit
Vietnamese PM chairs 21st ASEAN-RoK Summit
POLITICSicon  13/11/2020 

Prime Minister Nguyen Xuan Phuc chaired the 21st ASEAN – Republic of Korea Summit in Hanoi on November 12.

23rd ASEAN-Japan Summit held online
23rd ASEAN-Japan Summit held online
POLITICSicon  13/11/2020 

The 23rd ASEAN-Japan Summit was held online under the chair of Vietnamese Prime Minister Nguyen Xuan Phuc.

ASEAN Women Leaders’ Summit held
ASEAN Women Leaders’ Summit held
POLITICSicon  13/11/2020 

The ASEAN Women Leaders’ Summit was held on November 12 within the framework of the 37th ASEAN Summit and related meetings.

ASEAN Women Leaders’ Summit encourages women to prove their role
ASEAN Women Leaders’ Summit encourages women to prove their role
POLITICSicon  13/11/2020 

The role of women and gender equality-related issues will be discussed comprehensively for the first time at the ASEAN Women Leaders’ Summit held online on November 12, 

Leaders stress need for post-pandemic economic recovery at ASEAN+1 summits
Leaders stress need for post-pandemic economic recovery at ASEAN+1 summits
POLITICSicon  13/11/2020 

Leaders of 10 ASEAN Member States and their partners of China, Japan, the Republic of Korea (RoK) and India discussed measures to boost post-pandemic economic recovery and ensure global supply chains 

PM speaks highly of Mekong-RoK cooperation
PM speaks highly of Mekong-RoK cooperation
POLITICSicon  13/11/2020 

With strong commitments and resolve of member countries, cooperation between Mekong countries and the Republic of Korea (RoK) has developed in both depth and width, Prime Minister Nguyen Xuan Phuc said on November 13.

China’s Coast Guard bill: ‘a test’ for the new US President
China’s Coast Guard bill: ‘a test’ for the new US President
MARITIME SOVEREIGNTYicon  13/11/2020 

While the world focused on the US presidential election, tensions in the East Sea have not been relieved as provocative actions from Beijing continued.

Connectivity could be the fourth pillar in ASEAN Community: Ambassador
Connectivity could be the fourth pillar in ASEAN Community: Ambassador
POLITICSicon  13/11/2020 

On the occasion of the 37th ASEAN Summit, Tran Duc Binh, Ambassador and Permanent Representative of Vietnam to ASEAN, wrote an article extolling the importance of the Master Plan on ASEAN Connectivity (MPAC),

Vietnam's ASEAN 2020 Chairmanship: Overcoming challenges to stay responsive
Vietnam's ASEAN 2020 Chairmanship: Overcoming challenges to stay responsive
POLITICSicon  12/11/2020 

Nguyen Quoc Dung, Vietnamese Deputy Minister of Foreign Affairs and head of Vietnam's ASEAN Senior Officials' Meeting, speaks to media about the contributions of Vietnam in its capacity as ASEAN Chair 2020

ASEAN and Vietnam’s active contributions
ASEAN and Vietnam’s active contributions
POLITICSicon  12/11/2020 

More than five decades since its establishment, the Association of Southeast Asian Nations has become a great economy and community in the world with security-political and cultural-social co-operation  that continues to deeply develop.

Summit will lead ASEAN through challenging times: Singaporean expert
Summit will lead ASEAN through challenging times: Singaporean expert
POLITICSicon  13/11/2020 

Choi Shing Kwok, director of the ISEAS-Yusof Ishak Institute and head of ASEAN Studies Centre at the institute, shared his views of the 37th ASEAN Summit  and Vietnam’s role as ASEAN chair in 2020.

National Assembly approves 6% GDP growth target for 2021
National Assembly approves 6% GDP growth target for 2021
POLITICSicon  12/11/2020 

The National Assembly (NA) on Wednesday morning passed a resolution on the socio-economic development plan for next year with majority of the delegates agreeing with proposals.

 
 
 
Leave your comment on an article

OR QUICK LOGIN