Vietnam aims to have 1.5 million businesses by 2025, including 60,000-70,00 medium and large-scale enterprises.

Vietnam needs to design proper solutions and policies to reach its development goals. How will the country overcome challenges to realize its development plans?

While foreign-invested enterprises (FIEs) have been growing and prospering, Vietnamese enterprises have been developing inadequately because they lack favorable conditions to thrive.

Vietnam has a number of large private corporations of international stature over the last 30 years of development. But the number of these enterprises is very modest.

The Ministry of Planning and Investment aims to have 15 Vietnamese private companies with market capitalisation of over $1 billion each by 2025, with that target increasing to 20 by 2030.

The private sector is very active in key sectors of the economy. If there is a "push", they will become an important force with other economic sectors to take the country forward.

2020 will be a tough year for Vietnam’s businesses

Over the last 10 years, Vietnam’s private enterprises have not developed t their great potential.

The reliance of private enterprises, business households and individuals on bank credit has brought both positive and negative effects.

Ongoing assistance will see Vietnam's private sector truly become a driver of economic growth, stakeholders said.

Vietnam is working towards creating one million private businesses next year. In order to reach this goal, the government will place a major focus on removing current obstructions undermining their competitiveness. 

Vietnam is amending the Law on Investment 2014 and Law on Enterprises 2014, aiming to bring half a decade old laws up to speed with current realities.

Vietnam considers the private economic sector as one of its major economic powerhouses.

For the first time in 10 years of the ranking called the VNR500, a list of the 500 largest Vietnamese companies, private businesses have shown stronger growth in comparison with SOEs (state owned enterprises) and FIEs (foreign invested enterprises).

It is necessary to create a market where privately run conglomerates will play the pivotal role. This must be associated with a system of policies which encourage the development of the private economic sector. 

VietNamNet Bridge - Why can’t the private economic sector grow more quickly, even though more policies and resolutions on developing private businesses have been created recently? 

 VietNamNet Bridge – It is once again stated that the State economic sector plays the leading role in the economy in the updated draft version of the amended Constitution, according to the Committee for Drafting Amendments to the 1992 Constitution.