Do you evaluate the participation of Vietnamese small and medium enterprises in the current "green transformation game"?
- Most of the enterprises are still in the early stages of recognizing green transformation. A 2023 report by the International Finance Corporation (IFC) shows that only 18% of Vietnamese enterprises have long-term plans related to sustainable development and climate change adaptation. More than 55% of surveyed businesses said they do not fully understand what green transformation is, and more than 70% of businesses have not taken specific actions related to green goals.
Thus, it can be said that the participation of employees in the green transformation journey is still slow, cautious and not really methodical. However, there have been positive signals from pioneering businesses - they are showing that green transformation is not only a responsibility but also a new growth opportunity.
What are the challenges that small and medium-sized enterprises face when implementing green transformation, sir?
- The biggest challenge that small and medium-sized enterprises face is the lack of financial resources. Green transformation often comes with the need to innovate technology, improve production processes, invest in environmentally friendly equipment, use renewable energy... All of these factors require high costs. Meanwhile, most Vietnamese enterprises have small scale, small capital, and limited access to credit.
According to the Vietnam Chamber of Commerce and Industry (VCCI), about 80% of enterprises have difficulty accessing green capital, due to not meeting the requirements of financial transparency, environmental - social - governance (ESG) reporting, or lack of collateral assets.
Second is the lack of information and technical expertise. Many businesses do not know where to start the transformation, do not clearly understand the environmental standards of the international market, lack consultants and human resources with expertise in sustainable development. According to a survey by the United Nations Development Program (UNDP), only about 12% of small businesses have a specialized environmental department.
Third, many enterprises supplying domestic markets or small chains, the green transformation momentum is not strong enough. While exporting enterprises have specific requirements from partners, domestic enterprises are still waiting for policy signals or markets to invest.
Finally, the lack of a specific support policy framework is also a barrier. The current support policy is still theoretical, not in-depth in the practice of employees, not creating conditions for green capital access, green technology transfer or effectively supporting technical consulting.
What policies do you recommend to support small and medium-sized enterprises to quickly participate in the green transformation process?
- It is necessary to build a separate green financial fund for employees, with simple procedures, prioritizing businesses to change models, invest in technology, and environmentally friendly products. This fund can be managed by the State or in coordination with international financial institutions such as ADB, WB, IFC, etc.
Establish a network of consulting and sharing green technology, especially low-cost technology, easy to access for employees. Industrial parks and industrial clusters need green transformation consulting centers.
Integrating green transformation into tax policies, bidding and investment incentives. For example: Enterprises meeting green standards are exempted from income tax for a number of years and are given priority in public investment projects.
What advice do you have for employees considering switching to a green model?
- Green transformation is not a temporary trend, but a vital requirement for survival and development in the future. Businesses do not need to start with big changes, they can start with small, easy-to-implement and low-cost things such as: Saving electricity, reducing single-use plastic, choosing environmentally friendly materials... These small actions, when implemented synchronously and systematically, will create big changes.
Businesses need to proactively search for information, connect with supporting organizations, industry associations and funding and consulting programs on green transformation. More importantly, it is necessary to change the mindset: Green transformation is not a cost, but an investment for the future. Sustainable development enterprises not only generate profits, but also contribute long-term value to society and the environment.
Thank you!
