Enterprise internal strength determines growth quality

Minh Ánh thực hiện |

According to Dr. Nguyen Quoc Viet - Public Policy Expert (Economic University, Vietnam National University, Hanoi) - high growth will be more sustainable when productivity, capacity of domestic enterprises and linkages with the FDI sector are improved.

Doctor, after the GDP results for the first 6 months of the year are announced, what are the factors to pay attention to to make this growth momentum more sustainable in the coming time?

- In the first six months of the year, the domestic economic sector had a trade deficit of 24.95 billion USD, while the FDI sector had a trade surplus of 8.3 billion USD. The country's goods trade balance therefore reversed to a trade deficit of 16.65 billion USD, compared to a trade surplus of 7.95 billion USD in the same period. The FDI sector currently accounts for nearly 80% of total export turnover, showing a large contribution but also reflecting a significant dependence on foreign-invested enterprises.

Therefore, when implementing Resolution 10-NQ/TW on economic development with foreign investment capital, Vietnam needs to change its thinking and policies on foreign economic relations, attracting foreign investment and international economic integration. The goal is not only to attract more FDI projects but also to form domestic capacity and vertical links in the supply chain.

Vietnamese businesses cannot only participate in the processing or supply of low-value components, but need to go deeper into support services such as digital technology, research, design, testing, logistics and technical services for the high-tech industry. This is the real direction of structural shift, helping FDI capital create a spillover effect and improve the productivity of the entire economy.

Resolution 168/NQ-CP has updated the growth scenario and assigned specific goals to ministries, sectors, and localities in the remaining quarters. According to you, what is the driving force that needs to be strongly activated to achieve this goal?

- To accelerate, Vietnam must activate internal strength, first of all the private economic sector - the sector that has been identified as the most important driving force of the economy in Resolution 68-NQ/TW on private economic development.

In addition, it is necessary to take good advantage of technology export orders, the increase in export value of high-tech commodity groups and the recovery momentum of international tourism. We must take this opportunity to improve the internal capacity of the economy in supporting services in business, transportation, logistics, and energy. Reducing the trade and service deficit should also be considered a task to improve national competitiveness.

I assess that agriculture and agricultural exports will continue to be an important buffer in the coming time.

Activating internal resources, first of all the private economic sector, is a solution that needs to be paid attention to. According to you, what needs to be done to make the business sector, especially small and medium-sized enterprises, have more motivation to expand investment?

- Although the number of newly established and returning businesses increased by 11.2%, there were still 151. 100 businesses withdrawing from the market in the first 6 months of the year, an increase of 18.8% compared to the same period. The number of businesses completing dissolution procedures alone is 23,980 businesses, 1.9 times higher than the same period.

These figures reflect the level of fierce competition and screening, especially for small and medium-sized private enterprises. Many businesses still face difficulties in accessing capital, credit, land and markets. However, the most important issue is still that the constructive government must help businesses reduce both compliance costs, direct costs when carrying out procedures and work processing time.

Businesses must see that policies are stable, predictable, do not change suddenly and do not create unreasonable burdens. In the context of budget revenue in the first 6 months of the year reaching nearly 1.57 million billion VND, equal to 62% of the estimate, fiscal policy may allocate more appropriate resources to support businesses in connecting markets, promoting trade, stimulating consumer demand and expanding output.

Minh Ánh thực hiện
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