Vietnam enters the 2026-2030 period with the goal of GDP growth averaging 10%/year or more. This goal cannot be achieved sustainably if only continuing to expand investment capital, labor and exploit cost advantages. The requirement is to simultaneously quickly improve labor productivity, contribution of aggregate factor productivity, efficiency of capital use and domestic production capacity.
In the new growth model, the private economic sector has a special position because this is a large-scale sector, using the majority of labor, directly mobilizing social resources and capable of quickly transforming market economy, technology and innovation into production and business activities.
According to MSc Nguyen Thi Chinh - Institute of Strategy and Economic - Financial Policy, along with the expansion of the private sector, the views and policy system for this sector have changed in an increasingly complete direction.
If in the early stages of innovation, the focus was on acquiring business rights and creating a legal framework for private enterprises, then in recent years the policy has gradually shifted to improving the quality of the business environment, supporting businesses to improve competitiveness, promoting the formalization of businesses, forming large private enterprises and strengthening value chain links," MSc Nguyen Thi Chinh assessed.
According to MSc Nguyen Thi Chinh, the institutional and legal framework for business operations is gradually being completed in a synchronous and complementary direction to international standards. The Enterprise Law plays a central role, gradually unifying the legal framework for all types of businesses, expanding the right to freedom of business and enhancing the protection of the legitimate rights and interests of investors.
The Law on Supporting Small and Medium Enterprises (SMEs) in 2017 adds an important pillar with policies on access to credit, taxes, production grounds, technology innovation, human resource development and participation in industry clusters and value chains. Laws on investment, securities, accounting, auditing, competition, credit institutions and insurance continue to complete the legal foundation for business operations.
An important shift in orientation takes place with Resolution No. 68-NQ/TW dated May 4, 2025 of the Politburo on private economic development and Resolution No. 198/2025/QH15 dated May 17, 2025 of the National Assembly on a number of special mechanisms and policies for private economic development.
These documents further define the role of the private sector, while expanding the focus from supporting SMEs to promoting the formation of large-scale private economic groups with leading roles; opening up opportunities for private enterprises to participate in important national projects and strategic areas such as infrastructure, energy, key industries, digital infrastructure. The programs "Developing 1,000 typical and pioneering enterprises" and "Reaching out to the international market - Go Global" are oriented to be built to form leading enterprises with competitiveness and expand international markets", MSc. Nguyen Thi Chinh assessed.
In addition, solutions to cut and simplify business investment conditions, shorten processing procedures, increase transparency in taxes and customs and promote online public service provision are being implemented relatively widely.
The digitization of business registration, taxes, insurance and administrative procedures not only reduces direct costs but also has the meaning of shortening the waiting capital time, thereby improving the investment efficiency of businesses. Measures to exempt, reduce, and extend taxes, fees and land rent contribute to reducing costs and improving cash flow; the credit system implements restructuring of debt repayment terms, interest rate support and expanding methods of accessing capital. For SMEs, policy orientations have begun to shift to diversifying lending forms, encouraging assessment based on cash flow, business plans and value chains instead of completely depending on collateral," said MSc. Nguyen Thi Chinh.
According to MSc. Nguyen Thi Chinh, the private economic development policy has shifted from "allowing and removing entry barriers" to "supporting upgrading and creating development space".
However, the actual results on business scale, productivity, investment and position in the value chain are still not commensurate with the breadth of the policy system. The gap between policy design and the ability of businesses to truly access and use policies is an issue that needs to be considered in assessing bottlenecks," MSc. Nguyen Thi Chinh assessed.
