Lack of a mechanism to prioritize green transformation industries

Phương Anh |

Dr. Nguyen Quoc Viet - University of Economics - emphasized that green transformation is no longer a matter of awareness, but a mandatory requirement that businesses must adapt to.

Dr. Nguyen Quoc Viet - Economic expert - University of Economics (UEB) - commented that Vietnam is facing a great opportunity when the Party and Government are determined to shift the economic structure, transform the growth model, create new momentum, combine with environmental protection, and implement the Net Zero commitment by 2050.

"This is no longer just an issue of awareness or hesitation, but a mandatory requirement, requiring businesses to adapt and transform" - Mr. Viet shared at the discussion session within the framework of the event "Green Transformation - Joining hands for a sustainable Vietnam" on March 28.

According to Dr. Nguyen Quoc Viet, green transformation is not a simple competition race, but a competition for support between economic sectors and businesses in the value chain.

"This supply race is long-term, there are tasks that can be carried out this year or in the coming time, but there are also tasks that need to be divided into a long-term roadmap, from now until the period of 2030 - 2050" - Mr. Viet said.

Currently, businesses have quickly integrated into many fields, from food processing to the service industry... Basically, businesses have adapted, initially participating in that process. Obviously, green transformation, environmental protection, resource saving, and the application of the circular economic model will help businesses increase production, helping businesses participate deeply in the global value chain and exports.

Dr. Nguyen Quoc Viet shared that another point that businesses benefit greatly is that brands and products are certified green, overcoming tariff barriers... For Vietnamese people, when they reach a higher income level, their consumption demand will also be higher, enjoying high-value products and services.

If businesses know how to take advantage of opportunities, understand global and domestic mechanisms and policies, they will receive active support from the state, investors or access capital sources from abroad.

In addition to opportunities, Dr. Nguyen Quoc Viet said that businesses also face many challenges, from technology transformation to capital access... In fact, from awareness to action is a long process, in terms of business model, human resources, and management capacity in each business is different.

Regarding technology access, Dr. Nguyen Quoc Viet emphasized: "Requiring businesses to transform is not easy. Countries or global businesses can easily transfer technology to us, while the culture of connecting schools, research institutes, and businesses to deploy or learn is still limited".

According to Dr. Nguyen Quoc Viet, the key point is that current institutional policies have not really kept up with the transformation capabilities and needs of both the economy and businesses.

"Regarding green transformation institutions, it is necessary to classify industries and fields to prioritize investment, credit... Meanwhile, we do not have this mechanism. For example, with carbon credits, the market requires transparency, reducing transaction costs... but we are still struggling" - Mr. Viet assessed.

Dr. Nguyen Quoc Viet emphasized: "Research and dialogue between businesses, policy-making agencies and researchers are extremely important". He said that this will create new opportunities, promote institutional reform and build appropriate policies to support the green transformation process.

Phương Anh
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