Deputy Prime Minister Ho Duc Phoc stated the goal of simplifying at least 30% of administrative procedures; at least 30% of unnecessary business conditions will be abolished.
On the morning of February 27, the Government Standing Committee held a conference to work with State-owned enterprises. In his opening speech, Deputy Prime Minister Ho Duc Phoc said that the target set for this year is to achieve a minimum GDP growth rate of 8%. At the conference, the Government Standing Committee will work with State-owned enterprises to listen, exchange and discuss mechanisms, policies and solutions to remove difficulties and obstacles in the production and business process.
The goal is to maximize resources, innovate growth drivers and promote new growth drivers, contributing to accelerating the economy and making a breakthrough in 2025, towards the country’s sustainable development goals.
“It is necessary to frankly raise difficulties, obstacles as well as issues that need support from the Government to create more motivation for State-owned enterprises to promote more effective production and business,” Deputy Prime Minister Ho Duc Phoc emphasized.
The Deputy Prime Minister requested that State-owned enterprises boldly propose existing difficulties and problems so that the Government can focus on solving them. For issues within its authority, the Government will directly resolve them; for issues beyond its authority, we will report to competent authorities for timely consideration and handling.
The set targets are: At least 30% of administrative procedures will be simplified or cut; production and business costs will be reduced by about 3%; other costs such as regulatory compliance costs and informal costs will also need to be minimized; at least 30% of unnecessary business conditions will be abolished.
“We need to strive so that within the next two to three years, Vietnam’s investment environment is among the top three ASEAN countries,” said the Deputy Prime Minister.
The Deputy Prime Minister also requested that State-owned enterprises need to come up with solutions to promote their pioneering role, while closely coordinating with large private corporations and groups in areas that the country needs. These key areas include renewable energy, high-tech industry, artificial intelligence (AI), digital transformation, as well as innovative economic sectors to promote a new growth model. In particular, it is necessary to focus on exploiting and promoting new growth drivers, creating technological breakthroughs to improve the competitiveness of the economy.
State-owned enterprises also need to demonstrate social responsibility through community support programs such as eliminating temporary and dilapidated houses, developing social housing, and accompanying people in preventing and overcoming the consequences of natural disasters.
“The Government wishes to listen to specific suggestions so that the Government can effectively implement solutions to achieve the economic growth target of 8% in 2025,” said the Deputy Prime Minister, affirming that the Government is committed to always standing side by side with the business community in general and state-owned enterprises in particular, ready to support in removing difficulties and obstacles to create favorable conditions for production, business and investment activities.
According to the report of the Ministry of Finance, state-owned enterprises hold large resources in terms of capital, assets, technology, and high-quality human resources, contributing significantly to the state budget. In the period of 2021 – 2023, 100% state-owned enterprises will maintain holding about 7% of total assets and 10% of equity of all enterprises in the market.
State-owned enterprises contribute about 28% of the State budget revenue; attract about 0.7 million workers, accounting for about 7.3% of the total workforce of the enterprise sector.
In 2024, the total revenue of state-owned enterprises is estimated at VND 1,659,034 billion, an increase of 38% compared to 2023. The plan for 2025 is VND 1,085,441 billion. Profit before corporate income tax is estimated at VND 126,647 billion, an increase of 25% compared to 2023. The plan for 2025 is VND 109,339 billion. Taxes and amounts paid to the state budget in 2024 are VND 102,778 billion.