Three key resolutions aimed at promoting Vietnam’s private economic sector were issued by Vietnam’s Party Central Committee on Wednesday at the conclusion of a six-day meeting in Hanoi.
The fifth plenary meeting of the 12th Communist Party of Vietnam (CPV) Central Committee commenced last Friday to a six-day agenda with a particular focus on moving the country’s economy forward.
The committee issued three resolutions at the end of the meeting aimed at completing the socialist-oriented market economy institution; continuing to re-organize, renovate and improve the efficiency of state-owned enterprises; and developing the private economy into an important driving force behind the socialist-oriented market economy.
Closing Wednesday’s meeting, CPV General Secretary Nguyen Phu Trong said the three resolutions are crucial to carrying out key socio-economic development tasks set by the 12th Party Congress.
He called for the “elimination of all prejudices and obstacles” and “robust bureaucratic reforms to facilitate the growth of the private sector.”
The Party chief stressed the necessity of improving the business and investment climate by focusing on breakthrough policies that remove difficulties for businesses and facilitate their development on the basis of synchronously stepping up administrative and judicial reforms.
“[Emphasis is to be placed upon] perfecting the institution of science-technology application and development, education and training, and human resource development – particularly with high-quality personnel – in order to take advantage of the Fourth Industrial Revolution,” he added.
The resolutions encouraged the “accumulation and concentration of land to develop large-scale, hi-tech product-oriented agriculture that is closely related to the stable income of farmers and contributes to socio-political stability in rural areas.”
Another key point in the three resolutions is the request for effective measures to prevent the forming of “interest groups” and “backyards” controlling operations of state-owned enterprises for private benefits and corruption, causing losses to the state and enterprises.
Over the past 30 years of Doi Moi (reform), the private economic sector has been an important driving force for the development of the socialist-oriented market economy in Vietnam, the resolutions stressed.
The formation of several major private economic groups and the increasing number of entrepreneurs have led to the private sector accounting for 39-40 percent of the country’s GDP. In the near future, the entire political system must “spare no effort” in promoting attainments and surmounting shortcomings while implementing the policies developed at the Party Central Committee meeting, the committee requested on Wednesday. The committee also stressed the need to continue renewing its thinking and raising awareness of private economic development, calling it a necessary requirement for the development process of the socialist-oriented market economy. The resolutions focused on the need to pay heed to developing the private economy in a fast, healthy, and more appropriate manner to provide important momentum for production and socio-economic development, along with the state economy and collective economy, and to ensure the successful building of “an economy of independence, self-reliance, and international integration.”
The Party Central Committee’s take on the private sector at their fifth meeting has been warmly welcomed by local businesses and economic experts.
“A constructive government is one that does not take matters into their own hands but rather facilitates and encourages the intellectual resources of its people to develop the economy,” said Dr. Vu Tien Loc, president of the Vietnam Chamber of Commerce and Trade.
Le Vinh Son, president of the Vietnam Young Entrepreneurs Association, asserted that the resolutions issued at the fifth meeting of the Party Central Committee came as a “delight” to private businesses in the country.
“I believe that the private economy will prosper after this meeting, but only if these resolutions are backed by real actions,” Son said. “If they are just resolutions on paper without robust actions from authorities at all levels, it will be difficult [to expect any radical changes].”