Increasing businesses’ "resistance"

​(News Portal – Dong Nai) - From now until the end of the year, many forecasts have showed that there would be additional challenges with negative impacts on the economy. When the recovery speed is slow and the health of businesses declines, finding solutions to increase resistance and help businesses and the economy overcome current economic situation is a very difficult problem.
From macroeconomic management to specific solutions such as lowering interest rates, reforming administrative procedures, reducing and postponing payment of taxes and fees... all focus on helping the business community restore productivity and business activities. ​

Unloading goods at a manufacturer in Bien Hoa 

The slow rate of improvement
According to the assessment of the Ministry of Planning and Investment, the economy continues to be affected by previous difficulties and challenges. Stabilizing the macroeconomics, balancing the state budget, investment, consumption, labor - employment, social security... are current problems.

Although there are some signs of improvement, businesses still face many challenges in the market, cash flow and administrative procedures. These challenges cannot be changed quickly in the short term, while some businesses, especially small and medium-sized enterprises, has reached their limit.  

Mr. Hoang Ngoc Hien, Director of Hien Nam Ceramic Production Co., Ltd. (Bien Hoa City) shared that ceramic products produced at the facility serve two main groups: religious and belief, worship establishments and normal customers. Normally every year, at the present time, the amount of products the business signs with partners is quite abundant, and the jobs of workers are always guaranteed. However, currently, consumer ceramics, which account for the majority of output, are experiencing a decline in sales because consumers are limiting their purchases and production at enterprises is holding up.

Similarly, the owner of a business specializing in technical plastic products and supporting industrial goods also lamented that current sales were only about 60% compared to before. In addition to the decline in orders, the business also face the risk of losing workers. Some skilled workers quit, creating pressure for future training and recruitment.

Help businesses increase "resistance"
To promote growth and contribute to solving internal difficulties of the economy in general and businesses in particular. At the regular Government meeting in July 2023, Minister of Planning and Investment Nguyen Chi Dung said that, it was necessary to promote growth in domestic consumption, investment (including the domestic private sector, state-owned enterprises, attracting FDI and public investment), and export. At the same time, it was also important to maintain macroeconomics stability, control inflation, and ensure major balances of the economy. Furthermore, looking for new growth drivers, especially taking full advantage of external support resources to promote innovation, digital economic development, green economic transformation...

In fact, in recent times, along with the efforts of businesses, the State has also found solutions, especially in drastically promoting public investment, to solve difficulties in the real estate market, and help businesses searching for the right market... Along with that is reducing bank interest rates; preferential fees and charges, a number of tax reduction and tax extension policies to support businesses in difficulty have been issued such as: extended VAT payment deadline, corporate income tax, land rental payment deadline, preferential import and export tariffs.

For Dong Nai province, there are signs of improvement but there are still many difficulties and challenges. It is predicted that some targets and goals will not be completed as planned. Therefore, the provincial leaders require affiliated offices to create the most favorable conditions for businesses. Opinions and recommendations from businesses need to be processed within 1 working week as a way to demonstrate companionship so that businesses can minimize time and effort and focus on maintaining production rhythm.