With 112,147 companies and business associations being its members, including over 12,000 direct members, in the past term (2008-2014), the Vietnam Chamber of Commerce and Industry (VCCI) completed the major tasks assigned by the Party, the State and the 5th VCCI Congress: Carrying out trade and investment promotion activities on an intensive and extensive scale and supporting the development of enterprises and entrepreneurs. VCCI apparatus was expanded into a network linking Vietnamese business associations in the country and in the world. VCCI’s position and prestige in the country and in the world were uplifted. VCCI was rated as one of the most dynamic chambers of commerce and industry in developing countries and a strong body in the community of trade - industry chambers and trade - investment promotion agencies in the world by the International Chamber of Commerce (ICC).
Affirming important roles of businesses and entrepreneurs
One outstanding result was VCCI’s proposal and leadership in compiling and submitting a scheme that served as the foundation for the Politburo to issue Resolution No. 09/NQ-TW on building and promoting the role of entrepreneurs in the period of accelerating industrialisation, modernisation and international integration - the first Party document on entrepreneurs in over 80 years. Showing a breakthrough in thinking, the document confirmed the role and position of Vietnamese enterprise and entrepreneur forces in the cause of national construction and protection; defined the task of building a strong and large entrepreneur force as the responsibility of the entire political system; and put forth solutions to build and develop the enterprise and entrepreneur communities in the new context. The successful construction of the scheme also marked the maturity of VCCI in advising the Party and the State at the top layer of development direction and policy.
In the spirit of Resolution 09/NQ-TW, given the increasing role of entrepreneurs and businesses in economic and political life in the country, at the National Assembly Forum, VCCI President and National Assembly members who are also businesspeople proposed adding entrepreneurs and enterprises to the Constitution. That proposal was accepted by the National Assembly and entrepreneurs and enterprises were officially named and given roles and positions in the Constitution for the first time. This was also a strong message that reiterated the pursuit of a socialist-oriented market economy.
Besides, VCCI has effectively carried out activities aimed at improving the investment and business environment. VCCI has proactively studied and disseminated Ho Chi Minh Ideology in respect of enterprises and entrepreneurs; reviewed actual developments and collected opinions of enterprises and entrepreneurs to the drafting of policies and laws concerning economic and business development and market economic institution perfection in Vietnam. Spring/Fall Economic Forums hosted by VCCI in collaboration with the Economic Committee of the National Assembly and the annual Vietnam Business Forum (VBF) co-chaired by VCCI President in partnership with the international business community in Vietnam were the biggest and most prestigious economic policy dialogue forums in Vietnam. Many opinions and recommendations of VCCI at conferences, workshops, seminars and reports have been appreciated by the Party, the National Assembly and the Government. Activities related to studying and compiling business and economic laws and policies in the past term increased four times over the previous term.
Another important result in the last term is that VCCI has helped accelerate local administrative procedure reform and economic governance improvement. Apart from compiling and carrying out Scheme 30 on administrative procedure reform and participating in the Prime Minister’s Council for Administrative Procedure Reform, VCCI has surveyed, disclosed and consulted localities to raise their Provincial Competitiveness Index (PCI), and created movements of raising the quality of economic governance, public administration reform, and investment and business environment improvement from at the local level. With the support of VCCI, most cities and provinces have introduced resolutions and action programmes to raise their PCI. Many localities have actively improved their business environment and economic management capacity to become leading lights in investment attraction and business development. Perhaps, this is a brave, potent and effective initiative as it contributed to reform in general and administrative reform in particular, especially at local and grassroots levels.
VCCI has made long strides in business training and development and entrepreneur construction in the past term. VCCI has carried out many creative programmes and projects to directly serve SMEs, supporting industries, rural and remote areas, and sustainable development. VCCI was cited as an example for some developing countries by international donors when they saw the result of projects they funded and VCCI led.
Besides, trade - investment promotion has been changed to focus more at national level, draw investment from multinational corporations, integrate sector promotion with market-based promotion, integrate SME support with large business support, and strongly apply information technology to promotion activities. VCCI has guided and facilitated businesses to participate in international forums, and international economic and business institutions. Besides, VCCI has improved the provision of integration information, supported Vietnamese companies to employ trade remedies and safeguard their legitimate interests in international trade.
VCCI has also supported the establishment, association and capacity building of business associations to generate and promote their joint force. VCCI has also achieved important results in the role of employer representative. VCCI has supported 46 provinces and cities to set up business associations and 31 provinces and cities to found employer councils. It has also actively participated in the Tripartite Committee on Labour Relations, the National Wages Council, and the Vietnam Business Council for Sustainable Development.
Remarkably, in the past term, VCCI’s technical infrastructure has been considerably enhanced with its investment and business promotion and support centres in major localities basically completed. All employees are assured of livelihoods and employment policies. Party, Trade Union and Youth Union organisations are consolidated and developed.
However, VCCI has faced certain limitations. VCCI has only focused on traditional activities rather than new ones, particularly those with high degree of grey matter, to serve businesses. VCCI has yet to carry out many large-scaled national programmes and projects with strong ripple effects and impacts on competitiveness and performance efficiency of enterprises. Besides, the support for establishment and capacity building of business associations is still shallow.
Supporting businesses to overcome difficulties
In the coming years, especially the early years of the sixth term, the economy and the business community are forecast to continue to face difficulties. Shortcomings and weaknesses of the economy and the business community cannot be easily and quickly addressed. The simultaneous implementation of two tasks of macroeconomic stability and economic restructuring to improve competitiveness and ensure sustainable development in the context of deeper integration under the effect of bilateral and multilateral free trade agreements (FTAs) like Trans-Pacific Partnership (TPP), Regional Comprehensive Economic Partnership (RCEP), ASEAN - EU FTA and ASEAN Economic Community (AEC) is a vital requirement of the economy that requires unified efforts of the entire political system and the business community.
Before opportunities, advantages and challenges above, VCCI needs to work out direction and tasks of the sixth term, based on resolutions of the National Party Congresses (9th, 10th and 11th terms), resolutions and directives of the Party and the State relating to VCCI’s operations and business community like Resolution 09-NQ/TW of the Politburo on building and promoting the role of Vietnamese entrepreneurs in the period of accelerated industrialisation, modernisation and international integration; Resolution 19/NQ-CP in 2014 on major tasks and solutions to improving the business environment and enhancing national competitiveness, Resolution 19/NQ-CP in 2015 on major tasks and solutions to improving the business environment and enhancing national competitiveness from 2015 to 2016, Directive 11/CT-TTg on solutions to boost up production and business activities of enterprises to contribute to achievement of national socioeconomic development tasks until 2015, etc. and based on VCCI’s functions and duties stipulated in the Articles of Association.
VCCI also needs to play its roles as a social and professional organisation, a national agency representative of the Vietnamese business community and entrepreneurs, and an adviser to the Party and the State on social and economic policies for a better environment for business development. VCCI also needs to accelerate trade and investment promotion, develop enterprises and entrepreneurs, build harmonious labour relations, and ensure sustainable development.
In the new term, two cross-cutting and central requirements to VCCI’s operations are consulting the Party and the State on policies and institutions and directly carrying out promotion and support activities to remove difficulties and help enterprises to maintain production and business operations. Besides, VCCI will urge enterprises to reform for higher competitiveness, effective integration and sustainable development.
In the sixth term, VCCI targets to keep a 12-15 percent growth in major operations and increase memberships by 8-10 percent. Specially, VCCI will continue to support the formation and operation of business associations and employer associations in all provinces and cities, support the establishment of 2-3 business associations in major foreign markets, and support businesses to build 5-10 strong brands in Vietnam and the region.
Quynh Anh
Vietnamese
