Hoa Binh Reforming Administrative Procedures to Create Corridor for Investment Attraction

4:19:35 PM | 1/11/2016

The mountainous province of Hoa Binh, re-established in 1991, is the gateway to the national capital of Hanoi. The Party, the government and the people of Hoa Binh have grasped every opportunity to turn difficulties into advantages for development and successfully attracted sizeable investment projects. On the occasion Hoa Binh hosts the Hoa Binh Investment Promotion Conference on its 130th founding anniversary and 25th re-establishing anniversary, Vietnam Business Forum has an interview with Mr Nguyen Van Quang, Chairman of Hoa Binh Provincial People’s Committee. Ngo San reports.
Could you please tell us the remarkable results in socioeconomic development of Hoa Binh province in the first nine months of 2016?
Carrying out socioeconomic development tasks in the first nine months of 2016 against the backdrop of ongoing difficulties facing the country and Hoa Binh province, the Hoa Binh Provincial People’s Committee introduced various directions and measures to overcome difficulties and challenges to achieve its objectives, thanks to the leadership and guidance of the Government, the Prime Minister and the Provincial Party Committee; the supervision and coordination of the Provincial People’s Council and the determination of the whole Party, the government, businesses and people in the province. Regarding the new countryside construction programme, the province has had 31 communes achieving 19 new countryside criteria (accounting for 16.23 per cent of all communes). On average, a commune has fulfilled 11.9 criteria. At present, 15 communes have achieved 15 - 18 criteria; 92 communes have realised 10-14 criteria; and 53 communes have met 5 - 9 criteria. 12 rural communes have registered to achieve 14.41 criteria each on average in 2016. Up to 88.8 per cent of rural households have access to tap water.
In industrial production, in the first nine months of 2016, the index of industrial production rose 9.45 per cent year on year. The industrial production value was estimated at VND17,950 billion in the nine-month period, up 15.04 per cent year on year and equal to 78.56 per cent of the full-year plan. Some products had high on-year growth rates, including electricity production (9.23 per cent), commercial electricity (24.42 per cent), apparels (15.92 per cent), bricks (27 per cent), and cement (26.75 per cent).
Total retail sales of goods and services was estimated at VND13,705 billion in the January - September period, up 19.2 per cent year on year and equal to 74.08 per cent of the yearly plan. Consumer price index (CPI) rose 3.71 per cent in nine months.
Export and import turnover expanded. The export value was projected at US$300 million in the reporting period, up 40.2 per cent from a year earlier and equal to 78.3 per cent of the yearly plan. The import value was forecast at US$230.4 million, up 27.5 per cent from the corresponding period and equal to 78.1 per cent of the yearly plan.
The total State budget revenue in the province was estimated at VND2,080 billion in nine months, equalling 82 per cent of the target assigned by the Prime Minister and 72 per cent of the target set in the Resolution of the Provincial People’s Council. Of the sum, the balanced budgetary revenue was VND2,040 billion; export revenue was VND20 billion; and collection via the State Budget was VND20 billion. Local budget revenue was estimated at VND6,487 billion, equal to 86 per cent of the target assigned by the Prime Minister and 83 per cent of the goal stated in the Resolution of the Provincial People’s Council.
How has the business community developed, sir?
Currently, the province has about 2,600 active businesses engaged in agriculture, industry, electronics, mechanical processing, telecommunications and garments. The business community has developed in number, quality, maturity and capacity, increased production and business efficiency, and had an increasingly important role and position in socioeconomic development. Every year, the business community has generated huge revenue, paid a big amount to the State Budget and created jobs for workers, thus importantly contributing to local socioeconomic restructuring.
The thinking, governance, business scale and union works of many companies have significantly matured. They have thus grasped various desirable titles and awards such as Vietnam Gold Star Award, Vietnam Red Star Award, Integrating Enterprise - Entrepreneur Award, Cultured Enterprise - Entrepreneur Award, Labour Order and Emulation Flags from the Government, the Provincial People’s Committee, other authorities and organisations.
What policies and measures has the province taken to attract more investors and businesses?
The provincial government has implemented many policies to attract enterprises to Hoa Binh province to invest in economic and technical infrastructure (transport, electricity, water, information technology infrastructure, etc.) and personnel training to better serve demands of people and enterprises. It has also timely exempted and eliminated corporate income tax and personal income tax and rescheduled tax payment terms for taxpayers.
Besides, the State Bank of Vietnam - Hoa Binh Branch strictly controls credit operations of local credit institutions, and ensures the compliance of commercial banks with regulations on ceiling deposit rates and lending rate cuts as requested by the Government to provide favourable conditions for enterprises to access bank loans.
Hoa Binh province has fostered local trade and investment promotion. Accordingly, enterprises are supported in many ways. For example, they are provided with market information, branding support, fair and exhibition participation, market survey, personnel training, tax reduction, technology transfer and product improvement.
In the coming time, the province will step up administrative reform, particularly streamlining administrative procedures to shorten the service time for settling business procedures such as business registration, business start-up registration, investment certification, investment incentive and tax settlement declaration.
Hoa Binh province has paced up administrative reform in the spirit of Resolution 35 and Resolution 19 of the Government on business development and business environment improvement.
First, reviewing and publicising hotlines and online inquiry channels on electronic information portals of agencies and units which are responsible for receiving feedback and providing guidance and solutions for enterprises. The work is scheduled for completion prior to December 31, 2016.
Second, training and fostering qualifications and morals of State employees to ensure that they are qualified for and capable of executing their business support and service tasks; immediately replacing employees having acts of violations and red tape that affects enterprises’ production and business activities.
Third, firmly implementing Decision 2843/QD-UBND dated December 29, 2015 of Hoa Binh Provincial People's Committee on administrative reform plan in 2016 - 2020, Decision 42/2015/QD-UBND dated December 31, 2015 of the Provincial People’s Committee on regulations on one-stop single-window mechanism for State administrative agencies in the province of Hoa Binh.
Fourth, seriously following the guidance of the Provincial People’s Committee on coordination among local agencies and with central agencies based in the province.
Fifth, reviewing and unifying agencies responsible for receiving and processing records; guiding and settling administrative procedures for enterprises; notifying reasons for amendments and additions to their procedures
Sixth, ensuring the full awareness of State employees on service ethics and public administration reform; resisting bureaucracy, corruption and harassment; upholding the spirit of business service and support; publicising processes and staff responsible for handling records and intensifying staff duty supervision; and resolutely punishing State employees committing violations in their services or causing inconvenience to enterprises. Agency heads are answerable for violations of their subordinates.
Seventh, clearly defining serviced entities. Enterprises have the right to do what the law does not prohibit. The Government protects legitimate property ownership and business freedom in accordance with law. Inappropriate business conditions will be recommended for abolition. Localities are not allowed to issue regulations on new business conditions contrary to the law or beyond their jurisdiction.
Eighth, building and implementing business connection support activities based on sector chains and value chains; linking large enterprises and foreign invested enterprises with connection with international markets; stepping up the reshuffling of State-owned enterprises (SOEs); selling State capital in SOEs where the State does not need to keep and creating business development opportunities for the private sector; reviewing, arranging, reforming, transforming and equitising public service units if necessary; supporting small and medium-sized enterprises by providing business development services (training, consultancy, information, market, etc.) and giving priority to services provided by the private sector, including FDI companies.