Working out Solutions to Boost Industrial Growth

9:36:25 AM | 15/7/2020

The industrial production value of Vinh Phuc province shrank from a year earlier in the first six months of 2020 as the Covid-19 pandemic forced many local companies to scale down operations. Facing this reality, the Vinh Phuc Provincial People's Committee has requested relevant bodies and businesses to adopt various solutions to promote industrial production growth and strive to complete the plan for 2020.

The industrial production value was forecast at VND11 trillion in the six-month period, down 9% from a year-ago period. In particular, production output of most key industrial products plummeted such as automobiles (down 24.8%), motorbikes (down 14.4%), tiles (down 22.5%), clothes (down 4.5%) and electronic components (down 7.7%).

According to the Vinh Phuc Province People's Committee, the decline in industrial production value was attributed to the impact of the Covid-19 pandemic. In addition to input shortages, some businesses lack experts and highly qualified workers because of restrictions on entry into Vietnam. Even some laid off their workers to due to revenue and profit decline.

In order to restore and promote industrial production, the Vinh Phuc Provincial People’s Committee has requested relevant bodies and localities to carry out consistent solutions to remove hardships against enterprises. The focus is further streamlining administrative procedures, timely addressing hurdles against production and business; supporting infrastructure investors, approved projects to deal with their hardships related to land compensation and ground clearance to accelerate investment projects. At the same time, the province has actively studied and grasped specific situations of each industry and each field of business; coordinated with the banking industry and tax authorities to support debt restructuring, interest rate reduction, credit extension, tax and land rent payment postponement; and supported loans for companies to pay salary to laid-off workers because of the Covid-19 pandemic.

With the strong participation of the political system and the local business community, Vinh Phuc province will certainly accomplish its goals and plans for 2020.

By Nguyet Tham, Vietnam Business Forum

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