Resolution 68 paves the way for the private economy

Although it has affirmed its position as a pillar in the prosperous development of the province with impressive figures, the private economic sector still faces many challenges. In that context, Resolution No. 68 of the Politburo on the development of the private economy was issued, becoming a new wind, a strong impetus, promising to open an era of breakthrough for this economic sector.

Provincial leaders witnessed the Signing Ceremony at the Networking Forum 2024 - an event marking a turning point for Long An's private economy, creating a strong driving force to enhance competitive advantages and sustainable development

Many challenges remain

Although it has made its mark on Long An's economic map, the private economic sector is still facing significant internal barriers. Most enterprises are still in the small and micro group, like small boats in the ocean, vulnerable to market storms. Limited scale leads to a spiral of capital shortage, hindering investment in advanced technology and production expansion. Immature management capacity along with delays in technology application make it impossible for labor productivity to break through, hindering the ability to innovate and reach out to the world.

In addition to the challenge of scale, the quality of human resources is also a difficult problem. Although Long An has an abundant labor force, professional skills, especially in the fields of high technology, modern management and digital transformation, are still bottlenecks. The gap between training programs and practical needs of enterprises is still a deep gap, causing many workers to lack practical skills, leading to the overall labor productivity of the private sector being low compared to other economic sectors. This is a barrier that reduces the competitiveness and ability of enterprises to absorb new technology.

In addition, although administrative reform has been promoted, it is still cumbersome in some areas, such as the "matrix" that wastes time and costs for businesses. Access to essential resources such as preferential credit capital and clean land for production and business still has many obstacles, hindering businesses from expanding and innovating. In particular, the ability to connect domestic private enterprises with each other and with FDI enterprises is still weak, making it impossible for the province's private sector to participate deeply and widely in global value chains, missing many opportunities to learn and improve its position.

New impulse from Resolution No. 68

Resolution 68 is not just a simple policy document but a strong political message, marking a historical turning point when it first identified the private sector as "the most important driving force of the national economy". The change from “a driving force” to “the most important” demonstrates the Party’s strategic vision and determination, eliminating all prejudices, creating a truly equal and transparent business environment. This is a strong declaration, arousing the belief and aspiration to “dare to do, dare to bear, dare to succeed” in the business community, motivating them to become pioneer “soldiers” on the economic front, contributing to building a prosperous country.

To realize that breakthrough, Resolution 68 sets out a series of key policies and solutions, directly removing inherent bottlenecks. Notably, there is a commitment to strongly reform administrative procedures, aiming to cut at least 30% of time, compliance costs and business conditions by 2025; at the same time, fundamentally transforming from a “pre-inspection” to a “post-inspection” mechanism.

In addition, Resolution 68 also opens the door to access essential resources from preferential tax policies (such as exemption of business license fees, exemption of corporate income tax for the first 3 years for small and medium-sized enterprises) to create favorable conditions for credit capital and clean land funds in industrial parks, reducing financial burdens and creating a solid launching pad for enterprises to develop.

In particular, Resolution 68 focuses on promoting science, technology, innovation, digital transformation and green transformation, considering these as key factors to enhance competitiveness. Solutions such as issuing a legal framework for testing (sandbox) for new technologies, tax incentives for R&D activities and encouraging the establishment of science and technology development funds for enterprises, demonstrate a strategic vision towards the future. With specific and ambitious goals such as striving to have 2 million enterprises by 2030 and contributing 55-58% of GDP, Resolution 68 is not only a compass but also a strong impetus, shaping the roadmap for Vietnam's private economy in general and Long An in particular to reach regional and international levels.

Business community under Resolution 68

Long An leads the Mekong Delta region in administrative reform index in 2024

The birth of Resolution 68 was welcomed by the business community across the country, including Long An, with great expectations. This Resolution is considered a historic turning point, capable of unblocking development resources and creating a strong push, promoting the breakthrough of Vietnam's private economy.

For the Long An business community, the opportunities and motivations from Resolution 68 are very specific. They expect that the spirit of the Resolution will be thoroughly understood by the provincial government and transformed into practical, consistent actions. This means that the inherent fears of businesses about a matrix of cumbersome and complicated administrative procedures; about overlapping and troublesome inspections and examinations; or potential legal risks in the process of production and business activities will be gradually resolved.

Chairman of the Provincial Business Association - Trinh Van Hai shared passionately: “Resolution 68 is a historic turning point, opening up golden opportunities for enterprises in Long An through breakthrough support policies; creating an open, transparent, and fair competitive business environment to effectively promote all resources for socio-economic development. Streamlining administrative procedures not only helps save time and costs but also allows enterprises to focus on core activities, promoting sustainable development. Policies to encourage innovation will be a lever for enterprises to improve their competitiveness, ready to reach out to the global value chain, bringing practical benefits that not only help enterprises survive but also create conditions for spectacular breakthroughs in the future.”

With the optimistic spirit, dare to think, dare to do of the young generation and the readiness to seize opportunities from Resolution 68, they see the doors wide open for new business models, especially in the context of digital transformation and sustainable development.

Chairman of the Provincial Young Entrepreneurs Association - Duong Long Thanh affirmed: “Resolution 68 is a breath of fresh air that ignites the entrepreneurial spirit of young entrepreneurs. For the first time, private economic sector has been identified as the most important driving force, opening the golden door for support policies on capital, premises and technology transfer, especially for high-tech agriculture and digital applications. The wave of digital transformation is also an opportunity for the young generation to be agile, creating advantages with new models such as local e-commerce, short-chain logistics or digital service startups. The potential for public-private cooperation is huge, encouraging young entrepreneurs to dare to think - dare to do, participate in building innovation centers and vocational education infrastructure”.

Private economic sector in Long An is facing a historic turning point. Resolution 68 has breathed new life, opening up golden opportunities for businesses to break through. This is not only a strong policy commitment from the Party and State to create a transparent and fair business environment, but also a call for the entire political system to innovate thinking and action, taking enterprises as the center of service.

When "Party's will - people's heart - enterprise strength" resonate together, Long An will not only overcome current challenges but also create a sustainable development future, becoming an economic bright spot of the whole country. Moreover, when Long An and Tay Ninh provinces merge, a new growth pillar will be realized, opening up a larger space for private economic development./.

Reported by Tran Quoc Viet

Translated by NT