Directive No. 11/CT-TTg on resolving difficulties, obstacles, recommendations, and promoting business production and operation development of enterprises to contribute to successfully implementing the national socio-economic development tasks until 2015.

DIRECTIVE

VRegarding the resolution of difficulties, obstacles, recommendations, and promotion of business production and operation development, contributing to the successful implementation of national socio-economic development tasks until 2015

The 2014 Government-Council Meeting with Enterprises affirmed the role and efforts of enterprises in developing production and business operations, making significant contributions to the construction and development of the country; at the same time, it also recognized that enterprises are facing many difficulties and challenges that need to be overcome.

To resolve difficulties, obstacles, recommendations, promote the development of production and business operations, improve the efficiency of enterprise activities, and contribute to the successful implementation of national socio-economic development tasks until 2015, the Prime Minister issues the following directive:

1. Ministries, ministerial-level agencies, agencies under the Government, People's Committees of provinces and centrally governed cities:

a) Direct closely and implement effectively the tasks and solutions set forth in Resolution No. 19/NQ-CP dated March 18, 2014 of the Government on key tasks and solutions to improve the business environment, enhance national competitiveness, and the Action Program for Small and Medium Enterprise Development over five years (2011-2015) issued together with Decision No. 1231/QD-TTg dated September 7, 2012 of the Prime Minister.

b) Build and implement mechanisms for close, practical, and effective coordination among state management agencies; continue to vigorously reform administrative procedures, especially in areas such as market entry, import-export, access to capital, credit, tax, land, investment, construction, natural resources and environment, labor... creating the most favorable conditions for enterprises to operate.

c) Publicize and direct the effective implementation of local economic and social development plans, land use plans, industry and profession development plans, industrial and cluster development plans, craft village development plans, and raw material region development plans linked to investment projects, ensuring consistency between industries and professions in production and services, and combining economic development with environmental protection.

d) Direct the synchronized implementation of support activities for enterprise development with focus and priority; establish industry, regional, and inter-enterprise linkages between small and large enterprises, promoting sustainable development; ensure that support resources are not dispersed and that support activities are effective. Study the transfer of certain public services that meet the conditions to the Vietnam Chamber of Commerce and Industry to implement in accordance with laws and international practices.

đ) Promptly and timely remove difficulties and obstacles; resolve and respond to enterprise recommendations. In cases exceeding authority, report to the Prime Minister for consideration and decision.

2. The Ministry of Planning and Investment:

a) In accordance with the work program, report to the Government to submit to the National Assembly draft Laws on Enterprises and Investment for amendment in the direction of overcoming limitations in investment encouragement sectors and areas; transparency and synchronization of regulations on investment and business conditions and procedures, creating a level playing field for domestic and foreign investors, in line with international practices, ensuring consistent and effective implementation of international commitments.

b) Complete legal procedures to put the Small and Medium Enterprise Development Fund established according to Decision No. 601/QD-TTg dated April 17, 2013 of the Prime Minister into operation as soon as possible to increase access to credit for small and medium enterprises.

c) Supplement and complete the proposal for the development of industrial clusters and industrial zones linked to supporting industry development, creating production networks and value chains for submission to the Prime Minister in 2014.

d) Take the lead and coordinate with the Vietnam Chamber of Commerce and Industry to continue implementing training and capacity building activities for enterprises. Focus on vocational training in high-tech industries to shift the labor structure from unskilled to skilled and qualified labor, meeting new development requirements. Encourage enterprises to establish or collaborate with vocational training institutions in training and employment.

đ) Take the lead and coordinate with relevant ministries, sectors, localities, and agencies in coordinating and connecting nationwide support activities for enterprise development, ensuring consistency, uniformity, and effectiveness.

3. Ministry of Finance:

a) By the second quarter of 2014, complete guidance on income tax incentives, exemptions, and reductions as stipulated in the Law Amending and Supplementing Certain Provisions of the Income Tax Law adopted by the National Assembly on June 19, 2013.

b) In 2014, submit to the Government proposals for tax support measures or payment offset mechanisms for businesses experiencing capital difficulties due to inventory buildup and delayed settlement, reducing late payment penalties.

c) Immediately implement guidance and execution of Decision No. 58/2013/QD-TTg dated October 15, 2013 of the Prime Minister on the establishment, organization, and operation of the Guarantee Fund for Small and Medium Enterprises' Credit and Decision No. 03/2011/QD-TTg dated January 10, 2011 of the Prime Minister on the Guarantee Mechanism for Small and Medium Enterprises' Loans from Commercial Banks.

d) Continue to streamline and modernize administrative procedures in the tax area (tax refunds, tax collection, etc.) and customs (electronic customs clearance, valuation and coding of goods, etc.).

đ) Continue to direct the development of the securities market so that enterprises can raise funds for investment and development.

4. The State Bank of Vietnam:

a) Continue to direct credit organizations to proactively approach enterprises to advise on loans for effective production and business projects; encourage commercial banks to apply credit rating methods for enterprises to strengthen unsecured lending, restructure previous high-interest loans.

b) Implement a pilot lending program for production linkage models applying high technology and science, linking agricultural product export production with reasonable interest rates. Facilitate the participation of banking credit capital in the production-purchasing-consumption chain to improve credit quality and reduce bad debts for banks.

c) Urgently direct credit organizations to review, build, and perfect credit allocation for priority sectors, increase the proportion of loans for agriculture, support farmers in processing, consumption, and exporting products such as rice, rice, coffee, rubber, shrimp, fish, fruit trees...

d) Direct commercial banks to develop financial leasing forms, support enterprises to enhance production capacity under difficult capital conditions, limit the possibility of capital stagnation in fixed assets, help enterprises quickly update technology.

đ) Strengthen training for staff, especially credit staff, in improving professional skills in loan appraisal for enterprises; proactively build credit programs for non-state enterprises; promote reform of loan procedures to facilitate enterprise access to loan capital.

5. Ministry of Industry and Trade:

a) Strengthen market management work to provide domestic enterprises with a fair competitive environment. Take resolute measures to deal with counterfeit goods and low-quality products that negatively impact market health.

b) Manage and establish mechanisms to support domestic market management areas, helping domestic products and enterprises have opportunities to expand production and business operations, gradually participate in global supply chains. Develop technical barriers consistent with international commitments.

c) Support the provision of market information to enterprises; guide and support exporting enterprises to cope with domestic production protection policies in key export markets.

d) Actively negotiate international trade agreements (AFTA, TPP...) to expand foreign markets, provide information for enterprises to participate and consult during negotiations and signing processes.

6. Ministry of Natural Resources and Environment:

a) By the second quarter of 2014, complete and submit to the Government the draft Decree guiding the implementation of the amended Land Law, including specific provisions on state-owned enterprises' access to land.

b) Study improvements to land management regulations, planning and publicizing land use plans to simplify procedures and ensure transparency so that enterprises can access clean land for production and business activities, improve the lack of production space, and strengthen environmental protection.

c) Create conditions for the development of industrial clusters of appropriate scale with land rental fees suitable for enterprise capabilities; support the relocation of enterprises causing pollution and harm to the environment in residential and urban areas to industrial clusters.

7. Ministry of Science and Technology:

a) Direct and accelerate the progress of implementing technology transfer and innovation programs, productivity improvement programs, product quality, and competitiveness enhancement for enterprises.

b) Accelerate the implementation of support programs for the dissemination and application of advanced technology and techniques to enterprises, encourage cooperation and technology sharing between small and medium-sized enterprises and large enterprises, and enterprises with foreign investment. Promote the formation and development of private investment funds and venture capital funds to encourage private sector investment in scientific and technological development.

c) Encourage small and medium-sized enterprises to participate in industry linkage programs, regional linkage programs, and supporting industry development.

8. Enterprises and Enterprise Associations:

a) Carry out production, business, investment, and enterprise obligations in accordance with the law. Be proactive in relations with state management agencies to resolve difficulties, obstacles, and proposals serving production and business development. Strengthen restructuring, organize production and business operations, enhance the application of advanced science and technology, improve management capacity, productivity, quality, and competitiveness.

b) Focus on building and developing corporate culture. Fulfill social responsibility, particularly in labor relations, working together for common benefits. Actively contribute to society, poverty reduction programs, charity work, and ensuring political security and social order.

9. Vietnam Chamber of Commerce and Industry:

a) Have specific, feasible programs and measures to continue improving the quality of activities, effectively performing the role as a political-social-professional organization of the business community, business associations, business leaders, and employers in Vietnam according to Resolution No. 09-NQ/TW dated December 9, 2011 of the Politburo on building and promoting the role of Vietnamese business leaders in the period of accelerating industrialization, modernization, and international integration.

b) Build and implement programs and projects to support the enhancement of enterprise competitiveness, and programs to improve the capacity of business associations.

c) Coordinate with the Ministry of Planning and Investment, relevant ministries, localities, and agencies in formulating and implementing support policies for enterprises.

d) Coordinate with ministries, localities, enterprises, and business associations in carrying out the tasks mentioned above.

đ) Summarize difficulties, obstacles, and proposals from enterprises and transfer them to state management agencies for handling and resolution; report monthly to the Prime Minister and quarterly to the Government on the implementation of this Directive.