Business conditions continued to improve at a solid pace in the Vietnamese manufacturing sector during February.
The Ministry of Industry and Trade (MOIT) has submitted to the government a proposal to use a decree to amend several decrees, in order to rapidly reduce the number of business conditions that hinder business.
Only one unreasonable sub-license or commonly known as an absurd business conditions exist, it can kill thousands of Vietnamese entrepreneurs, withering their creativity and competitiveness, according to leading economic experts.
675 investment and business conditions are officially cut under the final decision on the eradication and simplification of investment and business conditions in the field of the state management of the Ministry of Industry and Trade (MoIT) in the 2017-2018 period signed and promulgated by Minister Tran Tuan Anh.
Currently, the Ministry of Industry and Trade (MoIT) is drastic in eradication of 600 business conditions (commonly known as sub-licenses) to create favorable conditions for enterprises.
It is expected that about 464 - 612 business conditions (or sub-licenses) will be cut down, equivalent to 38 – 50 per cent of the total business conditions of the Ministry of Industry and Trade in the near future.
The Minister of Industry and Trade would directly inspect the sub-licenses eradication to radically eliminate maximum of the current 1,216 unnecessary business conditions, making it more determined in the campaign.
"We set out too many business conditions and force businesses to comply. Meanwhile, the management is still loose, causing backdoor business and group interest," said lawyer Truong Thanh Duc.
Members of the Prime Minister’s Economic Advisory Group believe that the global standards of the Organization for Economic Cooperation and Development (OECD) would help Vietnam to cut unreasonable business conditions, reducing burden for enterprises.
The government requests to review business conditions under the market principles of the Organization for Economic Co-operation and Development (OECD), proposing the abolition of restrictive competition conditions.
The business law system of Vietnam has recently made positive changes, creating a favorable business environment for enterprises. However, besides these positive moves, the legal system still exists many "barriers" that make the realization of "business freedom" meet many challenges.
