Battle against sub-licenses: 'I frankly speak out to the Prime Minister...'

Aug 29, 2017 | 11:01 AM GMT+7

TheLEADER"Without touching the complexity and ineffectiveness of administrative ministries, all measures of removing sublicenses are just half-completed," chief executive officer (CEO) of Lua Viet Tours Nguyen Van My resolutely said.

Battle against sub-licenses: 'I frankly speak out to the Prime Minister...'
Mr. Nguyen Van My, chief executive officer (CEO) of Lua Viet Tours Co., Ltd.

Over 30 years of tourist business, Lua Viet Tours Co., Ltd.'s CEO cum President and his partners have been negatively and chronically affected by sublicensing procedures.

TheLEADER's reporter Kim Yen has interviewed Mr. Nguyen Van My about the issue that the Ministry of Planning and Investment is proposing to remove nearly 2,000 sublicenses as well as the Government's plan on removal of sublicenses.

Many authorities remain to apply business conditions, commonly known as sub-licenses so as to interfere in business operation of enterprises without clear management objectives. What do you think?

CEO Nguyen Van My: The toughest challenge of Vietnamese enterprises is being bothered by authorities. The State management agencies as well as professional associations almost donot help anything specific to enterprises. 

In several cases, authorities request so many procedures and paperwork. It is not mentioned relevant to unknown sufferings caused by sub-units under the authorities asking for advertisement, awarding sponsorship, book purchase, donation, et.

A dozen of years have witnessed many disputes at the National Assembly or economic forums aiming at removal of unnecessary sub-licenses but they donot reach effectiveness. What are reason?

CEO Nguyen Van My: How to reach effectiveness if the work is done half-closed. All the resolutions are just made in accordance with dealing with top of problems other than their roots. 

Sublicenses and procedures are considered as nurturing source and main incomes of management authorities. Some dozens of years have gone and ceasing such a nurturing source is not simple and easy and in some cases it is impossible. 

Recent time together with action and creativity points of view, the Government has expressed determination of removing hurdles against business operation. In 2016, a dozen of decree on business conditions were issued and over 3,000 out of 7,000 sublicenses are removed. What do you think?

CEO Nguyen Van My: It is just only the top partial resolution. I understand derire and determination of the Prime Minister but the important thing is how to resolve firmly and radically. Dare to battle resolutely and cease the nurturing source is the core points. 

Even if the existent 7,000 sublicenses are removed, other 7,000 are given birth to. When ministries and leaders are higher than staff, together with fabulous administrative offices, low salary of civil cadres, how to support enterprises legitimately?

When removing over 3,000 sublicenses, President of the Vietnam Chamber of Commerce and Industry stated that it was not the completion of reform process, it was just a commencement. What do you think about the comment?

CEO Nguyen Van My: It is right...but waits for specific results. It is a belief as without it, there is no business momentum. It is for a long time, belief of enterprises are occassionally inflationary because of determinations of ministries and departments. 

At the regular meeting in July, the Prime Minister requested a review on business conditions in accordance with market principles of the Organization for Economic Cooperation and Development (OECD). Prime Minister also assigned the Ministry of Planning and Investment to coordinate with concerned ministries and agencies to build up a decree or an instruction on control of business conditions so that the Prime Minister approves in fourth quarter of 2017. Is the plan feasible?

CEO Nguyen Van My: I would like to emphasize and frankly speak out to the Prime Minister that "without touching the complexity and ineffectiveness of administrative ministries, all measures of removing sublicenses are just half-completed."

"Top authorities donot act as example, bottom ones become a mess." It shall start at the Ministries of Planning and Investment and Industry and Trade. It is necessary to have an independent supervising agency and specific individual responsibility. Without frankly speaking, we are still bending in a curve line of resolution, all issues remain to be half-completed. 

Thank you very much!