Thursday, 21 Mar 2019

Vietnam PM asks ministries to report on progress of removing business conditions

Updated at Monday, 16 Jul 2018, 17:23
The Hanoitimes - Business condition removal is one of the key measures for economic growth and efficiency, requiring strong efforts from government leaders and ministers, stated Prime Minister Nguyen Xuan Phuc.
Ministries and ministry-level agencies are required to report to the PM on a quarterly basis on the remaining number of business conditions and goods subject to specialized control regulations as the government seeks to smooth the business environment, according to the PM's directive issued on July 13.
Illustration photo.
Illustration photo.
The directive requires there should be a clear justification of changes in the number of business conditions and goods required for specialized inspection. 

Following drastic measures from the government, there have been some positive results at first. 

On January 15, the PM signed a decree to cut 675 investment and business conditions in the fields managed by the Ministry of Industry and Trade (MoIT) at the ministry's proposal. The cut, which was the highest-ever record in the ministry's history, accounts for 55.5% of the total current business conditions in the fields and sectors managed by MoIT.

Meanwhile, the Ministry of Health (MoH) in April proposed removing 1,151 or 68.51% out of 1,680 business conditions under the ministry's administration.

According to the PM, business condition removal is one of the key measures for economic growth and efficiency, requiring strong efforts from government leaders and ministers. 

Phuc requested concerned ministries to submit proposals on reforming the specialized inspection process and simplifying business conditions before August 15. 

Moreover, proposals on removing business conditions must be substantial, preventing the case of adding many business conditions into one mathematically, or just simply changing the name of the condition. 

The PM strictly prohibited government agencies and ministries to create new business conditions or abuse specialized inspection. 

The government has set target of removing 50% of total business conditions at all ministries and ministry-level agencies before October 31. 

However, the process has been sluggish. As of present, just less than 6% of the number of goods have removed from specialized inspection category, according to Vu Tien Loc, chairman of the Vietnam Chamber of Commerce and Industry (VCCI). 

Meanwhile, the average time for specialized examination is 76 hours per procedure, about three times higher than that of ASEAN - 4 (including Indonesia, Malaysia, the Philippines and Thailand), Loc said, suggesting a more radical review is needed. 
Ngoc Thuy
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