Econ
Hanoi plans to have 400,000 firms by 2020
The Capital city will encourage and support the establishment of new firms so that it will meet a target of having 400,000 enterprises under operation by 2020.
Le Van Quan, Director of the Ha Noi Centre for Supporting Small and Medium-sized Enterprises, made the statement during the first Hanoi Enterprises Forum with the theme ‘Measures to enhance the competitiveness for Hanoi firms’ held in the Capital city on January 19.
“The Capital authorities will join hands with firms to enable creating the best conditions for firms in doing business and production,” Quan said, adding that the city will continuously remove unnecessary administrative procedures and cut fees and costs.
He also pledged that the centre will organize more training and trade promotion programs so that the city’s firms can enhance their competitiveness.
According to the Hanoi General Statistics Office, the Capital city licensed 25,000 new firms with a total registered capital of more than VND240 trillion (US$10.57 billion) last year, up 11 per cent and 4 per cent, respectively. The rise helped to raise the total number of firms in the city to nearly 232,000.
However, Mac Quoc Anh, Vice Chairman cum General Secretary of the Hanoi Association of Small and Medium-sized Enterprises, admitted that the majority of the city-based enterprises are small size with low competitiveness and added value.
Currently, roughly 97 percent of the city’s firms are small and medium-sized enterprises. They contribute some 40 percent to the city’s GDP and generate jobs for nearly 2 million locals.
Such enterprises are also often faced with difficulty in being access to resources, which causes them to lack capital, human resources and suitable premises for development.
Besides, Quan said, most of the city’s small firms haven’t got effective business strategies and have no assets to mortgage for bank loans.
Le Van Dung, General Director of ABSoft Technology Group, suggested that the city’s firms should apply science and technology to upgrade their production and business.
In addition, experts also urged the city’s firms to improve their products’ quality and make their production more transparent to build confidence for consumers besides fighting against fake goods.
To encourage the development of firms, Hanoi has so far also planned to implement two key projects on starts-up in an aim to meet targets of becoming the country’s leading innovation start-up center.
Under the first project, titled ‘Supporting starts-up in Hanoi’, the capital city will step up the reform of administrative procedures for enterprise registration, striving to carry out online business registration for all firms.
Besides assistance on taxes, charges and fees, the city will be also support firms in accounting works and provide free guidance and consultation on registration procedures.
Business training will be also given to business households and small- and medium-sized enterprises. Especially, the city will focus on counseling and supporting business households to help them transform into enterprises according to the Law on Supporting Small and Medium Enterprise that has taken effect from January 1, 2018. The city expects to increase the number of enterprises by 10 per cent yearly thanks to the transform.
The second project, named ‘Support for innovative starts-up in Hanoi’, is expected to be considered and implemented in the first quarter of 2018.
According to the Hanoi Department of Planning and Investment, 800 starts-up have so far participated in Hanoi’s StartupCity.vn - a start-up ecosystem, which has been launched in October and is expected to connect start-ups with international firms, thus creating new jobs.
Hanoi will create the best conditions for firms in doing business and production
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He also pledged that the centre will organize more training and trade promotion programs so that the city’s firms can enhance their competitiveness.
According to the Hanoi General Statistics Office, the Capital city licensed 25,000 new firms with a total registered capital of more than VND240 trillion (US$10.57 billion) last year, up 11 per cent and 4 per cent, respectively. The rise helped to raise the total number of firms in the city to nearly 232,000.
However, Mac Quoc Anh, Vice Chairman cum General Secretary of the Hanoi Association of Small and Medium-sized Enterprises, admitted that the majority of the city-based enterprises are small size with low competitiveness and added value.
Currently, roughly 97 percent of the city’s firms are small and medium-sized enterprises. They contribute some 40 percent to the city’s GDP and generate jobs for nearly 2 million locals.
Such enterprises are also often faced with difficulty in being access to resources, which causes them to lack capital, human resources and suitable premises for development.
Besides, Quan said, most of the city’s small firms haven’t got effective business strategies and have no assets to mortgage for bank loans.
Le Van Dung, General Director of ABSoft Technology Group, suggested that the city’s firms should apply science and technology to upgrade their production and business.
In addition, experts also urged the city’s firms to improve their products’ quality and make their production more transparent to build confidence for consumers besides fighting against fake goods.
To encourage the development of firms, Hanoi has so far also planned to implement two key projects on starts-up in an aim to meet targets of becoming the country’s leading innovation start-up center.
Under the first project, titled ‘Supporting starts-up in Hanoi’, the capital city will step up the reform of administrative procedures for enterprise registration, striving to carry out online business registration for all firms.
Besides assistance on taxes, charges and fees, the city will be also support firms in accounting works and provide free guidance and consultation on registration procedures.
Business training will be also given to business households and small- and medium-sized enterprises. Especially, the city will focus on counseling and supporting business households to help them transform into enterprises according to the Law on Supporting Small and Medium Enterprise that has taken effect from January 1, 2018. The city expects to increase the number of enterprises by 10 per cent yearly thanks to the transform.
The second project, named ‘Support for innovative starts-up in Hanoi’, is expected to be considered and implemented in the first quarter of 2018.
According to the Hanoi Department of Planning and Investment, 800 starts-up have so far participated in Hanoi’s StartupCity.vn - a start-up ecosystem, which has been launched in October and is expected to connect start-ups with international firms, thus creating new jobs.
