Vietnam's Resolution 68 seen as driving business momentum

THE HANOI TIMES — Resolution 68 of Vietnam's Politburo on private sector development is having a positive impact on market entry and business operations, according to the Ministry of Finance (MoF).

“Since the issuance of Resolution 68 [on May 4], an average of more than 19,100 new businesses have been established each month, nearly 48% higher than the monthly average before the resolution,” the MoF reported at a meeting on September 26.

In the first eight months, more than 209,240 businesses entered or re-entered the market, 30% higher than the number that withdrew.

The number of new household businesses also rose by over 18% compared with the same period last year. In the first half of 2025, nearly 13,700 household businesses paying presumptive tax switched to declaration-based taxation, while about 1,480 converted into enterprises.

These positive developments in business activity have contributed to higher state revenue, note the finance ministry.

In the first eight months, state budget revenue from the private sector, including non-state industry and services, reached VND296 trillion (US$11.6 billion), up 20% from the same period last year.

Revenue from household and individual businesses amounted to VND17.1 trillion ($670 million), representing an increase of 31% compared to the same period in 2024.

Overall, total state budget revenue for the first eight months hit VND1,330 trillion ($52.1 billion), reaching 80.7% of the year’s projection and up 31.8% year-on-year.

Despite these gains, the MoF noted that implementation of the resolution in certain locations remains slow and has not met expectations, with many grassroots officials lacking the necessary capacity.

Deputy Prime Minister Nguyen Chi Dung at the meeting stressed that the ultimate goal is to create a business environment that mobilizes idle capital within society and channels it into the economy.

This would foster a nationwide startup movement and stimulate private sector growth, Dung added.

“Successful implementation of Resolution 68 means building trust so that businesses feel secure and confident to invest,” he said, adding that the overall spirit so far is “positive and encouraging.”

He stressed the need for ministries and localities to review ongoing projects, strengthen accountability, and provide timely policy advice.

The MoF and the Ministry of Justice were tasked with tightening oversight of new regulations to avoid unnecessary procedures that could offset administrative reforms. Authorities were also urged to accelerate support policies for household businesses converting into enterprises, while removing barriers to encourage a stronger wave of transformation.

At the same time, efforts should focus on applying and transferring technology, strengthening ties with domestic and international research institutions and business associations, and making the most of knowledge and expertise from private enterprises and international partners.

Facilitating access to land, industrial park infrastructure, financing, workforce training, and digital transformation was also highlighted as critical.

Issued in May, Resolution 68 of the Politburo affirms the private sector as a key driver of the economy and a pioneer in science, technology, and innovation. It sets the goal of reaching two million enterprises by 2030, including at least 20 large private firms participating in global value chains. The private sector is expected to contribute 55%–58% of GDP and account for about 84%–85% of the country’s workforce.