Encourage private economic groups as growth locomotives, Vietnamese business majors advise gov’t

Vietnamese business majors have urged the government to back private economic groups as national development drivers, especially in high-tech areas including semiconductors and artificial intelligence.

The urging happened at a Saturday dialogue between the government and major Vietnamese enterprises like Sun Group, Sovico Group, TH Group, and KN Holdings.

The dialogue, chaired by Prime Minister Pham Minh Chinh, aimed at identifying solutions to foster and boost national socioeconomic development.

Nguyen Thi Phuong Thao, chairwoman of multi-sector group Sovico, spoke about the “unlimited capacity and creativeness” of Vietnamese corporations that should be tapped.

She proposed the development of legal frameworks and a business environment that results in the formation of strong private economic groups with strong international and national brands that can, as locomotives, bolster small and medium enterprises, rural areas and startups.

Le Van Kiem, chairman of KN Holdings Group, shared a vision of building modern, new-generation industrial centers where Vietnam can gradually master technology, strongly develop vocational training, make innovations and acquire technical transfers.

He proposed continued governmental support for projects that develop new-generation industrial parks at scales that can compete in the region.

Kiem also urged state agencies and local authorities to simplify administrative procedures, especially in planning, investment and land allocation for industrial park projects. He wanted breakthrough incentives to attract strategic multinational investors, particularly in high-tech sectors like semiconductors and AI.

"Those renewable energy projects that already received in-principle approval should be facilitated," he said.

Dang Minh Truong, chairman of leading property developer Sun Group, proposed that the government introduces distinctive mechanisms to entice private enterprises into developing projects with significant socio-economic development impacts.

He advocated piloting innovative models similar to global free economic zones and creating favorable policies for foreigners to purchase and own tourism real estate.

Truong also said that "there should be distinctive mechanisms to support public-private partnership (PPP) projects that build infrastructure connecting to potential tourist destinations.”

Meanwhile, Thai Huong, founder and chairwoman of TH Group's strategy council, called for investments in the healthcare sector, saying this was vital for the nation’s advancement and strategic development.

"In recent years, Vietnam has made significant progress in improving the nutritional status of its population. The country has achieved national nutritional goals ahead of schedule. However, challenges remain, particularly concerning the nutrition for preschool and school-age children," she said.

The businesswoman urged the government to prioritize the school milk program as well as food hygiene and safety. She suggested attracting large enterprises to invest in agriculture, allocating large scale land areas to them, and transforming farmers into agricultural workers – as an essential link in the value chain of production, processing and brand building.

TH Group is a leading dairy company, which is also engaged in farming and education.

Prime Minister Pham Minh Chinh emphasized the government's commitment to working alongside business and protecting their legitimate rights and interests. He also stressed that economic relations would not be criminalized and pledged more efforts towards removing harassment of businesses and developing a favorable legal environment.