Removing 'bottlenecks of bottlenecks' for private economy to develop

According to Dr. Nguyen Dinh Cung - former Director of the Central Institute for Economic Management, the private economy contributes 50% of GDP, nearly 60% of total social investment, about 30% of total export turnover and creates nearly 80% of jobs in the economy.

However, the development of the private economy still faces many barriers, the biggest of which is the “bottleneck” caused by institutions and legal regulations. The business legal system is unclear, unspecific, unreasonable, lacking transparency, overlapping, and duplicative. It is even contradictory (multi-layered); it mainly focuses on management, if it cannot be managed, it is banned.

This makes compliance costs very high, costly in terms of time and money, especially opportunity costs.

“The biggest obstacle is still the “bottleneck” caused by institutions and legal regulations. The allocation and use of resources (a significant part) is cronyism, biased, and ineffective. This situation eliminates and stunts the spirit of dedicated business, cultured business, and socially responsible business,” said Mr. Cung.

Faced with this situation, Mr. Cung emphasized the need to remove "bottlenecks of bottlenecks" to create breakthroughs in maximizing resource mobilization, promoting full potential and taking full advantage of opportunities for private economic development.

Delegates attending the Scientific Workshop "Driving forces for high and sustainable growth of Vietnam's economy in 2025 and beyond".

Associate Professor, Dr. Tran Dinh Thien - former Director of the Vietnam Economic Institute proposed that to promote economic development, it is impossible to limit ourselves to the framework of "increasing resources (capital, labor) but must expand the scale by editing, changing, and "locally" reforming the system of mechanisms and policies.

“To solve the problem, we need to think differently – differently, not limited to economics. The two main tasks include reforming the State, removing “bureaucratic” administrative constraints and establishing a vision of the times, implementing a program of action full of determination and aspiration of the nation.

Those are the things that General Secretary To Lam, the Party and the State have proposed and are being vigorously implemented, with the increasing level of consensus and trust of the people and the State apparatus," said Mr. Thien.

At the workshop, representatives of the Institute of Socio-Economics and Environment (IESE) said that the strategic solution framework to promote double-digit growth in the 2026-2030 period must aim to establish a new growth model based on science and technology, innovation and digital transformation. Along with that, it is necessary to streamline the apparatus, make institutional breakthroughs; promote the development of the private sector to become the "lever" - the most important driving force for economic growth, development of science and technology, innovation and national digital transformation.

It is necessary to ensure macroeconomic stability to create a foundation for sustainable growth; promote aggregate demand factors in the short term. At the same time, promote aggregate supply factors in the medium and long term; develop strategic infrastructure and shape new growth drivers.

Ha Anh

Source: https://doanhnghiepvn.vn/kinh-te/chinh-sach/go-diem-nghen-cua-diem-nghen-de-kinh-te-tu-nhan-phat-trien/20250401102007520