Khanh Hoa Province currently has about 12,000 small and medium-sized enterprises. The small and medium-sized enterprises make up most of the enterprises in the province but their revenue to the State budget makes up only 20%...
Khanh Hoa Province currently has about 12,000 small and medium-sized enterprises. The small and medium-sized enterprises make up most of the enterprises in the province but their revenue to the State budget makes up only 20%. The provincial People’s Committee are looking for measures to support them in the period of 2016 – 2020.
Sustainable development for small and medium-sized enterprises
According to Tran Minh Hai, Deputy director of Khanh Hoa Provincial Department of Planning and Investment, the authority want to develop small and medium-sized enterprises sustainably, raise their competitiveness competence basing on renovating technologies and increasing productivity and products’ quality, help them access resources and market as well as enhance business management and operation ability. In the enterprise support plan, industries with high value and enterprises with competitive advantages are given priority.
In the coming time, Khanh Hoa Provincial People’s Committee will enforce the plan for the development of small and medium-sized enterprises in the period of 2016 – 2020. The plan aims to forward the small and medium sized enterprises and strives for 6,000 small and medium-sized enterprises to be established in the period of 2016 – 2020, raising the total figure to 18,280 small and medium-sized enterprises by 2020 and creating more 25,000 – 30,000 new jobs. In addition, about 4,000 small and medium-sized enterprises will enjoy benefits from policies as well as aids for human resource training, national and local trade promotion program, and industry encouragement program.
“The plan aims to make small and medium-sized enterprises contribute about 45% of the total industrial production value and 60% - 70% of the total export turnover of the province till 2020. Besides, till 2020, 65% of the small and medium-sized enterprises will be lent capital with loan balance making up 40% of the total figure of the province, contributing 30% of the whole province’s budget”, Hai said.
Comprehensive groups of measures required
According to the provincial Department of Planning and Investment, to promote small and medium-sized enterprises, it’s necessary to carry out comprehensive groups of measures. For example, administrative formalities need to be reformed more, especially in land, business registration, investment certificate and construction license. The local authorities and related departments need to jointly solve problems in the process of establishment, investment and operation of enterprises.
To financial support, connection between banks and enterprises will be strengthened to give loans with preferential interest rates to the enterprises. Additionally, the enterprises will be trained about procedures for borrowing capital as well as knowledge and skill to build and manage projects etc.
To facilitate small and medium-sized enterprises about premises for production and land rent, the provincial People’s Committee will develop building industrial zones and groups as planned like Trang E Industrial Group, Song Cau Industrial Group, Southern Cam Ranh Industrial Zone, etc. Policies on renovating technology, accessing markets, expanding production and developing human resources also will be given more care from the provincial People’s Committee.
Permanent Vice-chairman of Khanh Hoa Provincial People’s Committee says that the plan to support small and medium-sized enterprises in the period of 2016 – 2020 is necessary, however, to avoid the support from being not concrete and concentrated, the provincial Department of Planning and Investment must coordinate with the Department of Industry and Trade, and the Department of Agriculture and Rural Development to confide specific fields. The support must focus on enterprises in agriculture and industry, and measures must be done in accordance with measure groups in target programs of the province and the government.
Nhat Thanh
Translated by T.T
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