Attending were Mr. Mai Hung Dung - Member of Provincial Standing Party Committee, Permanent Vice Chairman of Provincial People's Committee (PPC); together with representatives of trade associations, enterprise unions and credit institutions in the province.
As reported by the PPC, the socio-economic situation of Binh Duong province in the first quarter of 2023 took place in the context that the world economic and political situation continued to have complicated and unstable developments,which greatly affected the recovery process as well as the growth rate of Vietnam in general and Binh Duong in particular.Compared to the same period in 2022, the province's GRDP decreased mainly due to the decline of the industrial and construction sectors.
The reason for the decline in production of some key industries was the high input production costs and the decline in the number of orders; many industries accounted for a high proportion of decreased compared to the same period in 2022 such as: beds, tables, chairs down 69.4%, products from rubber and plastic down 29.7%; paper and paper products down 24.8%; leather and related products down 14.8%; apparel production down 9.9%, etc.
Industrial production falls sharply in the first quarter of 2023. Photo: Workers of Takako Vietnam Co., Ltd during production hours
It is forecasted that in the second quarter of 2023, the number of enterprises in the province with an increase in export orders compared to the first quarter of 2023 accounts for about 28%; the number of enterprises assuming the number of production orders to be stable as in the first quarter of 2023 accounts for about 38.3%; the number of enterprises expected to continue to reduce their labor size accounts for about 28.9%; the number of enterprises assessing the number of orders for production and export in the second quarter of 2023 continued to decrease compared to the first quarter of 2023 accounts for about 33.1%.
Facing the above situation, Mr. Pham Trong Nhan - Director of the Department of Planning and Investment said that the PPC has proposed solutions to solve difficulties for enterprises. In which, effectively, substantively, comprehensively and consistently implementing the Government's Resolutions, the Socio-economic Recovery and Development Program; promptly advising, promulgating and implementing quickly and effectively policies to support production and business, attract investment, clear resources, striving to achieve the growth target of the whole year (8.5-8.7% plan) etc.; seriously implementing the PPC's Directive on public investment, directing the investor to promptly construct and disburse public investment capital in 2023, contributing to creating a driving force for growth. In addition to improving the business investment environment, the province will promote programs and policies to support small and medium enterprises in the province. In particular, supporting enterprises to adapt to the new situation, stabilize production and business, quickly recover, creating a premise for breakthroughs, enhancing competitiveness, growing in size and improving the average lifespan of enterprises. Helping enterprises promote e-commerce; supporting enterprises to access information channels on export in order to find new markets to export products in addition to previous traditional markets. Supporting wood processing enterprises to find domestic sources of wood materials; effectively implementing Resolution No. 33/NQ-CP on a number of solutions to remove and promote the development of the real estate market. Directing credit institutions in the area to reduce the interest rates for deposits and loans; accelerating the disbursement of 2%/year interest rate support policy. Concentrating loan capital for production and business and creating favorable conditions for small and micro enterprises to access loans for production and business. At the same time, focusing on solving social security issues for workers, attracting and training a highly skilled workforce according to the needs of enterprises.
Ms. Truong Thi Thuy Lien - Vice President of Binh Duong Leather and Footwear Association suggests some solutions for enterprises
Mr. Mai Huu Tin - Chairman of the Provincial Business Federation proposes solutions to solve difficulties for enterprises
At the meeting, representatives of Associations proposed solutions related to appraisal of fire prevention and fighting, policies to support enterprises to relocate to industrial zones in the North; stabilizing the labor market; enabling enterprises to access loans, etc.
Mr. Vo Dinh Phong - Director of the State Bank of Vietnam, Binh Duong branch informs about solutions for enterprises in the credit branch
Regarding credit policies to support enterprises, Mr. Vo Dinh Phong - Director of the State Bank of Vietnam, Binh Duong branch said that the province held a conference to grasp difficulties and problems to find solutions for enterprises. The State Bank of Vietnam will also simplify internal processes and procedures to make it easier for enterprises to access credit. Focusing on providing credit to production and business fields, priority areas (exports, supporting industries, hi-tech agriculture; high-tech agriculture; industrial park construction; lending to meet people's housing needs; housing real estate projects that are about to be completed and handed over, capable of repaying loans in full and on time, especially social housing projects, worker housing, and commercial housing. Continuing to promote the implementation of the interest rate support program under the Government's direction. Mr. Phong also said that the State Bank of Vietnam, Binh Duong branch will strengthen inspection, supervision and handling of cases where branches of credit institutions and foreign bank branches avoid or fail to implement the general policy on solving difficulties, open a hotline to listen and synthesize opinions of people and enterprises for timely handling.
The Industry and Trade, Natural Resources and Environment branches also provide information on creating conditions for enterprises to relocate to industrial zones and clusters in the North of the province. In June 2023, the PPC will submit the Provincial People's Council to approve the relocation support policy. For the real estate sector, the Department of Construction has met with enterprises to get information and will soon have a solution. Mr. Mai Hung Dung – Permanent Vice Chairman of the PPC added that the province will promote solutions to solve difficulties for enterprises, disburse public investment capital, which are related to land, administrative procedures and social security.
Secretary of the Provincial Party Committee Nguyen Van Loi concludes the meeting
Concluding the meeting, Secretary of the Provincial Party Committee Nguyen Van Loi suggested that the branches review and synthesize the recommendations of enterprises to to coordinate and solve them. In which, focusing on speeding up disbursement of public investment capital; approving digital transformation projects related to reform of administrative procedures, social security, health care, education, etc. to disburse according to regulations; removing obstacles in the province's general planning. Proposing and recommending the Central Government to have a mechanism to solve difficulties in the appraisal of fire prevention and fighting for enterprises; in the second quarter of 2023, selecting enterprises that are ready to relocate to industrial zones and clusters in the North of the province for pilot implementation; soon promulgating policies to support enterprises to relocate; creating conditions for enterprises to invest in infrastructure of industrial clusters suitable to their industry's production and business in order to relocate production facilities. The province will arrange meetings with enterprises to promptly capture information and have solutions for enterprises.
Report by Mai Xuan-Translated by Thanh Tam