Business Business

06/09/2021 - 09:15

Businesses need stronger support policies to "survive"

That is the assertion of Mr. Duong Tuan Anh, Chairman of the Provincial Business Association when sharing with Thua Thien Hue Newspaper about accessing support policies to help businesses overcome difficulties.

Mr. Duong Tuan Anh, Chairman of the Provincial Business Association

According to Mr. Duong Tuan Anh, the pandemic caused the supply of input materials of the industrial production sector and the commodity consumption market to be interrupted. The retail market for goods and service activities have been reopened but have not yet reached the normal level as before, especially the tourism, accommodation, food and entertainment. Transport activities, accommodation and travel businesses in the province faced many difficulties and almost stopped.

In addition to difficulties in production and trading, enterprises also incurred additional costs to prevent the COVID-19 pandemic, leading to reduced revenue as well as facing risks of debt recovery and insolvency. Only in the first 6 months of the year, the number of enterprises registered to suspend is up to 316 enterprises and 75 enterprises announced dissolution.

How do you evaluate the support policies of the Government and related ministries and agencies in supporting businesses?

The Government's fiscal and monetary support policies have been effective and are a "timely support medicine" to help the business community and people initially withstand the difficulties caused by the COVID-19 pandemic. In particular, the tax payment extension policy has supported businesses to overcome difficulties due to lack of orders, revenue sources being affected, etc. These have helped businesses maintain production and business activities, creating jobs for employees.

Enterprises have access to the program of allowing employers to borrow loans to pay wages to employees who stop working

Along with the tax extension policy, banks also implemented two supporting policies at the same time: restructuring the loan repayment term; exempting, reducing interest and fees, and keeping the debt group unchanged according to Circular No. 03/2021/TT-NHNN.

Recently, the policy to support employers to borrow loans to pay wages to employees who stop working and restore production has also been implemented in a timely manner. Some businesses have had access to this policy to help employees and employers reduce some of the difficulties caused by the impact of the COVID-19 pandemic.

Support policies can be said to be a lot, so how do the business community evaluate these policies, sir?

These policies have had a positive impact on the business community, but from the perspective of businesses, especially small and medium enterprises, micro enterprises, the above policies are still difficult for them to access.

Enterprises still need more support in removing mechanisms and simplifying procedures, especially policies to ensure that production and supply chains are not disrupted. This is because the number of businesses that actually have access to interest rates is lower than expected, especially small businesses without collateral.

What do businesses want most at this time about this policy?

The business community wants the banks to make more efforts in supporting customers. Tax support should not only stop at extending the tax payment time, but also need more practical policies, especially tax reduction, no penalty for late payment of taxes, etc.

In your view, what adjustments should be made to financial policies to better support businesses?

In fact, the business community still acknowledges the efforts of the Government and relevant ministries in accompanying businesses to overcome difficulties. However, it is necessary to remove difficulties in mechanisms and policies to continue to create conditions and opportunities for enterprises to develop production and trading in the spirit of safety against the pandemic.

The competent authorities need to further accelerate the disbursement of the support package of VND 26 trillion, in order to promptly support businesses and those affected by the pandemic to overcome difficulties, maintain operations and stabilize life.

Can you tell me which policies are expected by enterprises to help them overcome difficulties in the coming time?

In addition to the policies that have been being implemented, the Government directs the Ministry of Finance to develop a draft resolution on tax policy support. Specifically, the Ministry of Finance proposed to reduce 30% of corporate income tax payable in 2021 for businesses and organizations. Reduce 50% of payable tax amount arising from trading activities of the months in the third and fourth quarters of 2021 for business households and individuals doing business in all fields, industries, trades, localities, and forms of tax declaration, tax payment.

Reducing 30% of value added tax for enterprises and organizations operating in a number of service sectors; Exempting late payment arising in 2020 and 2021 (the 2 years affected by the COVID-19 pandemic) for enterprises and organizations that incur continuous losses in the years 2018, 2019, 2020.

The business community also expects that the banking industry will have more credit packages with preferential interest rates for borrowers without collateral. Credit institutions have also deployed stronger credit programs to accompany businesses.

What has the association done to bring policies closer to the business community, sir?

The Provincial Business Association has coordinated with the State Bank, the Provincial Bank for Social Policies and relevant departments and branches to grasp the difficulties of each enterprise; then bring recommendations and proposals of related businesses to each specific agency, unit, and credit institution to assist in solving difficulties in procedures, access to capital, etc., to restore production.

In addition to supporting policy propaganda, the Association also wants businesses to be bolder in approaching the policies of the province and the Government; innovating the appropriate way of operation to develop a strong and sustainable enterprise.

Thank you!

By Thao Nguyen

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