Resolution 02/NQ-CP 2019 continuing implementation of solutions for improving the business environment

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Resolution No. 02/NQ-CP dated January 01, 2019 of the Government on continuing implementation of major tasks and solutions for improving the business environment and the national competitiveness in 2019 and orientation towards 2021
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Official number: 02/NQ-CP Signer: Nguyen Xuan Phuc
Type: Resolution Expiry date: Updating
Issuing date: 01/01/2019 Effect status:
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Fields: Commerce - Advertising , Policy

SUMMARY

Objectives to improve the business environment in 2019

On January 01, 2019, the Government issues the Resolution No. 02/NQ-CP on continuing implementation of major tasks and solutions for improving the business environment and the national competitiveness in 2019 and orientation towards 2021.

Accordingly, specific targets regarding improving the business environment and the national competitiveness in 2019 and orientation towards 20219 are:

Regarding improving the business environment according to EoDB Index:

- Raising ranking of the Starting a Business index (A1) by 20-25 steps; in 2019 improving by at least 5 steps.

- Raising ranking of the Paying Taxes and Social Insurance index (A2) by 30-40 steps; in 2019 improving by 7-10 steps.

- Raising ranking of the Dealing with Construction Permits index (A3) by 2-3 steps; in 2019 improving by at least 1 step.

- Raising ranking of the Getting Credit index (A4) by 3-5 steps; in 2019 improving by at least 1 step.

- Raising ranking of the Protecting Minority Investors index (A5) by 14-19 steps; in 2019 improving by at least 5 steps.

- Raising ranking of the Getting Electricity index (A6) by 5 - 7 steps; in 2019 improving by 3-5 steps.

- Raising ranking of the Registering Property index (A7) by 20-30 steps; in 2019 improving by 5-8 steps.

- Raising ranking of the Trading across Borders index (A8) by 10-15 steps; in 2019 improving by 3-5 steps…

Regarding improving the competitiveness according to GCI 4.0 Index:

- Raising ranking of the Burden of government regulation index (B1) by 5 - 10 steps; in 2019 improving by at least 2 steps.

- Raising ranking of the Incidence of corruption index (B2) by 5 - 10 steps; in 2019 improving by 2 - 5 steps…

This Resolution takes effect on January 01, 2019.

 

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THE GOVERNMENT

Resolution No. 02/NQ-CP dated January 01, 2019 of the Government on continuing implementation of major tasks and solutions for improving the business environment and the national competitiveness in 2019 and orientation towards 2021

Pursuant to the Law on Organization of the Government dated June 19, 2015;

Pursuant to Resolution No. 69/2018/QH14 dated April 12, 2016 of the National Assembly on the 5-year socioeconomic development plan from 2016-2020; Resolution No. 48/2017/QH14 dated November 8, 2018 of the National Assembly on the socio-economic development plan for 2019;

At the proposal of the Minister of Planning and Investment,

DECIDES:

I. GENERAL EVALUATION

Thanks to implementation of the Government s annual Resolutions No. 19 on improving the business environment and the national competitiveness, ministries, agencies and localities have become increasingly aware of their responsibilities and have actively participated in improving scores and ranking of indicators and/or specific criteria in their assigned management scope. Many ministries, agencies and localities, such as the Ministry of Industry and Trade (Getting electricity); Ministry of Finance (Paying taxes); Ministry of Science and Technology (Innovation) ...; the Viet Nam Social Security (Paying social insurance), Quang Ninh Province, Dong Thap Province, Ha Noi, and Ho Chi Minh City, have designated focal points, set up mechanisms to monitor the implementation of Resolutions No. 19 as well as to monitor the information, evaluation results and rankings of international organizations.

Thousands of unreasonable business conditions have been abolished. Specialized inspection of import-export goods has been fundamentally renewed under the principle of risk assessment, shifting from pre-check to post-check for many goods. The number of online public services has increased rapidly.

According to the evaluation and ranking of international organizations, Viet Nam has improved 13 ranks [1] in terms of business environment in 2018 compared to 2016 (in which, Getting Electricity jumps [2] 69 places, Paying Taxes and Social Insurance climbs [3] 36 places, Starting a Business jumps [4] 17 places). Logistics Performance Index climbs [5] 25 places, and Global Innovation Index jumps [6] 14 places...

More than 50% of businesses assessed the business environment has become more open and convenient. Ministries, agencies and localities that actively implement Resolutions No. 19 are also ones that continue to maintain high rankings and/or gain strong improvements in rankings with respect to the Viet Nam Provincial Competitiveness Index (PCI) (published by the Viet Nam Chamber of Commerce and Industry); and the Public Administration Reform Index (PAR Index) (announced by the Ministry of Home Affairs)...

The rapid and clear improvements of the business environment and the national competitiveness are highly appreciated by international organizations and well-recognized by enterprises and the people.

However, Viet Nam’s business environment and national competitiveness rankings remain at average level on global scale (ranking 69th out of 190 economies in terms of business environment, 77th out of 140 in terms of competitiveness). In the ASEAN region, Viet Nam is still not in the top 4 countries (ranking 5th in terms of business environment, 7th in terms of competitiveness). Besides some indexes that have improved quickly, many indexes still observe slow improvements. Particularly, some indexes have dropped sharply compared to the region and the world such as: Resolving Insolvency in 2018 down 8 ranks [7] compared to 2016, at the bottom of the rankings; and trading across Borders down 7 places [8]...

Indexes related to technology and innovation to adapt to new generation of manufacturing in the 4thindustrial revolution are slowly updated, monitored and improved, business environment ranking fell by one place according to the World Bank, and Global Competitiveness dipped by 03 ranks as the World Economic Forum (WEF) reported.

Since 2016, Resolutions No. 19 has delegated responsibilities to ministries and agencies acting as the focal points to monitor each international ranking and be responsible for each specific index. However, many ministries and agencies have not yet designated the focal point or established mechanisms for internal direction in the respective ministry or the agency. The role as focal agencies of ministries (The Ministry of Planning and Investment to report on the WB s Business Environment Index and WEF’s Global Competitiveness Index; the Ministry of Science and Technology for Global Innovation Index of the World Intellectual Property Organization (WIPO); the Ministry of Information and Communications for the E-Government Development Index of the United Nations (UN)), in guiding other ministries, agencies, and localities to implement and provide data, remain limited and unclear. Although some indicators have been improved, Viet Nam’s rankings remain lower than reality due to the lack of clear mechanisms to synthesize and provide accurate information to international organizations (such as the average number of years of study of a person when he reaches adulthood according to the E-Government Development Index Report ...).

Innovation in state management approach, especially shifting from pre-check to post-check and risk management in a number of sectors and agencies, remains slow, unprofessional, and not drastic enough. Attention has only been paid to removing obstacles of some indexes in response to strong pressure from the business community and/or under direct instruction of superiors. Indexes that have indirectly impact on production and business activities have not been given adequate attention. Some reform actions lack in substance and still at outer appearance. Opportunity costs, unofficial costs of businesses in starting a business, costs in operations as well as costs in terms of time and money of people in access to public services have decreased but remain rampant. At times businesses and the people still have to face with difficulties and harassment due to local regulations of a few public agencies and a part of civil servants and public officials.

In the context of the 4th industrial revolution and increasing international competition, all countries and economies are striving to improve the business environment and focus on innovating and improving technology and innovation capacity to adapt to new generation of manufacturing. The target to improve the national rankings in the world to put Viet Nam in the group of four leading countries in ASEAN region, requires us to work harder than before. Internally, the business community and the whole society are excited by the achievements on socio-economic development but also require public agencies to innovate more strongly towards publicity and transparency in order to create the most open conditions to all people to contribute their effort and properties to production and business development to enrich themselves and the country.

In order to successfully achieve the objectives and tasks on socio-economic development in 2019 according to the Resolution approved by the National Assembly, creating strong transformation in the business environment, improving competitiveness and productivity, the Government has issued this Resolution in continuation of previous years’ Resolutions No. 19 on improving the business environment and the national competitiveness.

II. MAJOR OBJECTIVES AND TARGETS TO IMPROVE THE BUSINESS ENVIRONMENT AND THE NATIONAL COMPETITIVENESS IN 2019, AND ORIENTATIONS TOWARDS 2021

1. General objectives

Improve Viet Nam’s international rankings on reports by the WB, WEF, WIPO, and UN on the business environment and the national competitiveness ... to adapt to new generation of manufacturing in the Industry 4.0. Strongly improve the business environment, rapidly increase the number of newly established enterprises; reduce the ratio of dissolved or suspended enterprises; reduce input costs, opportunity costs, and unofficial costs for enterprises and the people; contribute to the successful implementation of the Government s Resolution on socio-economic development. Strive to put Viet Nam’s business environment and competitiveness into the ASEAN top 4.

a) Raising the Ease of Doing Business ranking - EoDB (WB)[9] by 15 - 20 steps; in 2019 improving by 5 - 7 steps.

b) Raising the Global Competitiveness ranking - GCI 4.0 (WEF)[10] by 5 - 10 steps; in 2019 improving by 3 - 5 steps.

c) Raising the Global Innovation ranking - GII (WIPO)[11] by 5 - 7 steps; in 2019 improving by 2-3 steps

d) Raising the Logistics Performance ranking (WB)[12] by 5 -10 steps.

dd) Raising the Travel and Tourism Competitiveness ranking (of WEF)[13] by 10 - 15 steps; in 2019 improving by 7- 10 steps.

e) Raising the E-Government Development ranking (UN)[14] by 10-15 steps in 2020.

2. Some specific targets

a) Regarding improving the business environment according to EoDB Index:

- Raising ranking of the Starting a Business index (A1) by 20-25 steps; in 2019 improving by at least 5 steps.

- Raising ranking of the Paying Taxes and Social Insurance index (A2) by 30-40 steps; in 2019 improving by 7-10 steps.

- Raising ranking of the Dealing with Construction Permits index (A3) by 2-3 steps; in 2019 improving by at least 1 step.

- Raising ranking of the Getting Credit index (A4) by 3-5 steps; in 2019 improving by at least 1 step.

- Raising ranking of the Protecting Minority Investors index (A5) by 14-19 steps; in 2019 improving by at least 5 steps.

- Raising ranking of the Getting Electricity index (A6) by 5 - 7 steps; in 2019 improving by 3-5 steps.

- Raising ranking of the Registering Property index (A7) by 20-30 steps; in 2019 improving by 5-8 steps.

- Raising ranking of the Trading across Borders index (A8) by 10-15 steps; in 2019 improving by 3-5 steps.

- Raising ranking of the Enforcing Contracts index (A9) by 8-12 steps; in 2019 improving by at least 3 steps.

- Raising ranking of the Resolving Insolvency index (A10) by 10 -15 steps; in 2019 improving by at least 3 steps.

b) Regarding improving the competitiveness according to GCI 4.0 Index:

- Raising ranking of the Burden of government regulation index [15] (B1) by 5 - 10 steps; in 2019 improving by at least 2 steps.

- Raising ranking of the Incidence of corruption index [16] (B2) by 5 - 10 steps; in 2019 improving by 2 - 5 steps.

- Raising ranking of the Quality of land administration index [17] (B3) by 5 - 8 steps; in 2019 improving by 2-3 steps.

- Raising ranking of the Infrastructure index group [18] (B4) by 3 - 5 steps; in 2019 improving by at least 1 step.

- Raising ranking of the ICT adoption index group [19] (B5) by 20 - 25 steps; in 2019 improving by at least 5 steps.

- Raising ranking of the Quality of vocational training index [20] (B6) by 20-25 steps; in 2019 improving by at least 5 steps.

- Raising ranking of the Market capitalization index [21] (B7) by 10-15 steps; in 2019 improving by at least 5 steps.

- Raising ranking of the R&D expenditures index [22] (B8) by 6-10 steps; in 2019 improving by at least 2 steps.

- Raising ranking of the Growth of innovative companies index [23] (B9) by 20-25 steps; in 2019 improving by at least 5 steps.

- Raising ranking of the Companies embracing disruptive ideas index [24] (B10) by 5 - 10 steps, in 2019 improving by at least 2 steps.

c) Regarding improving of Innovation indicators:

About Innovation indicators according to GII Index:

- Raising ranking of the Information & communication technologies index group (ICTs) [25] (C1) by 10-15 steps; in 2019 improving by 5 - 7 steps.

- Raising ranking of the Knowledge-intensive employment index [26] (C2) by 15-20 steps; in 2019 improving by 5 - 7 steps.

- Raising ranking of the University/industry research collaboration index [27] (C3) by 10-15 steps; in 2019 improving by 3 - 5 steps.

- Raising ranking of the ICTs & business model creation index [28] (C4) by 15 - 20 steps; in 2019 improving by 5 - 7 steps.

- Raising ranking of the ICTs & organizational model creation index [29] (C5) by 10-15 levels; in 2019 improving by 3 - 5 steps.

- Raising ranking of the Online creativity index group [30] (C6) by 10-14 steps; in 2019 improving by 3 - 5 steps.

About the Technology and Innovation index group [31] according to the Readiness for the Future of Production Report [32] of WEF:

- Raising ranking of indexes under the Technology index group [33] (C7) by 15 - 20 steps; in 2019 improving by 5 - 7 steps.

- Raising ranking of indexes under the Ability to Innovate index group [34] (C8) by 10-15 steps; in 2019 improving by 3 - 5 steps.

- Raising ranking of indexes under the Human Capital index group [35] (C9) by 10-15 steps; in 2019 improving by 3 - 5 steps.

d) Regarding improving Logistics Performance Index ranking: Raising ranking of Competence and quality of logistics services index (D1) by 3 - 5 steps; in 2019 improving by 1 - 2 steps.

dd) Regarding ranking of the Travel and Tourism Competitiveness Index: Raising ranking of the Prioritization of Travel & Tourism index (D1) by 15 - 20 steps; in 2019 improving by 5 - 7 steps.

III. MAJOR TASKS AND SOLUTIONS

1. Enhance responsibilities of the ministries assigned to monitor the improvement of indexes and ministries assigned and responsible for indexes and sub-indexes.

a) Assign line ministries to monitor the improvement of indexes as follows:

- The Ministry of Planning and Investment shall be the focal point to monitor the WB s Ease of Doing Business Index and the WEF’s Global Competitiveness Index 4.0.

- The Ministry of Science and Technology shall be the focal point to monitor the WIPO s Global Innovation Index and the WEF’s Technology & Innovation Index according to the Readiness for the Future of Production Report.

- The Ministry of Industry and Trade shall be the focal point to monitor the WB s Logistics Performance Index.

- The Ministry of Culture, Sports and Tourism shall be the focal point to monitor the WEF’s Travel and Tourism Competitiveness Index.

- The Ministry of Information and Communications shall be the focal point to monitor the UN’s E-Government Development Index.

b) Ministries and agencies are assigned to assume the prime responsibility for the specific Indexes and sub-indexes as follows:

- The Ministry of Planning and Investment: Indexes A1 and A5.

- The Ministry of Finance: Indexes A8 and B7 and sub-index on Paying taxes in Index A2.

- The Ministry of Information and Communications: Indexes B5, C1, C4, C5 and C6.

- The Ministry of Transport: Index B4.

- The Ministry of Construction: Index A3.

- The Ministry of Natural Resources and Environment: Indexes A7 and B3.

- The State Bank of Viet Nam: Index A4.

- The Ministry of Labor - Invalids and Social Affairs: Indexes B6 and C2.

- The Ministry of Education and Training: Indexes C3 and C9.

- The Government Inspectorate: Index B2.

- The Ministry of Science and Technology: Indexes B8, B9, B10, C7 and C8.

- The Ministry of Industry and Trade: Indexes A6 and D1.

- The Ministry of Culture, Sports and Tourism: Index D1.

- The Ministry of Justice: Index B1; advice the Government and directly implement (when authorized) solutions to improve Indexes A9 and A10.

- The Viet Nam Social Security: Sub-index "Paying insurance" under Index A2.

c) Ministries assigned to act as focal points to monitor indexes (mentioned at Point a, Clause 1, Section III) and Ministries and agencies assigned to assume the prime responsibility for indexes and sub-indexes (mentioned at Point b, Clause 1, Section III) shall:

- Based on this Resolution, formulate a plan to organize the implementation, which must set out tasks and solutions, agencies and units to assume the prime responsibility for, and/or coordinate the implementation and timeframe for completion according to the targets and tasks assigned. These plans must be issued in the first quarter of 2019.

- Develop documents to guide other ministries, agencies and provinces to have a correct and unified understanding of indexes, index groups, sub-indexes, targets and report templates. These documents must be issued in the first quarter of 2019. Guidelines must be published on the website of the respective ministry or agency.

- Accelerate and inspect the implementation at ministries, branches and People s Committees of provinces and centrally-run cities (provincial-level People s Committees) in the performance of relevant tasks and solutions; promptly propose and report to the Government and the Prime Minister to remove difficulties in mechanisms, policies, solutions and arising tasks to improve the assigned indexes.

- Actively connect with international organizations; create information channels to provide and update in full and due time to ensure objectiveness and accuracy of assessment and rankings.

- Summarize improvement of assigned indexes. Quarterly report to the Prime Minister; and at the same time send the report to the Ministry of Planning and Investment and the Government Office to synthesize into the general report on the implementation situation and results of the Resolution.

d) The Ministry of Foreign Affairs shall assume the prime responsibility for and coordinate with the concerned ministries and branches in: (i) Promoting cooperation with international partners and organizations on business environment and competitiveness; (ii) Asking WEF to complete a report on Viet Nam in preparation for the country’s participation in the 4th industrial revolution in early 2020 and to develop an innovation center.

2. Continue to remove and simplify regulations on business conditions; fully and thoroughly adopt business conditions reforms which were employed in 2018.

a) Ministries and ministerial-level agencies shall:

- Continue to review and submit to the Government to remove and simplify unclear, unspecific and unfeasible business conditions [36] before the third quarter of 2019.

- Accelerate the drafting of Laws revising relevant laws and submit them to the Government for submission to the National Assembly to abolish and simplify business conditions stipulated in specialized laws according to the approved plan.

- Disclosure in full business conditions that have been abolished or have been simplified in 2018.

b) Chairmen of provincial-level People s Committees shall monitor and direct provincial-level departments, branches and People s Committees to ensure the comprehensive application of abolished business conditions and simplified contents of regulations on business conditions; not to set up additional business conditions in contravention of current legislation; strictly handle public officials and public employees who fail to properly and fully comply with new regulations on business conditions.

c) The Ministry of Planning and Investment shall preside:

- The assessment of the change level and the actual impact on enterprises due to of reforms, abolishment and/or simplification of regulations on business conditions implemented by ministries and branches in 2018 and report to the Prime Minister in June 2019.

- The monitoring and evaluation of the situation and implementation results of comprehensive legal reforms on business conditions by ministries, branches and provinces; quarterly report and propose to the Prime Minister to direct to address delays, deviations, changes and new arising issues.

- Assume the prime responsibility for formulating and submitting to the Government a Scheme to reduce conditional business lines according to the Law on Investment in the fourth quarter of 2019.

3. Continue to implement a comprehensive reform of specialized management, inspection and connection of the National Single Window

a) Ministries and ministerial-level agencies shall:

- By the end of 2019, comprehensively adopt reform principles of specialized management and inspection, including: (i) applying risk management principles based on assessment and analysis of the compliance level of enterprises and the extent and the scale of risks of goods; (ii) strongly transforming to post-check, which shall be mainly done at the stage of goods circulation in the domestic market; (iii) ensuring transparency in publishing the list of goods subject to specialized inspection with detail HS codes; transparency in management regime and management costs; (iv) applying online public service at level 4.

- Review, abolish and terminate administrative procedures in the provision of guiding documents. Ensure to complete this task in the first quarter of 2019.

- Fully publicize on website of specialized management ministries the streamline list of goods subject to specialized inspection (together with HS code) in the first quarter of 2019. Before June 2019, complete reviewing and substantially reduce 50% of goods on the list of specialized inspection [37] and make full disclosure of the list.

- In 2019, complete the adoption of a single focal point to carry out specialized inspection procedures for a product or goods.

- Research and develop technical solutions to synchronize the VNACC/VCIS system and all administrative procedures for specialized management and inspection into the National Single Window and the ASEAN Single Window. Speed up the implementation of tasks as stipulated in Decision No. 1254/QD-TTg dated September 26, 2018 of the Prime Minister on approving the Action Plan to promote the National Single Window and the ASEAN Single Window, reform of specialized inspection for export-import goods and trade facilitation for the 2018-2020 period.

b) The Ministry of Finance shall assume the prime responsibility for monitoring and evaluating the implementation results of specialized management and inspection reforms; assess the level of change and actual impact on import- export enterprises; quarterly report and propose to the Prime Minister to direct to address delays, deviations, changes and new arising issues.

c) Chairmen of provincial-level People s Committees shall monitor and direct district-level departments and People s Committees to ensure the comprehensive adoption of regulations cutting down the list of goods and public administrative reforms on specialized inspection.

4. Promote electronic payment and online public service delivery at level 4

a) Ministers and heads of ministerial-level agencies shall direct the provision of at least 30% of online public services under their respective competence at level 4; allowing people and enterprises to make non-cash payment by various means; promote methods of receiving dossiers and returning results of administrative procedures settlement through public postal services.

b) The Ministry of Information and Communications shall:

- Prior to the second quarter of 2019, thoroughly remove difficulties and obstacles for telecommunications enterprises in obtaining licenses to exploit the 2.6GHz band for 4G networks deployment; ensure telecommunications enterprises’ eligibility for examination, auction, and licensing of bands in accordance with current legislation.

- In the first quarter of 2019, assume the prime responsibility for and complete the construction of the overall architecture of Viet Nam’s e-Government in the 2018 - 2025 period; guide ministries, ministerial-level agencies and provincial-level People s Committees to build and update e-Government architectures (for ministerial-level) and e- government architectures (for provincial-level).

c) The State Bank of Viet Nam shall perform the following tasks:

- Before the third quarter of 2019, report to the Government the plan to allow cash deposit into electronic wallet without transaction via bank account; determine the maximum amount of money allowed for loading onto e-wallet and monthly transaction limit. Request commercial banks and payment intermediaries to apply QR code to ensure compatibility between payment solutions on QR code. Coordinate with the Ministry of Finance to list and publicize the list of transactions required to pay via banks and propose to the Government to amend regulations to encourage non- cash payments for real estate transactions.

- Submit to the Government a Decree amending and supplementing a number of articles of Decree No. 222/2013/ND-CP on cash payment in the fourth quarter of 2019.

d) Before the third quarter of 2019, The Ministry of Finance shall to review, amend and supplement regulations on financial mechanisms to allow administrative, non-business organizations and enterprises to pay service fees for electronic payment services.

dd) The Ministry of Public Security shall:

- Accelerate the progress of assigned tasks in the Project to simplify administrative procedures, citizen documents and databases related to population management in the 2013 – 2020 period.

- Lead the development of a database on handling administrative violations in the field of traffic safety; the uniform identification of fine collection of administrative violations (ID code); the connection and sharing of fine information with the State Treasury, commercial banks and enterprises assigned to manage public postal networks, public postal services delivery and relevant units; the application of non-cash payment methods in fine collection of administrative violations.

e) The Viet Nam Social Insurance shall direct provincial-level social insurance to implement measures to mobilize and encourage the development of pensioners and social insurance allowances through non-cash payment means with the target to reach 50% of people receiving pensions, social insurance allowances, funeral costs, death allowances, ... via non-cash payment means in urban areas.

g) The Ministry of Labor, Invalids and Social Affairs shall direct concerned organizations and units to communicate, guide and support beneficiaries to receive subsidies through non-cash payment means, ensuring to reach non-cash payment ratio at least 10% in urban areas by the end of 2019 and 30% by the end of 2020.

h) The Government Office shall assume the prime responsibility for and coordinate with other ministries, branches and agencies to:

- Set up and put into operation the National Public Service Portal before December 2019; connecting with the National One-stop-shop Portal, the Public Service Portal and the Electronic One-stop-shop Information System at ministerial- and provincial-levels, national databases and specialized databases for online public services delivery.

- Implement and organize the inspection of administrative procedure reforms, the adoption of the one-stop-shop and one-door mechanisms in solving administrative procedures, etc. Monitor, urge and advise the implementation of online public services at levels 3 and 4 in ministries, branches and provinces.

i) The Viet Nam Electricity shall direct all power companies to coordinate with banks and intermediary service providers to collect electricity bill payment by non-cash means of payment; encourage electricity users to pay electricity bills by electronic and mobile solutions; in 2019 double the number of electricity users paying electricity bills by electronic payment method.

k) Chairmen of Provincial People s Committees shall direct the completion of the following tasks:

- Issuing an implementation plan to provide at least 30% of online public services under its authority at level 4; ensure to complete this task before December 2019. Promote methods of receiving dossiers, returning results of administrative procedures settlement through public postal services.

- Requiring 100% of schools, hospitals, power companies, water supply and drainage companies, environmental sanitation companies, telecommunications and postal companies in urban areas to coordinate with banks and intermediary service providers for the collection of tuition fees, hospital fees, and electricity bills, etc. by non-cash payment method, giving priority to payment solutions on mobile devices and payment via bank card reader devices. Ensure to complete this task before December 2019.

5. Develop an innovative ecosystem supporting and encouraging creative startups.

a) Ministries, ministerial-level agencies, Governmental bodies and People s Committees at all levels must fully grasp the following principles:

- Developing an innovative ecosystem must take enterprises as the center; ensure to strengthen the research role of universities; continue to vigorously renovate key scientific programs, ministerial-level studies and activities of state-run research institutes; encourage the establishment of private research institutes, especially in the field of science and technology.

- Institutional systems must truly encourage innovation, entrepreneurship and creative startups; encourage enterprises to invest in technological innovation, participate in research and development (R&D) and artificial intelligence.

- Absolutely avoid using administrative tools to intervene in innovative activities of businesses, research institutes, and universities.

b) Ministries, branches and localities within the scope of their competence shall encourage innovation activities; create the most favorable conditions and support innovative startups to develop market; encourage large enterprises to invest in and play the role of angel investor in supporting creative startup businesses.

c) The Ministry of Planning and Investment shall submit to the Prime Minister a Scheme to establish the National Innovation Center in March 2019; and the National Development Strategy for the 4th Industrial Revolution in September 2019.

d) The Ministry of Science and Technology shall focus on implementing solutions to acquire and master the core technologies of the 4th Industrial Revolution, especially artificial intelligence. Promote the restructuring of the national science and technology program in the direction of considering enterprises as the center of the national innovation system. Develop a unified National Startup Center; build a National Startup Network. Lead and coordinating with ministries, branches and provinces, the Central Committee of Ho Chi Minh Communist Youth Union to deploy strongly and comprehensively the Project of "Developing the Vietnamese digital knowledge system".

dd) The Ministry of Education and Training shall assume the prime responsibility for studying and proposing solutions to develop creative working space for startups in universities.

e) The Ministry of Finance shall assume the prime responsibility for, and coordinate with the Ministry of Science and Technology in, revising and promulgating a Circular guiding the spending contents and managing the development fund of enterprises in order to promote the spirit, innovation and technology transfer at enterprises; allowing enterprises to be independent and autonomous in using enterprise s research and development fund for innovation and investment in creative startups.

g) Provincial-level People s Committees shall direct educational establishments in the respective province to intensify the organization of creative activities and scientific experiences.

IV. ORGANIZATION OF IMPLEMENTATION

1. Ministers, heads of ministerial-level agencies, Governmental bodies and provincial-level People s Committee Chairmen shall:

a) Consider the improvement of the business environment and the national competitiveness as a key priority task. Provide direct instruction and take responsibility before the Government and the Prime Minister for the implementation of the Government’s Resolution on the tasks and solutions to improve the business environment and the national competitiveness; assign specific units to act as key agencies in providing advices, guidance, inspection, and synthesis of the improvement of the business environment and the national competitiveness of ministries, branches and provinces.

b) Based on the targets and tasks assigned in the Resolution and the guidance of leading Ministries in charge of indexes, and guidelines of ministries and agencies responsible for index groups and sub-indexes, develop Implementation Plans and issue them in the first quarter of 2019; and report to the Ministry of Planning and Investment and the Government Office for synthesis.

c) Regularly check and monitor the progress and implementation results of Programs and Plans for implementing Resolutions on improving the business environment and the national competitiveness.

d) Strictly comply with the reporting procedures. Before the 15th day of the last month of the quarter and before December 15, synthesize and report on the situation and implementation results in the quarter and the whole year to the Ministry of Planning and Investment and the Government Office for summing up and reporting to the Government and the Prime Minister at the Government s regular meeting at the end of the quarter and the end of the year.

2. Each ministry, agency and locality shall organize communication on improvements in the business environment and the national competitiveness under its responsibility. The Viet Nam News Agency, the Voice of Viet Nam, Viet Nam Television and press agencies shall actively support ministries, agencies and provinces to organize communication, thoroughly grasp and disseminate extensively Resolutions to branches and levels; strengthen monitoring and supervision of media agencies and newspapers in communication of the implementation results of the Resolution.

3. The Ministry of Home Affairs shall study to integrate a number of criteria to evaluate and rank the Resolution implementation into the annual survey of administrative reform index and the satisfaction index of public administrative service (SIPAS).

4. The National Council for Sustainable Development and Competitiveness Improvement shall lead and held responsibility for assisting the Prime Minister in independently monitoring and evaluating the situation and implementation results of the Resolution, including clearly identifying ministries, agencies, and localities that do well and that do not do well. Annually publicize the survey and assessment results of the Government.

5. The Viet Nam Chamber of Commerce and Industry, the Viet Nam Association of Small and Medium Enterprises, business associations and industries shall monitor and conduct regular independent evaluation of the situation and implementation results of the Resolution. The Viet Nam Chamber of Commerce and Industry shall conduct an investigation and publish the PCI index, assess the satisfaction level of enterprises in areas such as taxes, customs, social insurance and access to electricity, etc.; synthesize the shortcomings and problems of regulations proposed by enterprises; chair the implementation of a program to support the sustainable development of enterprises, the Program on "Vietnamese goods conquering Vietnamese people", and a program on capacity building for business associations.

6. The Prime Minister s Advisory Council for Administrative Procedure Reform shall conduct an annual survey and assessment and publish the Annual Administrative Procedures Cost Index (APCI)./.

On Behalf of the Government

Prime Minister

Nguyen Xuan Phuc


 

 

[1] From 82nd to 69th, according to World Bank’s ranking.

[2] From 96th to 27th

[3] From 167th to 131st

[4] From 121st to 104th

[5] From 64th to 39th

[6] From 59th to 45th

[7] From 125th to 133rd

[8] From 93rd to 100th

[9] Ease of Doing Business Ranking (refer to http://www.doingbusiness.org/)

[10] The Global Competitiveness Index 4.0 Ranking (refer to https://www.weforum.org/reports/the-global- competiveness-report-2018)

[11] The Global Innovation Index Ranking (refer to https://www.globalinnovationindex.org/gii-2018-report)

[12] The Logistics Performance Index Ranking (refer to https://lpi.worldbank.org/international/global)

[13] The Travel and Tourism Competitiveness Index Ranking (refer to https://www.weforum.org/reports/the-travel- tourism-competitiveness-report-2017)

[14] The E-Government Development Index Ranking (in United Nation E-Government Survey Report, refer to https://publicadministration.un.org/egovkb/en-us/Reports/UN-E-Government-Survey-2018)

[15] Under Pillar 1, GCI 4.0

[16] Under Pillar 1, GCI 4.0

[17] Under Pillar 1, GCI 4.0

[18] Pillar 2, GCI 4.0

[19] Pillar 3, GCI 4.0

[20] Under Pillar 6, GCI 4.0

[21] Under Pillar 9, GCI 4.0

[22] Under Pillar 12, GCI 4.0

[23] Under Pillar 11, GCI 4.0

[24] Under Pillar 11, GCI 4.0

[25] Under Pillar 3- Infrastructure, GII

[26] Under Pillar 5- Business sophistication, GII

[27] Under Pillar 5- Business sophistication, GII

[28] Under Pillar 7- Creative outputs, GII

[29] Under Pillar 7- Creative outputs, GII

[30] Under Pillar 7- Creative outputs, GII

[31] Driver Technology & Innovation

[32] Readiness for Future of Production Assessment Ranking

[33] Technology Platform

[34] Ability to innovate

[35] Human capital

[36] According to the review of Decrees on business conditions reduction issued in 2018 and current business conditions, there remain a number of unnecessary, unspecific, and unfeasible business conditions which can lead to risks for businesses. Therefore, it is necessary to continue reviewing such business conditions and propose to remove and/or simplify them.

[37] The list of goods subject to specialized management and inspection upon the issuance of Resolution 19-2018 (dated May 15, 2018).

 

 

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