Supporting small and medium-sized businesses

Wednesday, 28/04/2021, 23:15 [GMT+7]

Supporting small and medium-sized businesses

The Covid-19 epidemic has made production and business of small and medium enterprises difficult. Therefore, businesses continue to need the support of the State to overcome difficulties.
 
Sharing difficulties with production and business units, over the past time, Khanh Hoa Province People's Committee has promptly directed to support small and medium enterprises. The support is conducted on a large scale with the participation of many departments. Regarding financial issues, the provincial People's Committee has directed to promote the implementation of the banking - business connection program; market stabilization program for businesses to have access to the support of the banking industry and credit sources with preferential interest rates.
  
By the beginning of 2021, credit balance of preferential loans for businesses in the province reached VND5,366 billion. The banking has many solutions for businesses to overcome difficulties such as reducing lending interest rates, restructuring debts, exempt and reducing interest and lending for production and business. In 2020, credit institutions adjusted to reduce lending interest rates for 4,435 borrowers with outstanding loans of VND20,219 billion. From May 2020, credit institutions reduced lending interest rates for 1,872 customers with outstanding loans of nearly VND8,954 billion.
 

 

Production at Sodex Sport Co., Ltd.
Production at Sodex Sport Co., Ltd.
 
At the end of 2020, the Provincial People's Council issued Resolution 16/2020 on subsidizing premise rent for small and medium-sized enterprises in industrial zones and industrial clusters in the province in the period of 2021 - 2025. Accordingly, when renting a place of production and business in industrial zones or industrial clusters, the enterprises will be supported 50% of the rent by the provincial budget. The maximum supported area is 10,000m2 and the maximum support amount is 100 million VND/enterprise/year.
 
Besides, the province has supported enterprises in technology application and transfer, trade promotion, market expansion, human resource training, participation in industry clusters, value chains... For rural industrial establishments, through the implementation of national and local industrial promotion activities, the State has supported nearly 3 billion VND for a number of enterprises and rural industrial establishments to invest in production lines.
 
According to Nguyen Thi Ha - Deputy Director of the Department of Planning and Investment, during the past time, the Provincial People's Committee, departments and branches have added many supportive policies, creating favorable conditions for businesses. In the coming time, the province will continue to effectively implement the resolutions of the Government on the implementation of the tasks and solutions to improve the business environment and improve national competitiveness, and improve the Provincial Competitiveness Index (PCI). In addition, the province will also continue to effectively implement the credit program for businesses, local socio-economic development credit plans and programs, bank – enterprise connection program to remove difficulties in credit relations to facilitate businesses to access capital.
 
Dinh Lam
 
Translated by T.T