HANOI – Most small and medium-sized enterprises (SMEs) in Vietnam have become
vulnerable under the impact of the global economic crisis, says a report
announced by the Central Institute for Economic Management on Wednesday.
The report named “Characteristics
of the Vietnamese business environment – Evidence from a small and medium
enterprise survey in 2011” is based on a survey of some 2,500 SMEs in ten
cities and provinces nationwide, including Hanoi, HCMC and Haiphong.
As much as 60% of the surveyed
enterprises said they had suffered the negative impact of worsening business
environment because of the global economic crisis in 2011. This percentage is
much higher than 17% in 2009.
About 71% of SMEs in the southern
region said they had run into more problems last year.
The survey shows that 39% of SMEs
faced difficult access to credit capital. Nearly 90% of the respondents had to
borrow loans from unofficial sources given the problems in the official credit
market.
The report says unofficial loan
was of small value, accounting for around 9% of the total investment, but it
was a regular component in financial plans of SMEs.
Pham Thi Thu Hang from the
Vietnam Chamber of Commerce and Industry (VCCI) said: “This indicates credit
demand of businesses is very high and barriers against credit access have not
been removed.”
The report notes the percentage
of enterprises improving their products tended to fall. In the current context,
when the main market of local enterprises is the home market and smuggled goods
remains a headache, it is very essential that they improve their products in
order to conquer the local market and the niche market.
“If this trend continued, SMEs
would soon have to leave the market. In fact, in the early months of the year,
the problem of inventory forced more than 42,000 enterprises to halt operations
and disband,” Hang warned.
Meanwhile, John Rand from the
University of Copenhagen of Denmark, conductor of the survey, suggested the
State should pay more attention to micro-enterprises, saying that they are the
main force for job creation and poverty reduction in Vietnam.
Tu Hoang - The Saigon Times Daily
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