An online talkshow was held recently to discuss measures to help enterprises maintain or restore operation following the COVID-19 pandemic.

Illustrative image (Photo: Internet)

Chief of the Vietnam National Productivity Institute (VNPI)’s Office of Management and Innovation Solutions Cao Hoang Long said local small- and medium-sized enterprises (SMEs) will face a host of difficulties if the pandemic lingers on, adding innovation in the current context is therefore inevitable because SMEs have no other choice.

Participants also touched upon trends and corporate governance solutions for stabilising business operations and improving work productivity following the epidemic.

According to a recent survey by the Vietnam Chamber of Commerce and Industry, nearly 85% of surveyed enterprises said their markets have shrunk while 60% lack capital because of disrupted inflows. Forty-three percent must lay off their workhands and 82% said their revenue is on the decline.

Respondents suggested that the State cut interest rates, extend debt payment deadlines, and delay social insurance payments to ease the difficulties.

A report from the Ministry of Labour, Invalids and Social Affairs said that 553 units in 30 cities and provinces have scaled down their operations and 322 businesses along with 30 cooperatives and nearly 300,000 households were forced to shut down due to the impact of COVID-19.

A survey of around 200 enterprises by the VNPI also revealed that they face shortages of production materials and higher inventories as well as falling productivity.