Just one month after the founding of the Democratic Republic of Vietnam, on October 13, 1945, President Ho Chi Minh wrote a letter to the industrial and business circles in the country, in which he stressed their great role in the cause of national construction.

President Ho Chi Minh's thinking on the position and role of the industrial and
business circles has been concretised in many guidelines and policies (Photo: VNA)

“While other segments of the nation are working to regain full independence for the country, the industrial and business circles should work to build a firm and prosperous economy and finance. The Government, the people and I myself will do our best to help the industrial and business circles in this construction cause,” he wrote.

The reality over the past more than 70 years has proven that the President’s letter remains relevant nowadays, demonstrating his sound strategic guideline and instruction to the cause of national construction, especially in the current trend of international economic integration.

President Ho Chi Minh’s thinking on the position and role of the industrial and business circles has been concretised in many guidelines and policies. The 6th National Party Congress (in December 1986) initiated the Doi Moi (Renewal) process with a policy on multiple economic sectors.

Later, the 7th National Party Congress, and especially the second plenum of the 7th –tenure Party Central Committee attached importance to the private economic sector and encouraged its development without any limitation on scale and areas of operation in fields not banned by the law.

The 8th National Party Congress (in July 1996) continued to affirm the long-term consistency of the multi-sectoral economy policy based on equal treatment for all economic sectors.

The issue of private economic sector was repeatedly tabled for discussion at the 9th, 10th, 11th and 12th National Party Congresses in order to complete the policies and mechanisms facilitating the sector’s development in all economic branches and fields, and turning it into an important driver of the national economy.

The position of the private economic sector has been affirmed not only in the Party’s documents but also in the 2013 Constitution. Article 51 of the constitution stipulates: “1. The Vietnamese economy is a socialist-oriented market economy with varied forms of ownership and economic sectors; the state economy plays the leading role. 

2. All economic sectors are important components of the national economy. Entities in different economic sectors are equal before law and shall cooperate and compete with one another in accordance with law. 

3. The State shall encourage and create the conditions for businesspeople, enterprises or other individuals or organisations to carry out investment, production or business activities; and develop economic branches in a sustainable manner in order to contribute to national construction. The legal property of individuals and organisations engaged in investment, production or business activities is protected by law and is not subjected to nationalisation.”

Continuing to affirm the position and role of the private economic sector in the socialist-oriented market economy, the 12th National Party Congress emphasized the completion of mechanisms and policies to encourage and facilitate the development of the private economic sector in most economic branches and fields, turning it into an important driver of the economy.

The 12th National Party Congress’s viewpoint that the private economic sector is an important driver of the national economy demonstrated a breakthrough in the Party’s perception compared to the previous period when the private economic sector was considered one of the drivers of the economy.

The fourth plenum of the 12th-tenure Party Central Committee continued to require boosting the private economic sector’s development in both quantity and quality, so that it really becomes an important driving force of the economy.

The fifth plenum of the 12th-tenure Party Central Committee issued thematic resolutions on perfecting institutions of the socialist-oriented market economy, and on restructuring, reforming and enhancing the efficiency of State-owned enterprises. In particular, the plenum issued Resolution 10/NQ-TW (June 2017) on developing the private economic sector into an important driving force of the socialist-oriented market economy. The resolution is said to be a drastic step in renewing the thinking on the private economic sector towards creating conditions for this sector to gain equal access to all opportunities and resources, particularly capital, land and natural resources.

The resolution defined the general goal of developing the private economic sector in a healthy, effective and sustainable manner, turning it into an important driving force of the socialist-oriented market economy, helping achieve rapid and sustainable socio-economic development, constant improve the people’s living conditions, realize social progress and equity, ensure national defence-security and early turn the country into an industrialised nation towards modernity.

To concretise the Party’s resolution, the Government issued Resolution 98-NQ/CP on October 3, 2019 on a plan of actions to implement Resolution 10/NQ-TW. The Government defined concrete tasks to develop the private economic sector, focusing on three major policies: creating favourable environment for the private economic sector to develop; assisting the sector in innovation, technology modernization, human resources development and enhancement of productivity; and enhancing efficiency and effectiveness of State management.

Over the past two years, with the spirit of accompanying enterprises, the entire political system has taken drastic actions to support the development of the private economic sector. Many new mechanisms and policies have been promulgated and solutions undertaken, all towards bettering the business environment and timely tackling difficulties and obstacles for the development of the private economic sector in accordance with the Party’s guideline and policies.