The accompaniment and support from the State are identified as key enablers for businesses and investors to operate efficiently and develop projects. Through flexible incentive policies, local authorities and departments have concretized support measures and gradually addressed challenges faced by the business community.

Businesses being hopeful for smoother production and operations in the near future. In the photo: Workers at a rattan product manufacturing factory in Dong Hoa town

In order to help stimulate and promote economic development, the Government issued Decree No. 180/2024/NĐ-CP, which provides guidelines on the implementation of the value-added tax (VAT) reduction policy for 2025, continuing the 2% VAT reduction for certain groups of goods and services from January 1 to June 30, 2025. On March 25, the Prime Minister issued Directive No. 10/CT-TTg on promoting the development of small and medium-sized enterprises (SMEs), aimed at removing barriers and difficulties, and creating maximum conditions for SMEs to break through. Subsequently, the Government promulgated Decree No. 87/2025/NĐ-CP on land rent reduction for the year 2024...

Most recently, the Politburo issued Resolution No. 68-NQ/TW on the development of the private sector economy. The Resolution 68 affirms the important role of the private sector, candidly identifies the underlying causes hindering its growth, and outlines specific, detailed groups of solutions to be implemented from now until 2030, with a vision toward 2045.

In Phu Yen Province, the PPC has implemented Action Program No. 02/CTr-UBND dated January 20, 2025, in accordance with Government Resolution No. 02/NQ-CP dated January 8, 2025, on key tasks and solutions to improve the business environment and enhance national competitiveness in 2025. Beyond policy support, the province has proactively created favorable conditions for businesses and investors. Provincial departments and agencies have organized meetings and dialogues with enterprises to listen to their concerns and promptly address any difficulties or obstacles encountered during operations.

Comrade Huynh Lu Tan, Member of the Standing Committee of the Provincial Party Committee and Head of the Phu Yen Economic Zone Authority, stated that the South Phu Yen Economic Zone (EZ) and industrial parks across the province have attracted over 120 investment projects, with a total registered capital of more than VND 7,700 billion and USD 44 million. Among them, 88 projects are already in effective operation, creating jobs for thousands of local workers. The Authority’s leadership regularly conducts field visits to enterprises and organizes meetings and dialogues to understand and promptly resolve challenges. The Authority’s guiding principle is to always accompany businesses and create the most favorable conditions for efficient production and business operations, thereby contributing to the provincial socio-eco development.

According to the spirit of Resolution No. 68-NQ/TW, by 2030, the private economic sector is expected to contribute 55–58% of the national GDP, with an average annual growth rate of 10–12%. The target is to reach approximately 2 million active enterprises, including at least 20 large corporations participating in regional and global value chains. To achieve these goals, the resolution outlines several specific incentive policies, such as simplifying administrative procedures, eliminating lump-sum taxation, encouraging household businesses to convert into formal enterprises, providing management training support, and notably, offering a three-year corporate income tax exemption for SMEs.

Mr. Nguyen Tan Thuan, Standing Vice Chairman in charge of the Provincial Business Association, shared: "The most encouraging aspect of Resolution 68 for businesses is the 3-year corporate income tax exemption for SMEs. This is a highly practical policy that gives businesses greater peace of mind during the startup phase, allowing them to focus resources on building internal strength before entering a more stable growth stage."

Alongside the advantages brought by new policies, the business community also holds high expectations that the upcoming merger between Phu Yen and Dak Lak provinces will create a major opportunity to establish a new and promising economic growth zone, paving the way for the development of large-scale, modern industrial clusters in the near future.

Mrs. Huynh Thi Bang Thuong, representative of Khatoco Phu Yen Tobacco Factory, stated that the business community is highly interested in the province merger policy, which holds significant importance for regional development. We also believe this presents an opportunity to help Phu Yen and Đắk Lắk form a new economic driving force, connecting raw materials from the highlands and coastal areas; promoting interregional infrastructure investment; creating favorable conditions for the development of industry, agriculture, and high-tech agriculture; and expanding development space for businesses. As for our factory, we will continue to strive and innovate, committing to fully fulfilling our obligations to the State, actively participating in production emulation movements, and building a civilized, disciplined corporate culture to foster cooperation and shared development.