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Workshop on assessing Nghe An PCI in 2023 and solutions to improve the PCI in the following years

On the morning of August 09, the Provincial People's Committee (PPC) held a workshop to evaluate Nghe An PCI in 2023 and solutions to improve the PCI in the following years. Comrades: Bui Thanh An - Member of the Provincial Standing Party Committee, Vice Chairman of the PPC; Hoang Quang Phong - Vice Chairman of the Viet Nam Chamber of Commerce and Industry - VCCI co-chaired the workshop.

Attending the workshop were comrades: Hoang Nghia Hieu - Deputy Secretary of the Provincial Party Committee; Nguyen Nam Dinh - Member of the Provincial Standing Party Committee, Permanent Vice Chairman of the Provincial People's Council; Representative leaders of Departments, committees, branches; Associations, Enterprises Associations in the province; enterprises in the province. The workshop was organized in person combined with online connection to districts, cities and towns.

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Overview of the workshop

The Provincial Competitiveness Index (PCI) is a useful tool to monitor and evaluate the quality of economic governance, the level of convenience and friendliness of the business environment and administrative reform efforts of provincial and municipal governments, thereby promoting the development of all economic sectors.

Recognizing the importance of the PCI in improving the business investment environment, attracting investment and economic growth, since 2012, Nghe An has promptly issued and organized the implementation of the Project to improve and enhance the PCI with many synchronous solutions. From 2019 to 2022, Nghe An province has always maintained high rankings, ranked first in the North Central region and always in the top 30 leading provinces in the national PCI ranking (in 2022, ranked 23/63 provinces and cities, with a total score of 66.6). However, in 2023, Nghe An's PCI dropped significantly, from 23rd place (in 2022) to 44th place on the national rankings, with a total score of 65.71. The results partly show that the province's reform efforts have not been as effective as expected; there are still barriers, bottlenecks, and inadequacies in management, administration, and public service implementation that make the enterprise community not really satisfied; seriously affecting the confidence of the enterprise community and investors.

This workshop is an opportunity for the province to listen to frank, direct and objective assessments and comments from leading experts and enterprises; to point out limitations and strengths that need to be promoted so that Nghe An provincial authorities can absorb them as a basis for developing action plans and programs; to deploy specific, practical and effective solutions to create strong changes in improving the investment and business environment. Only then can we build an honest, creative, serving, friendly government, creating the most favorable conditions for people and enterprises to invest, produce and operate so that Nghe An can truly be an attractive and safe destination for investors.

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Representative of the Legal Department of VCCI Viet Nam recommends Nghe An province to improve PCI in 2024 and following years

Propose solutions to improve PCI

At the workshop, delegates assessed and acknowledged the efforts of authorities at all levels, agencies, units, organizations and individuals in the province in implementing assigned tasks and solutions on administrative reform, improving the investment and business environment, and enhancing provincial competitiveness in the recent past. Some areas such as online public services and business support, especially the business support policy index, have achieved high rankings (ranked 3/63); The rate of local laborers fully/mostly meeting the needs of enterprises reached 57%, ranking 11th out of 63 provinces and cities. These results have contributed to promoting the socio-economic development of Nghe An province in 2023, including a bright spot in attracting foreign investment.

Besides, the delegates frankly acknowledged the shortcomings in improving the investment and business environment of the province such as: The Fair Competition Index dropped to 44th/63; The Informal Cost Index ranked last (63/63); Land access and land use stability index decreased for the third consecutive year, ranking 55/63; The province's time and cost index for carrying out investment and business procedures is ranked 52/63, reflecting that the time to carry out administrative procedures is still long, causing inconvenience to enterprises. Many enterprises said that paperwork is still complicated and the time to complete administrative procedures has not been shortened as expected; especially in some localities in determining the origin and current status of land, etc.

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Director of the Department of Planning and Investment Pham Hong Quang suggested that it is necessary to develop a plan to effectively implement the specific mechanisms and policies for the development of Nghe An province that have been approved by the National Assembly. Implementing public and transparent management of planning, creating favorable conditions for enterprises and investors to easily learn, research, propose and implement investment and business in the province

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Chairman of Nghe An Outstanding Business Association Tran Anh Son suggests promoting education and training for civil servants, especially those who regularly approach people and enterprises; and promoting the implementation of administrative reform solutions

Maximize the role and interactive relationship between the Government - VCCI, Enterprise Associations - Enterprise Community

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Vice Chairman of the PPC Bui Thanh An speaks to close the workshop

In his closing speech at the Workshop, Vice Chairman of the PPC Bui Thanh An, on behalf of the provincial leaders, respectfully thanked and highly appreciated the PCI Report that VCCI had conducted; and objective, quality analysis and practical recommendations for Nghe An province in the coming time.

Vice Chairman of the PPC Bui Thanh An emphasized that improving provincial competitiveness and improving the PCI is not simply about improving the ranking to compare with other localities, but we need to look at reality, consider improving the PCI as the goal and motivation for Nghe An province to change and progress for the common development of the province and the enterprise community.

Regarding the authorities at all levels, the Vice Chairman of the PPC hoped that each agency, each locality, each cadre, civil servant and public employee in the government system must consciously improve their role and responsibility in performing public duties. The head of each Department, committee, branch, and locality must attach the responsibility of his/her department, sector, and locality to the effort to improve the PCI. Provincial leaders will use the results of each component index of the PCI as one of the bases for evaluating the emulation classification of each agency and unit; at the same time, it will be the basis for handling the work of managers, civil servants and public employees.

In the coming time, the Vice Chairman of the PPC requested that Departments, branches and localities seriously and resolutely implement key tasks and solutions: Continue to promote administrative reform, focusing on completing digital transformation and applying information technology, creating a favorable, open and transparent business environment; review to increase the number of administrative procedures that can be performed through online public services, limiting direct contact between people and businesses with government agencies; use electronic management tools to track case processing progress, reduce paperwork and increase work efficiency. Improving the effectiveness of the Inter-sectoral Working Group to promote administrative reform, improve the investment and business environment and foreign investment cooperation.

Improving land access to ensure enterprises can access land transparently, quickly and effectively; deploying the Land Law 2024, promptly bringing new regulations of the land law to life; building a transparent and public land database; simplifying the process of granting land use right certificates; planning and developing clean land funds to meet the needs of enterprises, especially in industrial parks and economic zones; strengthening supervision and promptly handling complaints and denunciations related to land to ensure the legitimate rights of enterprises.

In addition, strengthening supervision of people and enterprises and prevent corruption, reduce informal costs, and increase business trust in the government. Setting up a hotline and online feedback system so that enterprises can quickly report for quick and transparent handling. Periodically and suddenly conducting inspections and checks at agencies and units related to enterprise management and support to promptly detect and handle violations; taking strict measures against officials and civil servants who commit acts of harassment and corruption; at the same time, building a culture of anti-corruption, propaganda, education, rewards, raising awareness and responsibility of officials and civil servants, etc.

Improving the quality of business support services, ensuring enterprises receive the best support from the government during their operations. Strengthening dialogue and connection with enterprises, listening and promptly resolving difficulties and problems of enterprises and creating an equal competitive environment. Continuing to improve the quality of human resource training; ensuring human resources meet the development needs of enterprises.

The Vice Chairman of the PPC requested the Viet Nam Chamber of Commerce and Industry to actively coordinate with Nghe An province to organize conferences/seminars to disseminate, train, and raise enterprises' awareness of the law and modern corporate governance methods. The Provincial Enterprise Association and Enterprise/Entrepreneur Associations will soon organize a congress to perfect the leadership team and propose a unified organizational structure for the Association and specialized Enterprise Association to gradually enhance the role of representing enterprises, unite and bring the voice of the enterprise community to participate in the development of the province; coordinate well with departments, branches and localities to implement activities to support enterprise development, promptly synthesize recommendations and difficulties of enterprises to promptly resolve with authorities at all levels.

On the enterprise side, the Vice Chairman of the PPC suggested renewing thinking, raising awareness of the law and management level to adapt to the rapid fluctuations and potential risks of the current business investment environment. Raising awareness and responsibility in participating in giving opinions and reflecting on problems related to drafts and legal documents affecting investment, production and business activities to coordinate with relevant Departments and branches to advise the PPC to promptly propose to the Central agencies for consideration and adjustment; at the same time, it is necessary to really raise responsibility in filling out survey forms, assessing provincial competitiveness index (PCI) promptly and accurately, etc.

Thuy – Quynh