Business leaders, bankers and economic experts held discussions on August 16 aimed at helping businesses overcome the current difficult period.

Immediate and long-term strategies on building sustainable financial structures were on the agenda at a seminar held in Ho Chi Minh City by the Investment Bridge Magazine. The delegates agreed that over the past decade, loosening credit and easier lending policies have made businesses dependent on banks’ capital.

As a result, the businesses’ financial structure has not been strong enough to cope with economic difficulties, they said.

Nguyen Xuan Thanh, Director of Public Policy of the Fulbright Economics Programme, presented a speech on capital dependence and its consequences.

He pointed out the shortcomings of the capital structure of businesses which, he said, have led to the risk of bankruptcy and use of a financial black market, now worth trillions of VND.

Nguyen Nam Son, member of the board of directors of Thien Viet Stock Company, highlighted the spread of investment in the real estate market.

He suggested real estate companies restructure the directors and management boards and focus their finances on core business.

Economic experts also introduced safe solutions to help businesses withdraw from real estate so as to minimise losses.-VNA