Singapore (VNA) – The Politburo’s Resolution 68-NQ/TW on the development of the private economic sector has been hailed as a revolutionary policy that clearly affirms the role of this sector in the national economy.
Talking to a Vietnam News Agency correspondent in Singapore, Professor Vu Minh Khuong of the Lee Kuan Yew School of Public Policy underlined the importance of the private sector to sustainable development and highlighted the key factors needing attention to realise the resolution.
According to the scholar, private enterprises require two fundamental conditions. The first is a truly healthy, transparent, and enabling market. The second is the coordination of the “two hands” – the invisible hand of the market and the visible hand of the State.
Both, he stressed, must be strong, resilient, and act in the national interest. While the State should play a facilitating role and provide wholehearted support, it must also maintain a proper distance to avoid policy abuse. Only strong hands can create resounding impact, he said, emphasising the need for supervision, fairness, and transparency for the benefit of all.
Drawing on the experience of countries that achieved rapid development, Khuong identified three specific areas where private enterprises need support. The first is access to technology, particularly for small- and medium-sized enterprises. The second is human resources, which must be well trained. And the third is incentive mechanisms, including credit funds for innovation, technological development, and international market expansion.
He cited Singapore as an example, where businesses exploring foreign markets may have up to half of their costs covered by business organisations, within set limits. Such support, he noted, is vital alongside streamlined administrative procedures, especially in areas prioritised by localities.
The professor stressed that the key to private sector growth lies in fair rewards and balanced interests, thereby strengthening trust among both enterprises and the public.
He concluded that only by fully mobilising private resources to address national challenges can the sector fulfil its role. Above all, he emphasised, placing trust in the private economic sector is the most crucial element throughout the reform process./.
