Nearly 90% of businesses are negatively affected by Covid-19

Nearly 90% of businesses are negatively affected by Covid-19 2

VCCI and the World Bank conducted a survey with nearly 10,200 businesses (nearly 85% are domestic private sector, the rest are FDI) about the impact of Covid-19.

87.2% of survey participants said they were greatly or completely negatively affected;

A garment business produces masks during the Covid-19 epidemic season.

If calculated by industry, private enterprises in some industries with the highest rate of negative impact are garment (97%), information and communication (96%), and electrical equipment manufacturing (94%).

The survey results also show that the biggest difficulties for businesses during the pandemic are accessing customers, cash flow, labor and supply chain…

In addition, to withstand the epidemic, 35% of private enterprises and 22% of FDI enterprises had to lay off workers.

Regarding the Government’s support measures during Covid-19, businesses said that the most accessible policies are policies such as extending corporate income tax payment, extending value added tax payment… This is also

By economic sector, medium or large private enterprises tend to have easier access to policies.

According to surveyed businesses, in addition to existing measures, the Government needs more long-term solutions, such as increasing public investment, completing infrastructure projects, and implementing necessary stimulus packages in the future.

Businesses also believe that long-term macroeconomic policies need to pay attention to developing the domestic market and promoting the connection between domestic businesses and consumers.

From business recommendations, VCCI proposed that ministries, branches and localities improve the implementation of support policies.

The authorities also need to research and apply some additional measures that other countries are applying such as financial support for businesses that maintain a high percentage of workers;

Besides, VCCI also emphasized that Covid-19 is creating an opportunity for Vietnam to do this when major partner countries such as Japan, the US, EU, Australia… are looking for places to transfer part of their supply.

`With some new generation FTAs such as CPTPP and EVFTA, Vietnam has an even greater chance of being chosen, if the Government has clear policies and goals to encourage and create conditions for Vietnamese businesses and attract investment.

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