Helping businesses deal with difficulties caused by the epidemic

​The business community is expecting the epidemic to be controlled and supporting policies from the State to reach businesses soon. 

Enterprises face many difficulties at the same time

Along with the impact of the Covid-19 epidemic, since the beginning of the year, the price of iron and steel and construction materials has increased, making enterprises in the construction sector stressed with even more difficult. Rising iron and steel prices not only affect the construction industry but also other industries, including the manufacturing and mechanical industries. There are businesses, even though they receive an attractive order, they do not dare to sign too much, the problem is that the cost of input materials is too high, so they are forced to be cautious. Many input materials for the manufacturing industry also have a high price increase, making enterprises stand still. For small and medium-sized enterprises, the negative impact of the epidemic is more obvious than ever because it is often thin and difficult to withstand successive outbreaks of the disease.

In addition to the factors of production costs, the epidemic has also made the local prevention work facing very difficultly, the whole province has had to social distance for more than 1 month. Even some areas have to be locked down in order to limit the spread and many businesses are in the lockdown areas to follow the general regulations and actively prevent and control the epidemic, so they have temporarily stopped their operations and their workers are on paid leave permission. These factors also greatly affect the production and business plan of the enterprises.

Continuing to support the businesses to recover soon after the epidemic

Aggregated data of the Dong Nai Province Statistics Office shows that, in the first 7 of 2021 (as of July 15), the province has 600 businesses temporarily suspended, 227 dissolved enterprises and 239 branches, business locations and representative office ceased their operation. These enterprises are mainly small and medium-sized enterprises and belong to the private economic sector. The reason for dissolution, termination of operation and business suspension is mainly due to inefficient business.

Facing the developments of the epidemic in the first months of the year, on April 19, the Government continued to issue Decree No. 52/2021/NĐ-CP on regulating the extension of the the deadline for payment of the tax and land rental amounts for enterprises, organizations, business households and individuals negatively affected by the Covid-19 epidemic. With this Decree, many businesses said that they have actively approached and registered to benefit from the policy in the hope that it will help solve some of the immediate difficulties. Regarding the banking sector, in Dong Nai Province, it is estimated that by the beginning of June, there were 1,137 customers whose repayment term was restructured, loan interest exemption and reduction with an amount of over VND2.1 trillion. For new loans, 28.600 customers were able to borrow over VND151.5 trillion with lower interest rates than before the epidemic occurred after the banking system implementing under the direction of the Governor of the State Bank of Vietnam.

In these days, along with minimizing the harm caused by the spread of the epidemic, Dong Nai Province is making efforts for businesses, including small and medium-sized enterprises, to be accessed and vaccinated against the Covid-19 epidemic. In providing support under the regulations, the province assigns to each district, and relevant agencies to actively find out the difficulties of enterprises and be responsible if there are local eligible enterprises that have researched, registered, spent a lot of time for asking for assistance but not benefit from the support program.

                                                                                              Nam Vu