完善 policies to be more substantive and promote business development.

On the afternoon of October 3rd, at the National Assembly building, the Economic and Financial Committee continued its 6th plenary session, reviewing 6 draft laws expected to be submitted to the National Assembly at the Second Session of the 16th National Assembly. Member of the Central Committee of the Party and Chairman of the Economic and Financial Committee, Phan Van Mai, presided over the session.

Ensuring that small and medium-sized enterprises are given priority in participating in tenders using state budget funds.

During the review of the draft Law, delegates highly approved the shift from the Law on Supporting Small and Medium-Sized Enterprises to the Law on Developing Small and Medium-Sized Enterprises; they requested that the drafting agency review the regulations related to tax incentives, land rent, and support from the state budget... so that the draft Law is consistent with the Corporate Income Tax Law, the Law on Organization of Local Government, and the Land Law.

Some argue that offering too many incentives could lead to small and medium-sized enterprises (SMEs) falling into a "growth trap," deliberately refraining from developing in order to continue benefiting from the policies. Therefore, mechanisms are needed to encourage these businesses to grow on their own instead of perpetually maintaining incentives.

Accordingly, suggestions were made to supplement regulations allowing businesses that have exceeded the threshold to continue enjoying preferential policies for a certain transitional period, so that they can confidently develop into larger-scale enterprises. Similarly, in Article 4 on criteria for identifying small and medium-sized enterprises, the determination of the SME threshold should not be based on a single point in time but should be assessed over a specific period. In reality, there are cases where a business exceeds the threshold this year but declines the following year; immediately cutting off incentives would negatively impact the business's development.

Regarding the criteria for defining small and medium-sized enterprises (SMEs), some opinions suggest that the drafting agency should continue to review the draft law because the criteria currently differ significantly from the criteria for small-scale real estate companies as stipulated in the Government Decree. Simultaneously, they propose adding the "one-person enterprise" model, where a single person owns and manages all operations. This is a global trend in the context of digitalization, increased online business activity, and innovative startups.

Regarding the policy on priority procurement using state budget funds (Article 12), delegates noted that this is the policy most anticipated by small and medium-sized enterprises (SMEs). Therefore, further review and refinement are needed to ensure that areas where SMEs can operate are not undertaken by large enterprises; and to reconsider the 20 billion VND procurement package threshold stipulated in the draft Law to better reflect actual needs.

Regarding the policy supporting the conversion of household businesses into single-member limited liability companies owned by individuals, as stipulated in Clause 8, Article 20, some opinions suggest the need for very clear regulations to separate the assets and legal status of individuals from those of businesses, thereby ensuring the rights of all parties involved in the transaction.

Focus on supporting human resource training for businesses.

Concluding the discussion on this matter, the Chairman of the Economic and Financial Committee, Phan Van Mai, emphasized that shifting from a "support" to a "development" mindset for small and medium-sized enterprises (SMEs) is a crucial step forward. Therefore, it is necessary to continue reviewing and refining the solutions and policies in the draft Law to ensure feasibility and deliver greater practical value.

According to the Chairman of the Economic and Financial Committee, reality demands that policies support businesses in developing core competencies such as governance, human resources, access to science and technology, product development, and markets, in addition to traditional approaches regarding land and capital. Therefore, the process of finalizing the draft Law needs to focus on these requirements, designing policies that truly promote business development. Along with that, it is necessary to review the criteria for defining small and medium-sized enterprises (SMEs) in a clear manner, creating a basis for the Government to continue to provide detailed regulations, ensuring ease of application.

Regarding other funds and fundraising sources, the Chairman of the Economic and Financial Committee suggested reviewing regulations on principles and criteria for access, ensuring the feasibility of mobilizing these resources. At the same time, a more impartial assessment is needed for the Small and Medium-sized Enterprise Support Fund and the Credit Guarantee Fund, as their ineffective operation stems from their organizational model. Instead of stipulating support from the State budget, the draft Law should consider continuing support through two models of off-budget financial funds.

In particular, the Chairman of the Economic and Financial Committee emphasized the need to improve regulations on policies for issuing training cost support vouchers to small and medium-sized enterprises (SMEs), because encouraging human resource development is a key factor determining the management capacity, product development, and technology application of businesses. Accordingly, if a business can prove that it has completed a human resource training contract during the year, in accordance with the registered needs, the State can issue a voucher to support a portion of the costs, for example 30% or 70%.