To help remove difficulties facing petroleum and oil enterprises and ensure supply to the domestic market, the Ministry of Industry and Trade (MoIT) has asked the Ministry of Finance (MoF) to review and adjust costs relating to petroleum and oil imports. The MoIT also proposed that the State Bank of Vietnam (SBV) adopt policies to support these enterprises, such as raising credit limits and offering access to preferential interest rates, etc.

The Ministry of Finance has issued Circular No. 59/2022/TT-BTC stipulating a number of fees and charges. Many types of transportation business fees will be cut by 20-50 per cent. The Ministry of Finance said the reduction of fees and charges aims to help transportation businesses overcome difficulties in the context of rising fuel prices and contribute to cutting business costs. Circular No. 59 takes effect from October to the end of the year.

At a national conference on removing difficulties during the implementation of the 2 per cent interest rate support program, held on August 26, banks no longer proposed increasing the credit growth limit. Instead, difficulties raised this time mainly related to the identification of beneficiaries and lending conditions.

Vietnam’s agricultural exports to Australia are facing difficulties, as Australia has a labor shortage in many fields, including in the customs sector, while trade growth and Covid-19 remains complex issues. All of these factors have resulted in the slow customs clearance of goods. Vietnam and Australia have set a target of bilateral trade hitting $15 billion this year.

Construction activity and public investment have both slowed during the past six months, creating difficulties for all businesses in the field. According to the Vietnam Association of Construction Contractors (VACC), many enterprises are looking for work in FDI projects because of their fair prices and transparent bidding process.

SSI Research has forecast that revenue growth at textile and garment manufacturing companies in Vietnam will fall over the second half of 2022 and into 2023, due to shortened order times. Yarn, fabric, logistics, and labor costs are also expected to remain high as oil prices increase and workforce competition impacts supply chains.

According to Mr. Nguyen Quoc Hiep, Chairman of the Vietnam Association of Construction Contractors (VACC), Vietnam’s construction industry and contractors were heavily affected by Covid-19 in 2021. In 2022, however, the difficulties facing construction enterprises will be minimized and business activities in the construction industry improved.

Though Vietnam’s economy is forecast to grow sharply in 2022 following Covid-19, many businesses remain concerned they will encounter difficulties from labor shortages and supply chain disruptions delaying recovery.