Viet Nam builds momentum for policy reform to strengthen support for SMEs and household businesses

HO CHI MINH CITY (ILO News) - Representatives from small and medium-sized enterprise (SME) association, government agencies, business associations, enterprises, international organizations, and policy experts gathered in Ho Chi Minh City for a consultation workshop on policies and solutions to support SMEs and household businesses.

The consultation was convened by the Viet Nam Association of Small and Medium Enterprises (VINASME) and the International Labour Organization (ILO) under the Productivity Ecosystems for Decent Work Programme. The initiative is supported by the Government of Switzerland and the Government of Norway through their embassies in Viet Nam.

The workshop provided a platform to review the implementation of the 2017 Law on Support for SMEs and discuss recommendations for strengthening support policies in the 2026–2030 period. Discussions focused on key issues affecting SME development, including access to finance, digital and green transformation, innovation, household business, and participation in domestic and global value chains.

The consultation comes at a time when Viet Nam is placing greater emphasis on the private sector as a key driver of economic growth. Participants highlighted the need for a policy framework that not only addresses immediate business challenges but also creates the conditions for enterprises to become more productive, competitive and resilient over the long term.

In her opening remarks, Ms. Dang Huynh Uc My, Vice President of VINASME, underscored the strategic role of SMEs and household businesses in job creation, innovation and economic growth. She said the revision of the Law on Support for SMEs presents an opportunity to build "a more enabling and sustainable development ecosystem for Vietnamese businesses, one that places enterprises at the centre, takes performance as the measure, and sets competitiveness as the objective." She added that policies should create an environment in which businesses can grow, mature and participate more deeply in domestic and international value chains.

Speaking on behalf of the ILO, Ms. Gulmira Asanbaeva, Programme Manager for the Productivity Ecosystems for Decent Work Programme, stressed that effective SME policies should deliver benefits beyond business growth by improving productivity, creating better jobs, strengthening workforce skills and expanding inclusive economic opportunities.

Drawing on Switzerland's experience, Mr. Andri Meier, Deputy Head of Cooperation at the Swiss Embassy in Viet Nam, highlighted the importance of a business-friendly environment, streamlined administrative procedures, access to finance, innovation support and export promotion. "Many of Switzerland's most successful exporters started as small businesses," he said. "Supporting SMEs to innovate, access finance, and compete in international markets is essential for sustainable and inclusive growth. This is why these areas are a priority in our economic development cooperation programme in Viet Nam."

The consultation's recommendations will contribute to ongoing policy discussions aimed at strengthening the enabling environment for SMEs and household businesses, helping them increase productivity, create quality jobs and contribute more effectively to Viet Nam's sustainable and inclusive economic development.