Streamlining Business Requirements (USAID LinkSME)
Implemented from 2018 to 2023, IVI contributes to building an enabling environment by supporting key reforms and backing Vietnam’s objectives of expanding inclusive, market-driven, private sector-led growth.
Considered the third wave of business climate reforms, on May 12, 2020, the Government promulgated Resolution No. 68/ NQ-CP on reducing and simplifying business-related regulations in the 2020-2025 period. It is the most comprehensive scheme of this type so far. The specific objectives are to cut down and streamline at least 20% of requirements and to slash at least 20% compliance costs in all currently effective business-related regulations as of May 31, 2020, considered as the baseline count by the ministries for the 2020 - 2025 scheme. At the same time, it also targets to minimize the number of regulations on businesses that are under the authority of Ministers, Heads of ministry-level agencies, the Prime Minister, and the Government. Given these challenges, OOG/Administrative Procedures Control Agency (APCA) is the lead department to coordinate the whole of the government’s efforts, guiding, reviewing, commenting, and assessing line ministries and provinces’ plans. To successfully fulfill these tasks, it requires that APCA needs to be equipped with tools and a systematic approach that can contribute to consistency and far-reaching accomplishments over time.
The objectives of this consultancy service in reducing and simplifying business regulations is to assist OOG/APCA in carrying out their duties under Resolution 68 by:
Reviewing, commenting, and giving feedback to proposed reform packages of line ministries
Developing criteria to identify priorities for action, including but not limited to areas with heaviest burden impacts and complaints from businesses; creating a report on selecting prioritized regulatory areas for review and simplification
Conducting regulatory impact assessments (RIA) for prioritised areas and proposing recommendations for reform
Conducting public consultation and communication with relevant stakeholders to define clear objectives/targets, identify key problematic areas, collect information and data, as well as develop feasible policy options
IVI has completed Phases 1 and 2 of the consultancy project to reduce and simplify business regulations, under the USAID Linkages for Small and Medium Enterprises (LinkSME).
The first and second phases, carried out with the cooperation of the Administrative Procedure Control Agency (Government Office), resulted in 30 business consultation meetings and 36 policy briefs on administrative simplification related to business activities managed by 16 line ministries, including:
Food & Beverage sector