SME Partnership Group meetingSME Partnership Group meetingFriday, 19 November 2004Friday, 19 November 2004

Mr. Nguyễn Ngọc Phúc, Director-GeneralAgency for SME Development (MPI)

OutlineOutline

Recent major SME support activitiesRecent major SME support activitiesCurrent Government’s prioritiesCurrent Government’s prioritiesSome highlights in donors’ SME support Some highlights in donors’ SME support

projectsprojectsDonor coordinationDonor coordination

I. Recent SME support activitiesI. Recent SME support activities

New decrees: Decree 109 on business registration and Decree 125 on the implementation of Enterprise Law in replacement for previous implementing Decrees

SME Promotion Council meeting: new directions in SME promotion and Council’s performance improvement

I. Recent SME support activities I. Recent SME support activities (ctd)(ctd)

The Human Resource Training Support Program for SME approved by PM, budget 119 billion VND for 4 years’ implementation, implementing guideline being drafted.

Further develop the organizational structure for 3 TACs

II. Government’s current II. Government’s current prioritiespriorities

1. SME Development Strategy – an integral part of Socio-Economic Development Plan 2006-2010:

first draft of the Strategy in March 2005 and final draft to submit to Government in late May 2005

PM’s Directive 33 and PM’s vision – 500,000 enterprises by 2010

II. Govt current priorities (ctd)II. Govt current priorities (ctd)

2. Business informationNBIN – preliminary database on businesses

in Vietnam, computerization in business registration, consolidating and providing information to govt agencies and enterprises

Currently covering only 10 out of 64 provinces needs for support to have nation-wide coverage

II. Govt current priorities (ctd)II. Govt current priorities (ctd)

3. Technical support for SME3 TAC in Hanoi, Danang and Ho Chi Minh

city - around 10 staffs/eachOne JICA advisor at Hanoi TAC at the

moment to help develop the structure

III. Highlights in donors’ SME III. Highlights in donors’ SME projectproject

ADB SDPL signed (first tranche’s US$60 million), AFD’s and KfW’s cofinancing being considered. ADTA documents being drafted and start early 2005

EU VPSSP signed (9 million euro), Program Steering Committees and management structures on the way

III. Highlights in donors’ SME III. Highlights in donors’ SME project (ctd)project (ctd)

UNIDO’s US$ 2.4 millionTA for ASMED, SMEPC and provincial gateways started August 11th, inception phase completed

Under preparation: DANIDA’s BSPS US$ 30 million in 5 years, GTZ’s SMEP 8 million euro in 4 years – to start early next year

IV. Donor coordinationIV. Donor coordination

Through SMEPG meetings – clear picutre on donor activities and support orientation

ASMED hopes to have more active role in program formulation for better targeting at govt priorities

Thank you very much.Thank you very much.