Vietnam business confidence eases as firms report red tape
EuroCham’s survey found 93 per cent of respondents faced regulatory and administrative difficulties, with the same share reporting tax and financial administration problems.
Business confidence in Vietnam slipped in the third quarter, with companies reporting an average of eight obstacles to growth, according to EuroCham’s Business Confidence Index published on October 15. The index declined by 1.4 points from the second-quarter reading of 79.7.
The survey, conducted by DXL Research and Consulting, found that 64 per cent of respondents rated their business conditions as good or very good. Another 28 per cent gave a neutral assessment.
Confidence varied by industry. Agriculture and the food value chain posted an increase of 11.7 points, reaching 83.9. Tourism and hospitality recorded a decline of 22.5 points to 67.9.
Longer-term investment sentiment remained positive: nine in 10 respondents would recommend Vietnam to investors. Some 63 per cent had operational planning horizons exceeding five years, while 23 per cent looked more than 20 years ahead.
Asked what would improve operating conditions, 37 per cent identified quicker administrative decisions. Alignment with international standards and faster, fully digital government services were each priorities for 35 per cent.
DXL Research and Consulting general manager Xavier Depouilly said companies continued to encounter overlapping requirements despite administrative reforms and digitalisation, with online processes often still requiring paperwork. Smaller businesses placed particular importance on quicker decisions and more efficient tax and customs procedures, according to the survey.
