Major challenges for SMEs remained when the world’s woes and credit growth control in Vietnam were taken into account, Pham Hong Hai told the Daily after a business luncheon entitled “Vietnam Macro Outlook & Visibility Creates Opportunities” last week.

“There will be businesses unable to deal with difficulties,” Hai said. He pinpointed cash flow and the access to credit sources as among the major challenges for SMEs next year because banks still scrutinized corporate borrowers when the mobilizing interest rate was still capped as currently.

It is too early to say that 2012 would be bright for businesses when considering global uncertainties, although inflation, borrowing and lending interest rates were poised to go down, Hai said at the event organized by the Malaysian Business Chamber in Vietnam (MBC).

He said the monetary and fiscal policies that the Government was following would support sustainable growth for the future. However, HSBC predicted the world’s business environment would be tougher next year than this year and this would affect Vietnam. 

“So, challenges still stay for enterprises in Vietnam, especially SMEs, in the face of the world’s arising woes and the fact that Vietnam cannot loosen monetary policies,” Hai said.

But the good thing, according to Hai, is that the Government has recognized continuing credit restraints will hit the sectors that still achieve healthy and strong growth and is therefore adjusting policies to make life easier for them.

Hai suggested tailor-made policies for different sectors as he emphasized that one policy could not be efficiently applied to all players. So, appropriate policies were of paramount importance for industries depending on their performance and financial issues.

“One policy could not satisfy and be proper for all enterprises, otherwise it will affect certain enterprises but we have to accept this,” Hai said.

To support SMEs, Hai proposed a fund be in place to guarantee that those SMEs that operate well and provide necessary products and services for local consumers could access banking loans in order to help SMEs ride out tough times.

Hai said HSBC painted a stabilized macroeconomic picture for Vietnam next year and projected no major changes to policies as the Government continued the fight against inflation and address structural issues. The bank forecast the Vietnam dong/U.S. dollar exchange rate would average around VND21,500 for 2012 and 2013.

HSBC projected Vietnam’s gross domestic product would grow 5.8% this year, 7% next year and 7.2% in 2013; consumer price index would be around 18.4% this year, 11.2% next year and 9.5% in 2013.

Source: SaigonTimes