Discussion on Current Issues and Economic Cooperation Measures for SMEs of Both Countries
Conveying the Difficulties of SMEs Entering Vietnam to Vietnam
Kim Ki-moon, Chairman of the Korea Federation of SMEs, requested Prime Minister Pham Minh Chinh of Vietnam to approve the local subsidiary of IBK Industrial Bank and other policies necessary for small and medium-sized enterprises (SMEs).
Kim Ki-moon, President of the Korea Federation of Small and Medium Business (left), is taking a commemorative photo after meeting with Pham Minh Chinh, Prime Minister of Vietnam, at Lotte Hotel Seoul on the 1st to discuss current issues of small and medium enterprises in both countries and economic cooperation measures. [Photo by Korea Federation of Small and Medium Business]
The Korea Federation of SMEs announced on the 2nd that on the 1st, at the Lotte Hotel in Seoul, they discussed bilateral SME issues and economic cooperation measures with Prime Minister Pham Minh Chinh, who was visiting Korea.
On the Korean side, Chairman Kim, Kim Sung-tae, President of IBK Industrial Bank, Kim Shin-gil, Chairman of the Korea Agricultural Machinery Industry Cooperative, Kang Dong-han, Chairman of the Korea Forging Industry Cooperative, and Lee Young-nam, President of Novasys, attended. On the Vietnamese side, Prime Minister Pham Minh Chinh was joined by Nguyen Chi Trung, Minister of Planning and Investment, Nguyen Hong Dien, Minister of Industry and Trade, Pham Tan Ha, Deputy Governor of the Central Bank, Nguyen Minh Vu, First Vice Minister of Foreign Affairs, and Vu Ho, Ambassador of Vietnam to Korea.
The Korean SME delegation proposed jointly fostering promising companies that will contribute to the economic growth and industrial competitiveness of both countries, based on the trust built over the past 30 years with Vietnam.
Chairman Kim particularly emphasized to Prime Minister Pham Minh Chinh the urgent need for approval of IBK Industrial Bank’s local subsidiary in Vietnam, a bank dedicated to SMEs. He had officially requested the approval directly to Prime Minister Pham Minh Chinh at the business roundtable held in Hanoi during the presidential visit in June last year. Since then, efforts have continued to provide stable and sufficient financial support to Korean SMEs operating in Vietnam.
Additionally, the SME delegation conveyed to the Vietnamese side the management difficulties faced by Korean SMEs in Vietnam, including strengthening the competitiveness of the Korea-Vietnam materials, parts, and equipment industry, resolving visa issuance difficulties for Vietnamese expatriates, addressing unstable power supply during summer, simplifying environmental impact assessment permits, and improving certification procedures related to cosmetics exports, requesting these be reflected in local policy formulation.
Chairman Kim stated, “Eighty-eight percent of Korean companies operating in Vietnam are SMEs, and with Prime Minister Pham Minh Chinh’s visit, who shares a complementary economic cooperation relationship with Korea, we plan to hold the Korea-Vietnam Investment Cooperation Forum in Vietnam this November.”
Prime Minister Pham Minh Chinh responded, “We request active entry and investment expansion of Korean SMEs in Vietnam and will actively cooperate in holding the Korea-Vietnam Investment Cooperation Forum linked with the Vietnam SME Association. Regarding the approval of the establishment of IBK Industrial Bank’s local subsidiary in Vietnam, we will actively review the proposal from the Korea Federation of SMEs and ensure prompt action.”
Meanwhile, following the meeting with Prime Minister Pham Minh Chinh, during the discussion with Minister Nguyen Chi Trung, it was decided that the Korea Federation of SMEs and the Ministry of Planning and Investment will actively cooperate to pilot a Korean-style negative system industrial complex in Vietnam, where convenience facilities and related industries can all be accommodated.
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