Workshop seeks to facilitate capital access for Vietnam exporters
Friday, 2017-08-04 10:11:23
NDO - A workshop was held on August 4, in the port city of Hai Phong, aiming to provide small and medium-sized enterprises (SMEs) with information that could facilitate them to access capital and avoid risks in international payment.
The conference, hosted by the Trade Promotion Agency (Vietrade), under the Ministry of Industry and Trade, is part of a project to enhance the capacity of Vietnamese SMEs through a local trade promotion system funded by the Swish State Secretariat for Economic Affairs.
Vietrade’s deputy director Do Kim Lang said globalisation and free trade have spurred export-import activities but Vietnamese enterprises, especially SMEs, remain inexperienced in mobilising funds.
Vietnam has an estimated 700,000 enterprises, with SMEs whose revenues are below VND100 billion (US$4.4 million) accounting for nearly 98% and two thirds of these SMEs have revenues of VND20 billion or below.
Although SMEs are in the majority, it remains hard for them to access capital and they are forced to seek non-official loans.
In addition, due to increasing international integration, enterprises may face higher bad debt and greater payment risks if they are not equipped with the necessary information and experience in international transactions.
Therefore in order to help SMEs, the workshop focused on topics such as financial management in export-import activities, financial solutions for exporters, risks in international payment and preventative measures and risks from exchange rate volatility.
The Swiss project to enhance export competitiveness for Vietnamese SMEs through the local trade promotion system is a continuation of the project to support trade promotion and export development co-funded by the Swish and Swedish government during the 2004-2010 period.