With the aim of becoming Vietnam’s hub for innovative startups, Hanoi has been implementing breakthrough measures to improve the business environment and promote innovation.

Hanoi strives to create ideal environment for innovative startups.

Director of Hanoi Small and Medium Enterprise Support Center Le Van Quan said in 2017, Hanoi launched the online portal for the city's startup ecosystem (startupcity.vn). One year later, the Hanoi People’s Council issued Resolution No.04 on supporting policies for new business establishments.

Meanwhile, Hanoi’s proposal for supporting startups in the city until 2020 has provided much-needed support for enterprises, including financial assistance for business registration and greater access to credit or banks’ loans, as well as training human resources, among others.

In 2019, the Hanoi People’s Committee approved a proposal to support startups in the 2019 – 2025 period. Accordingly, startups in Hanoi would receive support from local authorities in communications, training of human resources, provision of infrastructures and technical support; and formation of an innovative and startup center in Hanoi.

In addition to supporting policies, Hanoi has also offered substantial measures to improve the business environment, including a focus on e-government development to save costs and time for enterprises.

Since 2018, Hanoi has completed providing 100% of public services online at advanced stages of 3 and 4 out of the four-scale level.

Administrative procedures related to business activities, including business registration, customs, land, capital, and electricity, have also been simplified to ensure greater convenience for enterprises.

This has resulted in Hanoi being included in the top 10 under the 2019 Provincial Competitiveness Index (PCI) in two consecutive years at 9^th out of 63 provinces/cities, especially remaining 4^th nationwide in the sub-criteria of “Business Support Services”.

Nguyen Huu Viet, general director of Appa Group International Trading and Technology, said Hanoi’s supporting policies have helped address businesses’ difficulties substantially and laid a foundation for enterprises to grow.

Sharing the same view, CEO of Tea and Coffee An Nam Nguyen Tien Thanh cited Hanoi’s open policies for enterprises as the reason for his decision to set up business in Vietnam after leaving the UK.

Le Hoang Quan from the Hanoi Small and Medium Enterprise Support Center said one of Hanoi’s key objectives in the 2021 – 2025 period is rapid and sustainable development, with a focus on science, technology and innovation.

Moreover, the private sector would be a key driving force for Hanoi’s economy and play an essential role for the city to become Vietnam’s innovation hub, Quan stated.

Among measures to achieve this target, Quan said Hanoi would speed up administrative reform and IT application in all processes of state management; improve the business environment with greater information transparency.

The establishment of e-government and smart city, while leveraging IT application in the large and dynamic business community would help Hanoi move forward, Quan added.

For startups, Hanoi would create more spaces for the development of new enterprises and help connect domestic startups with domestic and foreign investors to boost their development, Quan stated, adding this would contribute significantly to the city's development.