Viet  Nam  SME  disaster  resilience  

Nguyen My Anh – TAC Hanoi, Vietnam Bangkok, 20-21 Apr 2016

SME in Vietnam at glance

Number  of  entry  

Total  capital    -­‐        

 20,000    

 40,000    

 60,000    

 80,000    

 100,000    

 120,000    

 140,000    

 160,000    

 180,000    

 200,000    

Q1.2015   Q2.2015   Q3.2015   Q4.2015  Q1.2016  

 19,049      26,357      22,941      26,407    

 23,767    

 111,218    

 171,178    

 138,537    

 180,586      186,013    

Number  of  entry  

Total  capital  

<  500,000    

45%  contributes  to  GDP  

33%  of  total  naFonal  revenue.    

98%  

62  %  job  creaFon  in  the  industry  

sector  

One  of  two  pillar  of  the  economy  

Sources:  Ministry  of  Planning  &  Investment  

Bangkok, Apr 2016

SME in Vietnam at glance  

41%  

26%  

17%  5%   4%   2%   2%   1%   1%   1%  

0%  

20%  

40%  

60%  

80%  

100%  

Major  industry  sector  

Wholesale  and  retail  trade  

Others  

ConstrucFon  

Industry  and  quarrying  

Agriculture,  forestry,  and  fishery  

71%  

27%  

2%  

Gender  of    the  business  owner  

Men  

Women  

No  defined  

Bangkok, Apr 2016

SME in Vietnam at glance  

39%  

51%  

6%  

2%  2%  

Total  of  employees  

1-­‐9  employees  

10-­‐99  employees  

100-­‐199  employees  

200-­‐300  employees  

>300  employees  

76%  

12%  

7%  

2%  2%  

Total  asset  value  

<10  bil.  VND    

10-­‐20  bil.  VND  

20-­‐50  bil.  VND  

50-­‐100  bil.  VND  

>100  bil.  VND  

Supporting Mechanisms  

Provincial level Provincial  People  

CommiUee    

Department  authoriFes  

SupporFng  Centers  

Central level

Ministries  

Policies  making  agency  with  Strategic  

development    

Regional  Assistance  units  

Regional  Assistance  units  

Law  on  SME  

support  dra\ing  

Law  implementaFon    &  consulFng  

Bangkok,  Apr  2016  

Policy framework for SME  

•  Law on SME Support (drafting process)

•  Law on Natural Disaster Prevention and Control (1 May 2014)

•  Pilot program: Training, Consulting, Cleaner production etc, Biz-Innovation, Science & Technology for start-up

Bangkok,  Apr  2016  

MARD   MPI   MONRE  

SME resilience survey  41%  40%  

35%  32%  31%  30%  30%  

27%  21%  

18%  16%  16%  

13%  11%  11%  

8%  8%  7%  7%  6%  

5%  5%  

2%  1%  2%  

0%   5%   10%  15%  20%  25%  30%  35%  40%  45%  

Power  blackout  Regional  or  global  economic  crises  

Fire  Typhoon  Accidents  Data  loss  

Foreign  currency  fluctuaFons  Civil  unrest  

Flood  TransportaFon  system  breakdown  

Earthquake  The\  

Disease  Water  shortage  or  contaminaFon    

Cyber  aUacks  Lightning    Tornado  Landslide  Terrorism  Drought  Tsunami  

Pandemic  /  Epidemic  Wild  fire  

Insect  InfestaFon  None  

52%  

40%  

30%  

Top  3  causes  of  business  disrupFons  

had  not  heard  of  BCP  before    

lacked  any  budget  for  preparing  a  BCP  

Bangkok,  Apr  2016  

SME resilience survey  

33%  

32%  

22%  

19%  

19%  

14%  

7%  

0%   10%   20%   30%   40%  

to  protect  employees  

to  avoid  economic  loss  

to  create  a  good  reputaFon  

BCP  is  a  good  pracFce  

to  create  a  compaFve  advantage  

is  needed  for  enterprises  located  in  the  disaster  prone  areas  

do  not  know  

Typical  moFvaFons  for  SMEs  to  develop  their  BCPs  

42%  

28%  

17%  

13%  

Should  BCP  be  compulsory  or  not?  

Yes  

No  

Donot  know  

Leave  blank   Bangkok,  Apr  2016  

SME resilience survey  

59%  

39%  

34%  

14%  

9%  

3%  

12%  

0%  

10%  

20%  

30%  

40%  

50%  

60%  

70%  

Insurance  for  employees  

Fire  insurance   Motor/car  insurance  

Catastrophic  insurance  

Thef  insurance   Insurance  for  profit  loss  

None  

Bangkok,  Apr  2016  

Financial coping mechanisms  

•  Identify SME capacity to develop proper technical support (tax reduction, biz-matching, training etc)

•  Inculcate climate change with disaster resilience for SME in line with legislation and policy reviewing to avoid the duplication

•  Inter-Government with Biz-Association in the road-mapping SME disaster resilience promotion (long-term)

•  Incubate SME with BCP at the beginning •  Create a platform for rewarding BCP success

Bangkok,  Apr  2016  

THANK YOU FOR

YOUR KIND ATTENTION  

Bangkok,  Apr  2016