UK businesses to partner with Viet Nam in its transition: BritCham Vice Chairman

Denzel Eades, Vice Chairman of the British Chamber of Commerce (BritCham), made the above statement in his remarks delivered at the annual Viet Nam Business Forum that took place in Ha Noi on March 19.

Denzel Eades extended sincere thanks to the Vietnamese government and related agencies for their continued commitment to supporting the private sector and foreign investment. "This is particularly appreciated as we navigate the challenges posed by recent economic headwinds", he noted.

According to the BritCham Vice Chairman, over the past 50 years, collaboration between Viet Nam and the UK has resulted in a significant development in the bilateral relationship and a growth in the ties between both people and respective economies.

The commitment to extend and elevate the strategic partnership has instilled confidence among businesses and individuals, fostering collaboration for mutual benefit, both now and for generations to come.

Energy transition can serve as a catalyst for growth, innovation and support long term energy security, he said, adding that UK businesses look forward to partnering with Viet Nam in its transition, building on Resolution 55 on orientation of the National Energy Development Strategy of Viet Nam to 2030, with a vision to 2045 and supporting investment opportunity flowing from the National Power Development Plan for the period 2021-2030 with a vision to 2050 (PDP8).

"We look forward to the finalization of the PDP8 implementation plan, in addition to supplementary regulation and guidance to support investment in Offshore Wind, LNG and other clean energy technologies in the period to 2030. Finalization of a mechanism for Direct Power Purchase Agreements (DPPA) would be particularly welcomed", he shared.

In supporting and progressing PDP8, UK investors, developers and financing partners see significant opportunity in the Viet Nam's Just Energy Transition Partnership (JETP).

"We look forward to progression of the JETP in 2024 and the development of JETP transaction and financing structures which align with and unlock the opportunity of PDP8", he added.

Sustainability is core to the strategy and priorities of UK businesses, as such the promotion of Extended Producer Responsibility (EPR) and a circular economy in plastic waste management in Viet Nam is supported. Key recommendations in this regard include incentivizing the use of recycled plastics (PCR) in packaging and developing the recycling industry.

The development of an International Financial Centre (IFC) in Viet Nam, supported by the UK-Viet Nam IFC Working Group, promises to be a game-changing initiative. To ensure its success, it is vital to recognize the crucial role that financial services play in driving both Viet Nam's domestic and export economy, in addition to promoting Viet Nam's economic capabilities globally.

Favorable policies in areas such as accounting, taxation, securities, and banking and alignment with international standards can serve to enhance the capacity of the financial services sector and support its growth.

"Achieving emerging market status for Viet Nam's capital markets and adopting International Financial Reporting Standards (IFRS) nationally are identified as essential goals. We, along with UK businesses, are committed to supporting the Vietnamese government in this endeavor", he added.

UK companies look forward to partnering with Viet Nam in its continued economic success, facilitated by an environment and policy supportive of foreign and private sector investment, Denzel Eades shared./.