Firms actively engage in bribery to avoid harassment
Dau Anh Tuan, head of the Vietnam Chamber of Commerce and Industry's (VCCI) legal department said most firms chose to pay bribes to avoid harassment, maintain relationships and evade duties.
The provincial competitiveness index (PCI) report last year show that the bigger the firm is, the more inspections it will face. 65% of asked firms said they face many difficulties due to administrative procedures.
60% said they actively pay bribery to avoid harassment, maintain relationships and also to avoid duties. Tuan said part of the problem came from the firms. In some case, bribes are given without demand from the officials.
"The firms are victims but also the cause of the problem with some consider this their advantages and lead to an unhealthy business environment," he said.
Bigger firms are under the management of more agencies than smaller firms so they have to pay more to maintain the relationships. FDI firms are afraid that too many policies are issued and changed and said these are big risks.
Vo Tri Thanh, vice president of the Central Institute for Economic Management, also agreed that aside from logistics, infrastructure, legal payments and other official fees, firms spend large sums on bribery.
Illustrative photo
Bribery was raised at the conference about the development of Vietnamese firms on June 22.The provincial competitiveness index (PCI) report last year show that the bigger the firm is, the more inspections it will face. 65% of asked firms said they face many difficulties due to administrative procedures.
60% said they actively pay bribery to avoid harassment, maintain relationships and also to avoid duties. Tuan said part of the problem came from the firms. In some case, bribes are given without demand from the officials.
"The firms are victims but also the cause of the problem with some consider this their advantages and lead to an unhealthy business environment," he said.
Bigger firms are under the management of more agencies than smaller firms so they have to pay more to maintain the relationships. FDI firms are afraid that too many policies are issued and changed and said these are big risks.
Vo Tri Thanh, vice president of the Central Institute for Economic Management, also agreed that aside from logistics, infrastructure, legal payments and other official fees, firms spend large sums on bribery.
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