The impact of the coordination of monetary policy and fiscal policy to Vietnamese businesses in the period 2011-2014 Lessons from the past Since 2007, as the economy has been deeply integrated into the global economy, Vietnam also has been affected by the world economic-financial crisis in 2008, 2009. The complex evolution of the domestic economy and the world economy made Vietnam face with many uncertainties in the macro economy. To deal with this reality, the macroeconomic policy, especially fiscal policy and monetary policy are required adjustments and tighter coordination to stabilize the economy and maintain growth. To prevent economic recession, monetary policy has been loosened with tightened fiscal policy in 2009, 2010. The loosening and expansion of these two policies helped to maintain 5.3% growth in 2009 and inflation at 6.8%, lower than two years previous1. Entering 2010, while monetary policy was tightened gradually, fiscal policy was overextended, especially in public investment to achieve higher growth in 2009. As a result, although the economic growth in 2010 reached 6.78% in 2010, the inflation rose to 11.75%1, almost 2 times higher than that of 2009 and is one of the few countries worldwide have inflation rate with 2 digits. The same thing occurred in 2010, affecting to inflation in 2011. In 2009 – 2010, the loosening of fiscal and monetary policies had been proved to maintain growth rate efficiently but it also cause inflationary pressures on the economy. The manufacturing input price was increased, the ability to access to capital was not improved and the implementation of reducing tax in 2009 was not really effective. All these factors made many businesses got difficulties and had no income subsequently they couldn’t enjoy preferential policies of tax on enterprise income. The policy of rate in 2009 in fact had lent all business with excess capital, using capital for wrong purposes, overlapping objects and who loan supporting interest capital and then transferred to the deposit. This situation limited the small and medium-sized businesses ‘ability to access to capital, while enabled ineffective enterprises continue functioning and caused further reduce the competitiveness of domestic enterprises in general. The coordination of fiscal policy and monetary policy in order to make the economy operating under law properly, exploit the tremendous momentum of the market economy for development are Vietnam’s objectives in the current period. However, in reality, this combination has always got more complex issues of the level, timing, manner and mechanism of operation. How to coordinate the two policies rationally and optimally to serve two goals: stability and development is posing problem to be solved, especially in the context of economic difficulties as the period 2011-2014 I. Practices coordination of monetary policy and fiscal policy. 1. Impacts of practice coordination of monetary policy and fiscal policy on businesses early 2011 to early 2012. From late 2010 and early 2011, the global economy began to recover, but still had some difficulties. It had negative impact on domestic economic situation, as a result, economic growth slowed,...