A seminar on circular economy in Hanoi on July 27 (Photo: VNA)

HCM City (VNA) – By promoting a circular economy, resources will be used effectively and in line with the sustainable development goal that Vietnam is pursuing, experts said at a seminar in Ho Chi Minh City on July 28.

In a circular economy, goods consumed today will turn into resources for future use. Although the circular economy has become popular in the world, it is still relatively new in Vietnam, said Assoc. Prof. Dr Huynh Trung Hai at the Hanoi University of Science and Technology.

To develop, a circular economy needs the consensus among the State, people and business circle. The Government should create favourable mechanisms and policies to spur the economy in the long run, he added.

Vietnam is currently in a linear economy where commodities are discarded after being used.

Data of the General Statistics Office show that more than 95 percent of Vietnam’s businesses are small-sized ones which lack capital, high-quality personnel and innovation capacity, posing challenges to applying the principles of a circular economy in the country.

Sasama Tomoyuki, Country Director of US chemical firm Dow, said in Vietnam as well as many other nations, waste treated not thoroughly before being released into the environment has become a headache for the environmental protection and sustainable development.

A circular economy will help Vietnam maximise the use and reuse of resources and reduce the waste volume, he noted.-VNA