Policy makers and businesses must keep abreast of the latestdevelopments in the global economy to ensure local enterprises arecompetitive, said Vu Khoan, former Deputy Prime Minister, at aconference in Hanoi on March 9.
"The world is changing. If we don't change, we will lag behind," he toldthe seminar, which was looking at how the business environment haschanged since the country joined the World Trade Organisation (WTO) fiveyears ago.
Khoan said the current global financial crisishas resulted in profound changes in countries' economic models,particularly regarding external affairs.
"There will besignificant obstacles when it comes to strategies aimed at high exportgrowth. Countries are now tending to focus on meeting their domesticdemand; but I haven't seen any sign that we are adjusting our policiesyet," he said.
The global trade liberalisation trend isbeing gradually replaced by regional trade liberalisation activities,while financial and monetary systems and production structures are alsoexperiencing great changes, Khoan added.
This situation hasforced countries to think about issues such as which currency should beused for payment in the future and how to shift to a green economy.
Henoted that while many countries are focusing on developing a greeneconomy, Vietnam is still consuming large volumes of materials thatpollute the environment such as iron, steel and cement.
Withregard to the competitive capacity of local firms, Khoan said: "Theyare now much more competitive than they were in the past, but they arestill failing to meet expectations. However, we shouldn't be impatientabout that, the matter can't be resolved overnight."
Hesaid it is difficult to boost a firm's competitiveness while Vietnam ishaving to deal with major challenges such as inflation, restructuringand integration.
Stabilising the macro-level conditions, especially financial and monetary, should therefore be a priority, Khoan said.
LuongVan Tu, former Deputy Minister of Trade, said local companies will facestiffer competition as the country nears the final phase of itscommitments to the WTO and the ASEAN Community.
To boostcompetitiveness, he suggested, the country should improve itslegislative framework and infrastructure systems; while firms shouldenhance production, technology and management skills, as well as theirproducts and service and the quality of their human resources.
DoanDuy Khuong, vice chairman of the Vietnam Chamber of Commerce andIndustry, said that despite significant improvements in the localbusiness and investment environments in recent years, many enterprisesare still concerned about authorities' support services in specificareas such as land use and fees.
Cao Sy Kiem, chairman ofthe Vietnam Association of small- and medium-sized enterprises,emphasised the need to simplify administrative procedures to helpcompanies reduce costs and take advantage of market opportunities.
"Animportant matter now is how to help small- and medium-sized enterprisesaccess bank loans more easily," said Nguyen Mai, former Deputy Chairmanof the State Committee for Cooperation and Investment.-VNA
"The world is changing. If we don't change, we will lag behind," he toldthe seminar, which was looking at how the business environment haschanged since the country joined the World Trade Organisation (WTO) fiveyears ago.
Khoan said the current global financial crisishas resulted in profound changes in countries' economic models,particularly regarding external affairs.
"There will besignificant obstacles when it comes to strategies aimed at high exportgrowth. Countries are now tending to focus on meeting their domesticdemand; but I haven't seen any sign that we are adjusting our policiesyet," he said.
The global trade liberalisation trend isbeing gradually replaced by regional trade liberalisation activities,while financial and monetary systems and production structures are alsoexperiencing great changes, Khoan added.
This situation hasforced countries to think about issues such as which currency should beused for payment in the future and how to shift to a green economy.
Henoted that while many countries are focusing on developing a greeneconomy, Vietnam is still consuming large volumes of materials thatpollute the environment such as iron, steel and cement.
Withregard to the competitive capacity of local firms, Khoan said: "Theyare now much more competitive than they were in the past, but they arestill failing to meet expectations. However, we shouldn't be impatientabout that, the matter can't be resolved overnight."
Hesaid it is difficult to boost a firm's competitiveness while Vietnam ishaving to deal with major challenges such as inflation, restructuringand integration.
Stabilising the macro-level conditions, especially financial and monetary, should therefore be a priority, Khoan said.
LuongVan Tu, former Deputy Minister of Trade, said local companies will facestiffer competition as the country nears the final phase of itscommitments to the WTO and the ASEAN Community.
To boostcompetitiveness, he suggested, the country should improve itslegislative framework and infrastructure systems; while firms shouldenhance production, technology and management skills, as well as theirproducts and service and the quality of their human resources.
DoanDuy Khuong, vice chairman of the Vietnam Chamber of Commerce andIndustry, said that despite significant improvements in the localbusiness and investment environments in recent years, many enterprisesare still concerned about authorities' support services in specificareas such as land use and fees.
Cao Sy Kiem, chairman ofthe Vietnam Association of small- and medium-sized enterprises,emphasised the need to simplify administrative procedures to helpcompanies reduce costs and take advantage of market opportunities.
"Animportant matter now is how to help small- and medium-sized enterprisesaccess bank loans more easily," said Nguyen Mai, former Deputy Chairmanof the State Committee for Cooperation and Investment.-VNA
