Nguyen Thi Thu Trang, Director of the WTO Center, shares her thought about sustainable development after COVID-19 (Photo: cand.com.vn) Hanoi (VNA) - Sustainable development was important for Vietnam torecover from the impacts of the COVID-19 pandemic, experts said at a forum in Hanoion November 10.
Participantsat the forum held by the Central Institute for Economic Management (CIEM) statedthat the pandemic had harmed many countries, including Vietnam, leaving seriousconsequences for economic development and social stability.
CIEM DirectorTran Thi Hong Minh said Vietnam was considered one of few countries that wererelatively successful in controlling the pandemic and lower the influence tothe local economy.
The closeinstructions and timely direction of the Government and results from the strongand continuous reforms from before the pandemic have contributed to theimprovement of macroeconomic foundations and resilience of the economy, Minh said.
Post-COVID-19,there will be a higher demand for stronger economic reform, especially onesrelating to the new context, she said, adding that the basic requirement is tocontinue the improvement of local productivity and competitiveness of theeconomy of all industries and of businesses.
Minh said Vietnammust step up reforms to promote digital transformation and implement thesustainable development agenda to drive economic development.
Agreeingthat after COVID-19, reform was needed, Tran Tho Dat, Chairman of the Councilof the National Economics University, said Vietnam should build capacity tomeet international standards, promote investment cooperation and take theinitiative for sustainable development.
“Theimprovement of labour productivity in the context of the digital economy isvery necessary for the current context," he said.
Nguyen ThiThu Trang, Director of the WTO Center under the Vietnam Chamber of Commerce andIndustry (VCCI), said that Vietnam has participated in many new-generation freetrade deals recently with commitments in sustainable development which couldaffect the economy and businesses.
Trang saidimplementing sustainable development would be the guarantee for a sustainablefuture of the Vietnamese economy and ensure the economy's reputation ininternational trade, attracting sustainable investment.
“Thesustainable development will encourage local businesses to make green goods toaccess large markets and serve more potential customers and partners," sheadded.
According tothe 'Asian Development Outlook 2020 Update Report' of the AsianDevelopment Bank two months ago, Vietnam's GDP was expected to increase by 1.8 percentin 2020 and 6.3 percent in 2021, while GDP in Asia will decline by 0.7 percentin 2020, and increase by 6.8 percent in 2021.
With thisgrowth rate, the bank said Vietnam was forecast to have one of the topgrowth rates in East Asia and the Pacific next year. Vietnam could have agrowth rate higher than the average rate of new emerging economies of theregions and only behind some economies like China and Malaysia with rates of6.9 percent each.
Le Duy Binh,managing director of Economica Vietnam said: “Vietnam's growth rate alsodepends on the ability to maintain and grow domestic demand.”
“There aremany favourable factors to maintain and enhance domestic supply capacity.The pandemic is still well controlled while the stable macroeconomics, monetaryand financial operations and efforts to reform the business and investmentenvironment are still underway," he said.
“Thepandemic has not been controlled in some major markets of Vietnam such as theUS while it is returning in the EU. Some industries in the country are still ina waiting mode, especially tourism, aviation, resort real estate, restaurants,and food and beverage services," he added.
In addition,the pandemic had influenced some foreign direct investment projects due toforeign restrictions stopping experts, engineers, techniciansand skilled workers from entering the country, said Binh.
Pham Dinh Thuy fromthe General Statistics Office (GSO) said the number of businesses whichreceived support from the Government was too small compared to the request.
“Though theGovernment has launched support packages to revive businesses and the economy,the less than 18 percent of enterprises have received the support," hesaid.
“The largerthe enterprises, the bigger the impact they must suffer from the pandemic.State-owned enterprises are the least affected while enterprises with foreigninvestment are most affected," he added.
TheGSO official said while 72.7 percent of enterprises needed loans torecover from the negative impact, 85.5 percent of those who needed them faceddifficulties in accessing loans. He proposed giving more credit support atlow interest for the businesses for two or three years.
Otherexperts said it was necessary to cut costs created by policies, create moreeconomic space and innovation motivation for businesses and continue tointegrate with free trade agreements./.
VNA
