Economists call for new model for global integration

Low tech production and exports largely based on natural resources aroused concerns from economists at a workshop held in Hanoi on May 24, who called for new model of economic development after three years joining the World Trade Organisation.
Low tech production and exports largelybased on natural resources aroused concerns from economists at aworkshop held in Hanoi on May 24, who called for new model ofeconomic development after three years joining the World TradeOrganisation.

The Director of the Vietnam Economics Institute, Tran Dinh Thien,said raw materials such as minerals and farm and forest products andseafood are major hard currency earners while industrial exports such asapparels, leather shoes, electronic appliances and computers areessentially subcontracted products with low added values.

Raw materials and low-tech products make up almost 82 percent of thegross export value, excluding crude oil.

Thien said the three years of joining WTO, especially 2009 whichculminated with a global crisis, was a “test” for the national economyin global integration, examining the Government’s capacity to cope withrisks.

“It is urgent now to build a new model of economic development tomeet the emerging demand for global integration,” said the senioreconomist.

His view was echoed by former Deputy Prime Minister Vu Khoan, whowarned that unless the Government worked out a new model to correct theweaknesses, the national economy could not compete on the global scale.

Khoan pointed out the weaknesses that need to be changed forsuccessful integration, including poor quality of growth which haslargely depended on investments, low competitive capacity, a poor legalsystem, backward infrastructure and poor human resource quality.

Prof. Nguyen Mai, former member of the Government’s Research Board,shared his view, urging for a new Governmental integration programme toinclude concrete measures and strategies for each and every partners andindustries.

In regard to the foreign direct investment (FDI) strategy, theGovernment should be selective instead of opening the economy for allpartners as at present.

The Government should ban all FDI projects on export-oriented miningprojects or environmental polluters, he said.

The FDI policy should give a hand to domestic investors by setting upinternational production and marketing systems to help them develop onthe global scale.

The Central Institute for Economic Management Research recentlyreported that global integration process, especially the country’s WTOmembership, has made a positive impact on the Vietnamese economy.

The nation’s economic growth, at just 5.3 percent in 2009 due toglobal financial crisis, was still ranked a high level as many othereconomies posted much lower or even minus rates.

Global integration has also helped Vietnam expand foreignmarkets, speed up exports, increase the inflow of FDI, perfect the legalsystem on market-oriented economy, generate more jobs, alleviatepoverty and increase access to input sources for businesses.

The workshop on socio-economic impacts three years after the countryjoined the world’s largest economic body drew almost 260 participantsfrom the offices of the Government and National Assembly, differentministries, industries and local administrations./.

See more

Speakers at the conference (from left): AVPI Advisory Board Chair Dr Le Thu Huong, Australian Ambassador to Vietnam Gillian Bird, and Vietnamese Consul General in Sydney Nguyen Thanh Tung. (Photo: VNA)

Vietnam, Australia turn momentum into practical cooperation

Vietnam and Australia should focus on promoting two-way investment, expanding cooperation linked to APEC 2027 and making better use of people-to-people connections. Vietnam needs capital, skills, technology, infrastructure, and energy transition expertise - areas where Australia could offer valuable support.

The interface of the National E-Procurement System. (Photo: muasamcong.mpi.gov.vn)

Vietnam to move PPP bidding online from 2027

From January 1, 2027, PPP project proposals must be submitted through the National E-Procurement System. From September 1, 2027, investor selection for PPP projects tendered through open bidding will move fully online.

An automated robot-based production line at CAYI Technology Vietnam Co., Ltd. in Yen Phong II-C Industrial Park, Bac Ninh city (Photo: VNA)

EuroCham: Business Confidence Index in Vietnam remains high at 78.3 in Q3

The survey found that 64% of respondents described their current business conditions as good or very good, while 28% maintained a neutral or cautious outlook, reflecting a wait-and-see attitude as international demand remains flat and businesses look for policy momentum to translate into faster procedures and more predictable outcomes.

Workers manufacture handheld power tools at the Keystone Electrical Vietnam factory in Lien Ha Thai Industrial Park, Thai Thuy commune, Hung Yen province (Photo: VNA)

Vietnam seeks to turn FDI inflows into domestic value added

Vietnam is shifting its FDI attraction strategy from expanding investment volumes to prioritising capital inflows that brings technology, knowledge, modern management practices and stronger links with domestic businesses, particularly in semiconductors, artificial intelligence (AI), chips and renewable energy.

At Yadea Vietnam’s smart manufacturing plant in Tan Hung Industrial Park, Bac Ninh province (Photo: VNA)

Vietnam ties FDI incentives to local supplier commitments

Incentives will increasingly hinge on investors’ performance and commitments, not just on landing projects. Key commitments include transferring technology to Vietnamese firms, training workers, providing technical support and opening FDI supply chains to domestic companies.

Green SM has launched all-electric taxi service in the US. (Illustrative photo: VNA)

Green SM launches all-electric taxi service in US

The move brings Green SM into one of the world’s most dynamic and demanding markets. It also marks another step in the international expansion of the Vietnamese mobility brand, following its rapid growth across markets in Asia and Europe.

An overview of the meeting between IMF Managing Director Kristalina Georgieva and ASEAN Finance Ministers and Central Bank Governors (Photo: VNA)

Vietnam strengthens financial cooperation at IMF-World Bank annual meetings

The Vietnamese Governor underscored the complementary roles of global and regional financial cooperation mechanisms, including the Chiang Mai Initiative Multilateralisation (CMIM) and the ASEAN+3 Macroeconomic Research Office (AMRO). He also highlighted the importance of technical assistance in fintech, digital transformation, cybersecurity and risk management.

Representatives of the organising committee at the opening ceremony of the fair (Photo: VNA)

Vietnam-Cambodia trade expo promotes bilateral economic cooperation

The Vietnam-Cambodia Business Networking and Product Promotion Exposition has become a key trade promotion event, creating business and investment opportunities while strengthening mutual understanding and trust between the two countries’ armies, people and enterprises.