Economy should lie at the heart of India-Vietnam relations (Illustrative image. Source VNA) New Delhi (VNA) – Economy shouldlie at the heart of India-Vietnam relations, according to an article posted onthe Times of India on February 27 on the occasion of the upcoming visit toIndia by Vietnamese President Tran Dai Quang from March 2-4.
Titled “Move on Economics: Vietnam President’supcoming visit should boost bilateral trade and business ties”, the articlecited a recent survey showing Vietnam was one of the fastest growing economiesbetween 2007 and 2017.
[President Tran Dai Quang’s India visit to foster multi-faceted cooperation]
The country’s gross domestic product (GDP)expanded 6.7 percent last year with the total volume of trade reaching a record425 billion USD, of which exports accounted for 200 billion USD.
Vietnamalso received 33 billion USD in foreign investment in 2017, a factor that willspur greater growth this year. Even the World Bank estimates greater growth forVietnam in 2018.
These accomplishments were a direct result ofeconomic reforms called Doi Moi that Vietnam launched in the 1980s.
DoiMoi laid the foundation for Vietnam to adopt technology and make significantimprovements in its labour market. The Vietnamese economy gradually opened up,spurring growth.
Thisgave Vietnam the confidence to conclude 16 bilateral and regional free tradeagreements over a couple of years, the article said.
Today,Vietnam enjoys significant global value chain linkages with China, Japan andthe Republic of Korea, which is beneficial for Vietnam’s export growth ofelectronics, apparel, food and beverages.
Allof these things make Vietnam an ideal economic partner for India in SoutheastAsia, the article said, adding that this also makes the India-Vietnamrelationship a key pillar of New Delhi’s Act East policy.
Bilateraltrade hit 7.6 billion USD in 2017, representing a year-on-year rise of 40percent. However, there is still room for growth, the article stressed.
It emphasised that President Quang’s visitexemplifies the growing relationship between New Delhi and Hanoi as it comesjust a month after Vietnamese Prime Minister Nguyen Xuan Phuc travelled to NewDelhi for the Indo-ASEAN Commemorative Summit and India’s Republic Daycelebrations, highlighting the importance of India-Vietnam ties.
President Quang will be accompanied by a largegroup of entrepreneurs –demonstrating the economic aspect of the visit.
In fact, President Quang is expected to witnessthe signing of bilateral Memoranda of Understanding regarding a joint ventureon a coal terminal in Vietnam, joint port development and cooperation inagriculture.
ThePresident will also preside over the launching ceremony of a direct air routebetween India and Vietnam.-VNA
