The rapid exhaustion and degradation of natural resources requires the management to be improved immediately, heard a seminar on boosting transparency in natural resources management in Hanoi on July 15.

Dr Tran Dinh Thien, Director of the Vietnam Institute of Economics, pointed to the fact that Vietnam has maintained for a long time the exploitation of natural resources as a development priority, while failing to pay due attention to modernising the processing industry. Therefore, the country’s export-based economic growth was in fact a model relying on exporting raw natural resources.

Statistics in a government report in August 2012 showed that during the 2005-2008 period, the extractive industry ranked fifth among 18 industries and sectors in terms of total investment but stood at the eighth position in terms of economic efficiency. The mining industry also ranked only 11 in terms of job creation. These figures reflected the low economic efficiency of the sector as a consequence of a lack of investment in processing technology.

Participants at the seminar also agreed on the necessity to fight corruption and strengthen the transparency in managing natural resources, saying that Vietnam’s participation in the Extractive Industries Transparency Initiative is in line with the country’s short-term and long-term policies.-VNA