Illustrative image (Source: VNA) This is the first report on Vietnam’s economyconducted by the OECD in conjunction with the Asian Development Bank (ADB).
Vietnam has made remarkable economic progress over thepast decades, sustaining high growth, said Acting Deputy Director of the OECD’sEconomic Country Studies Branch Vincent Koen, calling extensive and continuedreforms since the 1980s a key to this success.
He said the economy has also proven resilient toshocks, including the COVID-19 pandemic, noting that during the outbreak, Vietnam was outstanding among other Southeast Asian nationsin terms of economic growth.
The economic survey is announced in Hanoi on April 26. (Photo: VNA) To reduce dependence on fossil fuels, new investmentin coal should be halted and the implementation of a carbon market accelerated.As these reforms will require additional fiscal resources, the tax base shouldbe expanded to enhance government revenues.
The survey suggested Vietnam consider providingtargeted financial support to households strongly affected by high energy andfood prices, prepare a concrete medium-term fiscal consolidation plan tofurther enhance revenue, expand the tax base, continue to simplify businessregulations, and enhance digital skills.
To guide all economic sectors to a low carbon path,a clear and predictable long-term climate change strategy should be prepared.This strategy should include an energy sector reform which is crucial toupscale investment in renewable strategy, it said./.
VNA
