Vu Tien Loc, Chairman of the Vietnam Chamber of Commerce and Industry, tells a seminar in HCM City on November 9 it is time for Vietnam to adopt drastic solutions to improve its competitiveness. (Photo: VNA) HCM City (VNS/VNA) - Renovating its growth model and improvingproductivity are among the key requirements to improve Vietnam’s economiccompetitiveness, heard a recent seminar in Ho Chi Minh City.
DrPham Thi Thu Hang, former General Secretary of the Vietnam Chamber of Commerceand Industry (VCCI), said the country’s economic competitiveness remained low.
Accordingto the World Economic Forum’s Global Competitiveness Index, Vietnam droppedthree places in the ranking this year to 77th out of 140 economies.
Hangsaid an analysis of the factors that measure the economy’s competitivenessshowed infrastructure to be one of the weakest points in Vietnam’scompetitiveness index, especially the quality of roads, seaports, airports andpower supply.
Infrastructureand utility services do not keep pace with the economic growth and urbanization,she said, adding that labour productivity remains low.
Vietnamwas considered to have abundant human resources but there was a supply-demandmismatch in many industries, Hang said.
Vocationalstandards had been promulgated but were not comprehensive, lacking consistencyand incompatible with international professional standards.
Besides,Vietnam lacked a reliable and consistent labour market forecast model andstatistical and analytical experts, she said.
VCCIChairman Vu Tien Loc said the issue of competitiveness is increasinglyreceiving attention from governments in many nations, and raising Vietnam’scompetitiveness is also a major goal of the Party and Government.
TheGovernment had issued a resolution on improving the business environment andenhancing national competitiveness to make Vietnam one of the four mostcompetitive countries in the ASEAN bloc by 2020, he said.
Thecountry’s economic competitiveness was mainly based on existing andnon-renewable factors and not innovation, he said.
Productivitywas among the core factors determining the competitiveness of enterprises andthe economy, he said.
LuuDinh Vinh of the College of Economics of HCM City said improving labour productivityrequired a change in thinking: Instead of working overtime, businesses shouldinvest in training human resources to instil working skills.
Expertsalso said businesses should have a mechanism to promote talent and usher in acreative culture to encourage employees to maximise their potential.
Besidesknowledge, technology is also a factor affecting labour productivity,production and the efficiency of enterprises, they said.
Therefore,it is necessary to strengthen the link between domestic and FDI enterprises tolearn and adopt advanced global models and technologies, they said.
Toenhance the competitiveness of small and medium-sized enterprises, Vu Kim Hanh,Director of the Business Study and Assistance Centre, said enterprises mustattach importance to quality and value addition, embrace technology andregularly update themselves on the market.
Butthey usually lack market information, and so one of the important things theState management agencies have to do to support enterprises is to provide themwith market information, she said.
Locsaid: “It is time for Vietnam to adopt drastic solutions to improve itscompetitiveness.”
Besidesthe World Bank and World Economic Forum criteria, the country should alsoconsider the 17 UN sustainable development goals to improve itscompetitiveness, he suggested.
The“Competitiveness of the economy: current status, potential and challenges"seminar was organised by the VCCI and the University of Economics andLaw.-VNS/VNA
DrPham Thi Thu Hang, former General Secretary of the Vietnam Chamber of Commerceand Industry (VCCI), said the country’s economic competitiveness remained low.
Accordingto the World Economic Forum’s Global Competitiveness Index, Vietnam droppedthree places in the ranking this year to 77th out of 140 economies.
Hangsaid an analysis of the factors that measure the economy’s competitivenessshowed infrastructure to be one of the weakest points in Vietnam’scompetitiveness index, especially the quality of roads, seaports, airports andpower supply.
Infrastructureand utility services do not keep pace with the economic growth and urbanization,she said, adding that labour productivity remains low.
Vietnamwas considered to have abundant human resources but there was a supply-demandmismatch in many industries, Hang said.
Vocationalstandards had been promulgated but were not comprehensive, lacking consistencyand incompatible with international professional standards.
Besides,Vietnam lacked a reliable and consistent labour market forecast model andstatistical and analytical experts, she said.
VCCIChairman Vu Tien Loc said the issue of competitiveness is increasinglyreceiving attention from governments in many nations, and raising Vietnam’scompetitiveness is also a major goal of the Party and Government.
TheGovernment had issued a resolution on improving the business environment andenhancing national competitiveness to make Vietnam one of the four mostcompetitive countries in the ASEAN bloc by 2020, he said.
Thecountry’s economic competitiveness was mainly based on existing andnon-renewable factors and not innovation, he said.
Productivitywas among the core factors determining the competitiveness of enterprises andthe economy, he said.
LuuDinh Vinh of the College of Economics of HCM City said improving labour productivityrequired a change in thinking: Instead of working overtime, businesses shouldinvest in training human resources to instil working skills.
Expertsalso said businesses should have a mechanism to promote talent and usher in acreative culture to encourage employees to maximise their potential.
Besidesknowledge, technology is also a factor affecting labour productivity,production and the efficiency of enterprises, they said.
Therefore,it is necessary to strengthen the link between domestic and FDI enterprises tolearn and adopt advanced global models and technologies, they said.
Toenhance the competitiveness of small and medium-sized enterprises, Vu Kim Hanh,Director of the Business Study and Assistance Centre, said enterprises mustattach importance to quality and value addition, embrace technology andregularly update themselves on the market.
Butthey usually lack market information, and so one of the important things theState management agencies have to do to support enterprises is to provide themwith market information, she said.
Locsaid: “It is time for Vietnam to adopt drastic solutions to improve itscompetitiveness.”
Besidesthe World Bank and World Economic Forum criteria, the country should alsoconsider the 17 UN sustainable development goals to improve itscompetitiveness, he suggested.
The“Competitiveness of the economy: current status, potential and challenges"seminar was organised by the VCCI and the University of Economics andLaw.-VNS/VNA
VNA
