Vietnam climbs two places in Human Development Index: UNDP report

Illustrative image. (Photo: VNA)

Hanoi (VNA) – Vietnam's Human Development Index (HDI) value of 0.703 in 2021 remained essentially unchanged from 2019 (0.704), though the nation climbed two places in the global rankings, from 117 to 115.

The rankings were unveiled at the global 2021/22 Human Development Report (HDR) launch – "Uncertain Times, Unsettled Lives: Shaping our Future in a Transforming World" – in Hanoi on September 9.

Vietnam managed to sustain economic growth during the most challenging years of the COVID-19 pandemic, according to the UN Development Programme (UNDP) in Vietnam. Although the average pace of change slowed, and vulnerable groups and individuals suffered, periods of real hardship and a major reversal of development progress was avoided.

UNDP in Vietnam reported the country's Gender Inequality Index, which measures the loss of human development due to inequality between males and females, continued to improve in 2021.

Vietnam has been a member of the High Human Development Group since 2019. The HDI combines gross national income per capita, life expectancy at birth and expected years of schooling into a single index to provide a generalised measure of human development.

Vietnam has seen steady progress in all three dimensions of the HDI since the 1990s. However, the rate of increase in the HDI has slowed over the past decade, mainly because Vietnam is now a richer country with relatively high levels of life expectancy and educational attainment for its income level.

Vietnam's Gender Inequality Index (GII), which measures the loss of human development due to inequality between males and females, continued to improve in 2021, according to Do Le Thu Ngoc, Assistant Resident Representative and Head of the Inclusive Growth Unit at UNDP.

Its GII was 0.296, giving the country a ranking of 71 out of 170 countries. GII considered reproductive health, empowerment and labour force participation. Vietnam performs well in terms of maternal mortality, education of girls and female labour force participation, but the representation of women in the parliament remains low.

"Looking ahead, Vietnam is well placed to regain the loss of momentum resulting from COVID-19 and manage the uncertainties associated with the cascading crises described in the HDR," said Professor Jonathan Pincus, UNDP Senior Economist.

"The rapid and universal roll-out of vaccines has enabled life to return to normal and reduced pressure on hospitals, clinics and schools. In addition, government policy has been flexible and adaptive, which has made it possible for industries like tourism and transport to post an impressive recovery in 2022."

UNDP also noted that there would be many challenges for Vietnam in the coming time. Climate change is the biggest. It is anticipated to displace people and their livelihoods, seriously affecting the level of human development in areas most vulnerable to climate change.

Additionally, Vietnam's economic development depends on growth trends in the rest of the world. War in Europe, rising prices and disruption to global trade patterns are important sources of uncertainty. Therefore, UNDP recommended Vietnam increase investment in infrastructure, education, training and research to increase national resilience and capacity to adjust quickly and flexibly to changing global conditions.

UNDP also emphasised that Vietnam's social protection system must be modernised to help all citizens to manage economic and natural disaster risks and sustain living standards even during difficult times. The experience of the COVID-19 pandemic demonstrated that gaps have opened up in national social protection and social assistance programmes. The digitalisation of social assistance registration and delivery and basing these systems on universal citizenship rather than local residence will enable them to respond more equitably and quickly during times of heightened risk.

HDI declined globally for two years in a row, the first time in the 32-year history of the index.

Over 90% of countries registered HDI declines either in 2020 or 2021. More than 40% decline in both years, signalling that the crisis is still deepening for many./.