Vietnam ’s economy is passing the threshold of developing nations with low income to join average income nations, the seminar was told.
However, the nation is facing inflation, strong fluctuation of exchange rates, a payment balance deficit and financial and monetary markets’ instability.
To improve the competitiveness of the country’s economy, the seminar suggested Vietnam restructure its banking system, increase the independent role of the State Bank and reorganise joint stock commercial banks.
Vietnam should prioritise the control of inflation rather than economic growth. It should move to reduce budget overspending from 4.5 percent of the GDP in 2011 to 2.5 percent in 2015 and lower credit growth to 16-17 percent, said the seminar.
It added that the State should finalise the mechanism and laws to overcome shortcomings in implementing financial and monetary policies.
It suggested the nation increase credits and assist rural agriculture in terms of interest rates and apply technical barriers in farm product imports as well as reform social welfare, together with the implementation of socio-economic development./.
