Hanoi (VNA) - The “Doi moi” (renewal) policy was introduced by the Party at its 6th National Congress. Forty years on, the “Doi moi” process has lifted the country out of socio-economic crises, established the necessary foundations for a new phase of development, and accelerated industrialisation and modernisation.
Over the past 40 years, Vietnam’s economy has achieved impressive growth. During the early “Doi moi” period (1986–1990), average annual GDP growth was just 4.4%. Between 1991 and 1995, it doubled to 8.2% per year, with subsequent periods maintaining relatively high growth rates.
Vietnam’s GDP grew at an average of 5.9% per year in 2011 - 2015, and reached an estimated 6.8% annually in 2016 – 2019. Vietnam became one of the fastest-growing economies in the region, and the International Monetary Fund (IMF) ranked it among the top 20 economies contributing most to global growth in 2019.
Notably, in 2020, while many countries fell into recession due to the COVID-19 pandemic, Vietnam was one of the few to maintain positive growth (2.9%) and ensure social welfare.
According to evaluations by domestic and international economic organisations, by the end of 2020, Vietnam had achieved the “dual goal” of controlling COVID-19 while maintaining economic growth. In August 2020, The Economist magazine ranked Vietnam among the 16 most successful emerging economies in the world.
The scale and sophistication of the economy have risen significantly, from just 6.3 billion USD in 1989 to approximately 268.4 billion USD in 2020. Living standards, both material and spiritual, have improved markedly, with per capita income increasing from 159 USD in 1985 to around 2,750 USD in 2020.
In 2024, the country’s GDP at current prices was estimated at over 11.51 trillion VND, equivalent to 476.3 billion USD, marking a significant step in Vietnam’s economic development.
Notably, per capita GDP in 2024 reached 114 million VND (about 4,700 USD), up 377 USD from the previous year, reflecting the continuous improvement in living standards. This encouraging result underscores the effectiveness of economic policies and comprehensive development of the nation.
Overall, all sectors of the economy have seen dynamic development. A series of key economic zones have been established, driving regional and national economic development. Specialised economic zones and industrial parks have been developed to attract investment and promote growth, while creating regions focused on crop and livestock specialisation linked to industrial processing.
Over the last four decades, Vietnam has transformed from a country facing food shortages into one of the world’s top agricultural exporters. Its export values of key products such as coffee, rice, cashew, fruit and vegetables, shrimp, timber, and wood products have consistently remained high, while other export sectors have also made significant progress.
The year 2025 is seen as a period for “accelerated growth and breakthrough” to achieve the goals of the 2020–2025 tenure, with the Government targeting economic growth of 8%–10%. Recently, the Asian Development Bank (ADB) raised its forecast for Vietnam’s 2025 growth to 6.6%, up from 6.2% in its previous projection in September last year, indicating a positive outlook for the country’s economy.
Over 40 years of Doi moi, especially following its 2011 Platform, the Party’s awareness of industrialisation and modernisation has advanced, both in content and implementation approach.
Under the leadership of the Party, the State has actively institutionalised policies and guidelines on industrialisation and modernisation, initially creating a fair and transparent legal environment for enterprises of all economic sectors to compete and grow, mobilising domestic resources and attracting foreign investment.
The economic structure has shifted toward modernisation with industry and services, and away from agriculture. Between 2010 and 2020, the portion of agriculture, forestry, and fisheries in GDP declined from 18.9% to 14.85%, while industry, construction, and services increased from 81.1% to 85.15%, surpassing the set targets.
Progress in developing and applying science and technology, particularly high-tech, has laid the foundation for transitioning toward a knowledge-based economy.
In 2024, the number of newly registered and reactivated enterprises saw a significant increase. According to the National Statistics Office of Vietnam, about 233,400 businesses nationwide were newly registered or resumed operations, up 7.1% compared to 2023. This reflects the recovery and growth of Vietnam’s business environment following challenges from the global economic impact.
Registered FDI inflows into Vietnam reached approximately 38.23 billion USD last year, making the country one of the world’s top FDI attraction destinations. FDI has significantly contributed to industrialisation and modernisation, enabling Vietnam to integrate more deeply into global supply chains and create millions of new jobs for workers.
Vietnam’s economic competitiveness has improved significantly. In 2019, the Global Competitiveness Index (GCI) rose 10 places from 2018, ranking 67th out of 141 economies. Vietnam's business environment index in 2019 increased eight places compared to 2015, ranking 70 out of 190 countries and territories.
According to the World Intellectual Property Organisation (WIPO) 2024 Global Innovation Index (GII) report, Vietnam’s innovation index ranking continued to climb, reaching 44th out of 133 countries and economies, up two positions from 2023.
Goods exports have become a key strength for Vietnam in recent years, with export values steadily rising and achieving a trade surplus for five consecutive years since 2016.
By the end of 2024, Vietnam had 36 export items exceeding 1 billion USD in value, including eight items over 10 billion USD, accounting for 69.0% of total exports.
Tourism has become a spearhead economic sector for the country. From 10 million international visitors and 62 million domestic tourists in 2016, the numbers rose substantially to 18 million and 85 million by 2019, respectively.
After 2019, the tourism sector suffered a sharp decline due to the COVID-19 pandemic. However, by 2024, the diversification and development of multiple potential markets helped Vietnam’s tourism industry make a remarkable recovery, approaching pre-pandemic levels of 2019.
Beyond impressive numbers, Vietnam’s tourism has also gained strong international recognition. In 2024, the World Travel Awards (WTA) honoured Vietnam in three categories: Asia’s Leading Destination, Asia’s Leading Heritage Destination, and Asia’s Leading Nature Destination. Additionally, Vietnam received 45 other top Asian awards for destinations, resorts, travel businesses, and airlines.
These impressive achievements not only reinforce Vietnam’s position on the global tourism map but also lay a solid foundation for the industry to achieve even greater breakthroughs in the coming years.
Since 1986, Vietnam has achieved significant progress in social support mechanisms. The State has enacted the Labour Code and a series of policies on employment, vocational training, labour export, human resources development; and conducted reforms in wages, social insurance, and labour protection.
In 2006, Vietnam achieved the Millennium Development Goals (MDGs) on eradicating extreme poverty and hunger, reaching the target 10 years ahead of the 2015 deadline. The country became a regional leader in the Asia-Pacific in applying multidimensional poverty measurement methods to reduce poverty across all dimensions.
Vietnam’s Human Development Index (HDI) has steadily improved, placing the country among those with high-medium human development globally. From 1990 to 2023, Vietnam’s HDI rose from 0.499 to 0.766, an increase of 53.5%, marking a remarkable advancement.
In recent years, the rapid development of information technology and the internet has transformed how the world operates, including in Vietnam. As a developing country, Vietnam recognises that digital transformation plays a crucial role in the nation’s development in the new era.
Vietnam has achieved significant progress in e-government. According to the UN E-Government Survey 2024, Vietnam ranked 71st out of 193 countries, up 15 places from 2022. This reflects substantial improvements in technological infrastructure, public service delivery capacity, and comprehensive digital transformation across the state administrative apparatus.
At the 9th session of the 15th National Assembly, five laws were passed marking a significant shift in Vietnam’s science, technology, innovation, and digital transformation with high approval rates.
The 40 years of Doi moi also represent a period of deep international economic integration, guided by global market principles and standards. Vietnam has established numerous strategic economic partnerships.
By October 2024, Vietnam signed and implemented 17 free trade agreements (FTAs) and it is negotiating two more. New-generation FTAs, including the EU – Vietnam FTA (EVFTA) and the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), have enabled Vietnam to access major markets more deeply, enhancing the competitiveness of its export goods.
Vietnam is also an active, responsible, and proactive member of international organisations. It has joined the Association of Southeast Asian Nations (ASEAN), the Asia-Pacific Economic Cooperation (APEC), and various UN bodies, contributing positively and gradually gaining a stronger regional role and international recognition, contributing to enhancing Vietnam’s prestige and position in the region and the world./.
