Vietnam Declares Six Pillars for Economic Recovery
In his speech to the World Economic Forum Country Strategic Dialogue on Vietnam, Prime Minister of Vietnam, Pham Minh Chinh, indicated that post-pandemic economic recovery will depend on six pillars:
1. Restoration of Supply Chains
2. Promotion of Manufacturing Growth
3. National Investment into Transportation Infrastructure, Digital Infrastructure, and Green Energy
4. Address Difficulties Businesses (Including Foreign) Face in Vietnam
5. Reform Institutions to International Standards
6. Development of Human Resources-- Particularly Economic Restructuring and Improving Productivity
All of these areas are indeed key opportunities for development and growth in Vietnam. We believe that especially pillars 4-6 are important areas of focus for the Government of Vietnam, as they depend on fundamental changes in government policy and are less likely to be independently driven by the private sector. Improving circumstances for business, whether considering "ease of doing business," streamlining investment and the establishment of legal entities, or the simplification/modernization of various bureaucratic operations, is critical to maintaining or improving Vietnam's competitiveness in the investment market. Likewise, supporting the development of talent, especially in junior professional and middle management areas, will not only improve productivity in the Vietnamese market but also help Vietnam avoid the "Middle Income Trap."
More information and commentary is available in this Vietnam Express article.