Vietnam aims to be the first choice for foreign investors
‘Vietnam is doing its best to become the number one destination for investors’ said by Minister of Planning and Investment - Nguyen Chi Dung at the ASEAN Business Summit 2016.
Attractive destination
Various factors make Vietnam an attractive destination for foreign investors. With over 92 million citizens and a thriving middle class, Vietnam provides an abundance of workforce with competitive labor cost. The country is also closely connected with more than 600 million ASEAN citizens. Other than that, many reforms are taking place such as restructuring, the implementation of three strategic breakthroughs in market economy, human resource development and infrastructure development.
Speaking at the ASEAN Business Summit 2016, Minister of planning and investment, Nguyen Chi Dung, said that Vietnam has many favorable factors for enterprises’ potential development such as political and economic stability, improvement in legal system, high security without any threats of terrorism or conflicts based on racial or religious issues, etc. He also emphasized that Vietnam is aiming to develop faster and sustainably by maximizing the collaboration opportunities with other countries, effectively responding to climate change and solving problems of poverty and unemployment. “Vietnam is trying to reform to become the number one destination for investors in Southeast Asia and the world” he concluded.
5 major objectives
In order to fasten the sustainable development, Vietnam is implementing different policies with the aim to restructure the economy, adopt a new growth model and foster labor productivity. From that, 5 main objectives are established:
1. To develop the market economy with a focus on improving production factors such as capital markets, land use, real estate and labor; making sure that the economic development is in line with environmental protection.
2. To reform the state-owned enterprises by accelerating the process of equitization for enterprises in sectors such as transportation, infrastructure, telecommunications, services, tourism and constructions.
3. To significantly improve the business and investment environment, ensure fair competition and equality, and encourage the private sector to become a driving force of economic growth.
4. To actively train employees in order to meet the needs of industrialization, to take advantage of the ‘golden’ population structure and continuously improve their productivity.
5. To encourage foreign investment, support new technology transfer, enhance brand value, corporate governance, and promote the development of small and medium-sized enterprises as well as start-up businesses.
Vietnam is expected to continue supporting the development of small and medium-sized enterprises through fundamental supports in market information, production space, loans and tax incentives. All of these efforts are made in order to foster a sustainable economic growth.
Sources: 1, 2