Viet Nam’s progress in poverty reduction at national level has been impressive. The country has reduced its poverty rate from 58.1 per cent in 1992 to 17.2 per cent in 2012, lifting some 30 million people out of poverty.

Despite impressive progress at national level, high levels of chronic poverty persists in ethnic minority communities and key population groups such as the elderly, malnourished children, and non-registered migrants. Vulnerability given by the risk of falling back into poverty has grown as absolute poverty has declined. The near-poor are now a mainstream phenomenon and a large proportion of people are living just above the poverty threshold - at risk from climatic and economic shocks. With changes in Viet Nam’s social make up and demography, multi-dimensional poverty has emerged as a better reflection of the complex challenges faced by policymakers.