International experience and lessons for Viet Nam

Back in the mid-1980s, when the country made big choices that shape its transformation to a modern and secure nation. Vietnam’s performance in the post transition period has been truly outstanding. Setting the pattern on a high growth path of about economic growth and bringing about exceptional level that is poverty reduction and human development and achievement of the majority of the Millennium Development Goals. Confirming that the choices made then were the right ones. And it is also important to underline that by and large, these outcomes that are attained with relative, including an income distribution.

However in recent years, some of the positive trends have slowed down and VN now stands at the new crossroad. The global financial crisis of the last decade has revealed a number of structural problems in VN’s economy and arguably, the roots of this situation run deep. VN has attained an economic model that is achieved through an expensive growth and emphasizes the utilization of under utilized capital and labor as opposed to ones which also secure greater productive efficiency and moving to a value chain. Although poverty reduction has continued, disparities between rural and urban areas, geographic locations and between
Majority and minority communities have become more entrenched. These interlocking issues underscore the importance of bolt and new thinking and the pre-examination of short and medium term economic policies as well as institutional reforms.

This conference is therefore very timely and UNDP is extremely pleased to collaborate with the Ministry of Foreign Affairs and the Vietnam Academy of Social Sciences in organizing this conference at this very important juncture. As the agenda shows, we have brought international experts of different backgrounds and perspectives together. They are leading policymakers and researchers. The main objective of the conference is to review international experiences and ideas for inclusive and sustainable development and the discussion is structured around 4 substantive areas: the financial sector and capital market reform, the reform of the SOEs, industrial and agricultural development and the role played by trade policy in a way that can brought inclusive and sustainable development in VN.