Party leader highlights concept of socialist-oriented market economy

Party General Secretary Nguyen Phu Trong addresses the Cabinet meeting, Ha Noi, August 11, 2021. Photo: VGP

Nguyen said Viet Nam is building a socialist-oriented market economy which is a modern market economy well integrated into the world.

It is an economy that operates fully and cohesively in line with the laws of a market economy. It is regulated by a rule-of-law socialist state under the leadership of the Communist Party of Viet Nam, said the top Party leader.

It upholds a socialist orientation towards the goals of an affluent people, strong nation, democratic, equitable and advanced society. 

A socialist-oriented market economy encompasses multiple forms of ownership and multiple economic sectors. Each economic sector operates in compliance with the law constitutes an important component of the economy. They are equal under the law in the interest of long-term development, cooperation and healthy competition.

In this system, the state economy plays a key role; the collective economy is constantly consolidated and developed; the private sector is an important engine of the economy; mixed economy is becoming increasingly developed.

The Party chief said Viet Nam considers culture as a spiritual foundation of the society, and regards holistic development of culture in harmony with economic growth, social progress and equality as a fundamental guideline underlying the construction of socialism in Viet Nam.

 A socialist society is one that strives toward progressive and humanistic values, based on the harmony between the common interests of the entire society and legitimate interests of the people, Nguyen stated.

Since the introduction of reform policy in 1986, the Vietnamese economy has begun to thrive, enjoying a relatively high growth rate over the course of 35 years at around 7% per year.

The country’s GDP is continually expanding, reaching US$342.7 billion in 2020 and becomes the 4th largest economy in ASEAN. Per-capita income has increased seventeen-fold to $3,512 .

From a country faced with constant food shortages, at present, Viet Nam not only is able to ensure food security, but also has become a leading exporter of rice and various other agricultural products in the world.

The rate of poor households falls by 1.5% every year on average, from 58% in 1993 to 5.8% in 2016 by the Government poverty standards, and to less than 3% in 2020 according to the multidimensional poverty index (whose standards are higher than previously)./.

By Huong Giang