Viet Nam makes remarkable economic progress over past decades: OECD report
VGP - Extensive and continued reforms since late 1980s have been key to Viet Nam's remarkable economic progress over the past decades, according to OECD Economic Surveys.
This is a key finding in "OECD Economic Surveys: Viet Nam 2025" report jointly released by the Vietnamese Ministry of Foreign Affairs and OECD on June 20.
The report held that with significant challenges ahead, Viet Nam needs to advance structural reforms that will further strengthen market forces, improve social protection for an ageing population and make growth more sustainable.
Macroeconomic policies could be enhanced by strengthening the operational independence of the central bank, price-based monetary policy and additional revenue mobilization to address growing spending needs, it suggested.
Social benefits, including old-age pensions, could be strengthened and widespread labor informality reduced. Making growth more inclusive requires well-coordinated reforms to expand non-contributory social assistance benefits while maintaining strong incentives for formal job creation.
Viet Nam is strongly affected by climate change and has committed to net zero carbon emissions by 2050. Reducing emissions from electricity generation by phasing out coal-fired plants and accelerating the rollout of renewable energy sources will sustain more sustainable growth.
Foreign-owned firms have been a driver of growth but have developed few supplier links to local firms. More investment in tertiary education, stronger competition in services sectors and a more even playing field between private and state-owned companies could boost productivity growth, told the report.
Alongside the organization's Multidimensional Review of Viet Nam in 2020, the reports for 2023 and 2025 serve as objective and valuable reference sources for strategic and policy planners, researchers, and managers in both the public and private sectors of Viet Nam, as well as the country's development partners.
These reports are also useful for reviewing the implementation of the 2021–2025 Socio-Economic Development Plan and for continuing the implementation of the 2021–2030 Socio-Economic Development Strategy.
In a congratulatory message to the event, OECD Secretary-General Mathias Cormann praised Viet Nam's socio-economic development achievements, including its rapid economic growth, deep integration into the global economy, and significant progress in poverty reduction. The OECD leader reaffirmed his support and commitment to continuing to assist Viet Nam in achieving its high growth targets./.
