Despite the remarkable improvement of Vietnam’s cities and provinces to enhance competitiveness, many issues are remaining for them to lure in more investment.
The Ministry of Planning and Investment has expressed its dismay of poorly disbursed and allocated public investments.
While social enterprises have become a trend in Vietnam, helping the country generate employment for disadvantaged people, the development of these businesses has been more modest than some would have hoped due to limited attention from the government.
The east and west economic corridors of Vietnam will become the strategic backbone for the decade’s national master plan in order to revitalise spatial development, lure more investment resources, and enable breakthrough growth.
Numerous specific policies are being recommended to unlock international finance and enable long-term and large-scale investment into Vietnam’s various infrastructure and energy projects.
New collective and cooperative economic models applying Industry 4.0 and international economic integration are being strongly developed to increase their contribution to the country’s GDP.
Billions of US dollars of additional investment is driving investment inflows in Vietnam.
Numerous projects and investors will be cut off from public investment allocation due to the poor performance of disbursement this year, and this will affect socioeconomic development of localities involved.
The experiences of nations like Singapore and other developed countries could help Vietnam develop its digital economy and foster the stronger promotion of innovation.
A new bailout package worth over $900 million is expected to help local companies to recover soon through tax reductions, but for some this solution may come too late to overcome the health crisis completely.
Along with the positive business outcomes of foreign-invested enterprises in recent years and their decision to expand investments in Vietnam, long-term commitments are being confirmed.
In the context of a gloomy economy over recent months, public investment ventures - which are seeing accelerated disbursement - can still play a key role in boosting the economy over the next few years.
Many privately-owned renewable power plants have been required to cut electricity output due to the overloaded transmission system, as regulations struggle to keep up with the fast-developing sector.
Diversifying trade activities between Vietnam and Canada thanks to implementation of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership over the past two years has sharply increased the two-way trade turnover.
Although the country’s registered foreign direct investment capital went down by 15.6 per cent on-year due to the pandemic, financial injections still managed to find their way to high-tech projects in the first two months of the year, showcasing the attraction of some of Vietnam’s industries and localities.