Netherlands and UNDP quicken Vietnam’s circular economy transition

The Netherlands and the UNDP will execute a circular economy capacity building programme for businesses in Vietnam.

The programme for small and medium enterprises, financed by the Netherlands, the UNDP, and other partners, aims to deliver knowledge on the circular economy, government policies on circular economy development, and the European-Vietnam Free Trade Agreement's requirements for sustainable trade.

Elsbeth Akkerman, Ambassador of the Netherlands to Vietnam (fifth from left) and Caitlin Wiesen, UNDP resident representative in Vietnam (fifth from right) inked a deal on implementing a circular economy capacity building programme for businesses in Vietnam

The overall aim is to inspire and deliver practical guidelines for the transition towards circular economy principles and implementation. The programme will be jointly executed by the Institute of Strategy and Policy on Natural Resources and Environment (ISPONRE) and the Environmental Economic Policy Institute under Vietnam’s Ministry of Natural Resources and Environment (MoNRE), the Hue Innovation Hub, the Institute for Circular Economy Development, and the Saxion University of Applied Sciences from the Netherlands.

The second circular economy capacity building programme will be organised in June.

Caitlin Wiesen, UNDP resident representative in Vietnam, said, “The circular economy transition within an enterprise requires both changing in awareness and behaviour of shifting production and business activities towards green and sustainable ways, besides the environmental and economic benefits. Small- and medium-sized enterprises account for 96 per cent of the total number of businesses in Vietnam, employing 47 per cent of the labour force and contributing 36 per cent to the gross domestic product. The sector, therefore, plays a crucial role in increasing the adoption, implementation, and operation of circular business models, low-carbon technologies, and clean technologies.”

Elsbeth Akkerman, Ambassador of the Netherlands to Vietnam said, “The transition towards a circular economy is the only way to make our economies, societies, and planet greener and healthier. Through the capacity building programme that we are launching today, we expect Vietnamese enterprises to be equipped with practical knowledge and expertise to develop their own circular business models.”

In 2021, UNDP and the embassies of Norway, the Netherlands, and Finland assisted the MoNRE in developing the Vietnam Circular Economy Hub (CE Hub). The objective of the CE Hub is to raise awareness and build capacity for all stakeholders (public authorities, businesses, civil society, and academia) to adopt circular economy principles, create synergies, and integrate financial and technical resources. Under the CE Hub, a circular economy stewardship group was established.

The UNDP, ISPONRE, Hanoi Foreign Trade University, and Danang Business Incubator successfully organised the first circular economy training programme for businesses, where there are two training sessions for 47 trainees who are lecturers, experts, and managers; and two circular economy training courses for 52 businesses.