On social media and in livestream “talk shows” disguised as expert forums, overseas reactionary organisations and domestic dissidents have alleged that this stance contradicts previous Party viewpoints, equates to accepting capitalist exploitation, and proves that a socialist-oriented market economy is impossible. They argue, without basis, that this is a step toward privatising the entire national economy.

Such rhetoric seeks to erode public trust in the Party and State, sow ideological division, and undermine investor confidence.

Theoretical and practical foundations

Theoretically, viewing the private sector as a most important driving force is consistent with, and an innovative application of, Marxist–Leninist theory on multi-sectoral economies during the socialist transition. Vladimir Ilyich Lenin affirmed that socialism cannot be achieved without a high level of economic maturity comprising modern productive forces and advanced technical infrastructure, which requires mobilising all possible economic drivers, including private enterprise.

In Vietnam, enabling private sector growth means empowering citizens to engage in legitimate business and create wealth, unleashing innovation in the era of science, technology, and digital transformation. The draft documents for the upcoming 14th National Party Congress highlight a new growth model driven by technological advancement, knowledge, and innovation, calling for the full realisation of the private sector’s potential.

In practice, the private sector is considered the most important driving force due to its great potential and significant contributions. Resolution 68 notes that currently Vietnam has more than 940,000 private enterprises and approximately 5 million household businesses, contributing about 50% of GDP, over 30% of state budget revenues, and employing roughly 82% of the workforce.

With great potential, the private sector has transformed the level of technology and the landscape of the country's socio-economic infrastructure, promoting innovation, improving labour productivity, and increasing competitiveness in the economy.

Many private enterprises have developed into powerful economic corporations with strong capital, human resources, technology, and competitiveness reaching the international level, such as Vingroup, Hoa Phat, FPT, Truong Hai, and Masan. Many have made significant contributions to the state budget, with Vingroup contributing VND56,000 billion in 2024; The Gioi Di Dong VND19,700 billion; Hoa Phat VND13,400 billion; and FPT VND9,200 billion.

The irreplaceable role of the state economy

Meanwhile, the State economy comprising State-owned enterprises (SOEs) and key resources such as national assets, the central budget, and strategic reserves, remains the backbone of Vietnam’s socialist-oriented market economy. It safeguards macroeconomic stability, steers development, and corrects market shortcomings while ensuring social equity.

SOEs play a vital role in national defence, energy security, public services, and high-tech industries, especially in sectors or regions where private investment is absent. Many State-owned economic groups and corporations such as the Vietnam Military Industry and Telecom Group, Vietnam Posts and Telecommunications Group, Vietnam Airlines Corporation, Saigon New Port Corporation, Vietnam National Oil and Gas Group, and Vietnam Electricity Group have made significant contributions to the country’s GDP.

Statistics show in 2024, SOEs generated nearly VND3.3 quadrillion in revenue (up 24%) and.5 trillion in pre-tax profit, and contributed nearly VND400 trillion to the state budget.

Beyond direct contributions, the state economy creates a stable environment for all sectors through infrastructure investment, technology transfer, and targeted support for disadvantaged groups, while cushioning the economy from shocks such as natural disasters or pandemics.

Vietnam’s economic model relies on the complementary strengths of both the state and private sectors. The task ahead is to develop strong institutions that enable the private sector to serve as a key driver of growth, while preserving the state economy’s leading role in guiding development and safeguarding the socialist orientation.

Private economic sector set for breakthrough growth as golden opportunities emerge

VOV.VN - After nearly four decades of pursuing the Doi Moi (Renewal) process, Vietnam’s private economic sector has grown into a key engine of growth, but institutional hurdles, an uneven business environment, and short-term thinking continue to hinder its breakthrough potential.