PM affirms priority to connecting economies in Mekong region

Prime Minister Nguyen Xuan Phuc was speaking at the World Economic Forum on the Mekong (WEF-Mekong) themed “Greater Mekong Subregion Development: Investment in infrastructure , human resources and connectivity” in Hanoi on October 25. 

In his opening speech, the Vietnamese government leader pointed out challenges such as the wide development gap between ASEAN members, the fading advantage of low labour costs, and rapid climate change. 

"Vietnam hopes Mekong countries would hold talks with businesses at the World Economic Forum on public-private partnership and business growth for the shared benefits.

Connecting economies is a priority task. Mekong countries and their partners need to accelerate transport links via sub-regional East-West and North-South economic corridors, and the southern economic corridor. Vietnam has adopted incentives for investors to develop production infrastructure and chains." he said.

PM Phuc said trade, investment, and tourism cooperation is an important for momentum in the region, where the Mekong and ASEAN countries are working to realise the goal of a unified market by 2025. 

The Mekong countries need to improve their competitiveness, while Vietnam is reforming its growth model towards sustainable development, he added.

 “The impacts of climate change and unsustainable exploration activities of Mekong water source are posing big challenges to the environment, food security, and sustainable development of the Mekong region, including the Mekong delta which exports up to 8 million tons of rice a year. 

So, priority should be given to improving the uneven distribution of the fruits of growth and integration, narrowing the development gap, and realizing sustainable development goals by 2030. Everybody is entitled to enjoy the development fruits and nobody should be left behind." he emphasized.

The Prime Minister told investors about the Vietnamese market with its high GDP growth rate and stable investment environment with more than 21,000 FDI projects worth US$300 billion.

Those in attendance also included Cambodian PM Samdech Techo Hunsen, Lao PM Thongloun Sisoulith, Myanmar President Htin Kyaw and Thai Deputy PM Somkid Jatusripitak, along with economic ministers of the Mekong countries, representatives of businesses and groups, experts and scholarships.

Other delegates pointed out that the Mekong region has potential to become a new production centre of Southeast Asia and the world as well.

The Mekong countries boast various reciprocal advantages that can facilitate economic integration and connectivity, the development of regional value chains and their connectivity with nations in Southeast Asia and the world, they said.

Speaking at a session concluding the function, Deputy Prime Minister and Foreign Minister Pham Binh Minh underlined sustainable and inclusive development as the top priority of the Mekong region.

He said Mekong countries need to boost cooperation in narrowing the development gap and foster sustainable growth, particularly in the management of Mekong River water resources.

These countries should take advantage of regional and international trade agreements to effectively join value chains, thus stimulating growth and enhancing global connectivity, he said.

New technologies are offering abundant opportunities for enterprises in developing countries across the Mekong region, he noted, adding that creating favourable business climate, encouraging startups and innovative ideas as well as developing high-quality workforce should be prioritised to seize the chances of the fourth industrial revolution.

On the sidelines of the conference, the cabinet leader met with Richard Samans, Member of the WEF Managing Board during which he hailed the collaboration between the WEF and Vietnam in organising the WEF-Mekong, requesting the organisation to consider working with Vietnam in holding the conference regularly in the future as it will improve partnership between Mekong nations and WEF member businesses.

Samans thanked the Vietnamese Government for its coordination with the WEF in preparing for the conference and said his organisation is looking forwards to working with the country when it comes to WEF initiatives and programmes.

The same day, PM Phuc hosted a gala dinner for participants of the three regional summits.