A business round-table with the Government of Vietnam was held in Hanoi on January 8, drawing the participation of Prime Minister Nguyen Tan Dung and representatives from the leading global companies.

 

The main activities of the conference included a round-table discussion between Government representatives and high-ranking executives from global companies, a meeting between foreign and domestic entrepreneurs, an exhibition and an award-giving ceremony.

 

The conference was a special event which allowed Vietnamese and foreign entrepreneurs to compare notes with State leaders, the Prime Minister and other Government Ministers on issues of mutual concern. Through the conference, the Vietnamese Government introduced its policies to major companies, which are currently doing business or planning to invest in Vietnam.

 

The further promotion of mutual understanding between the Vietnamese Government and entrepreneurs plays an essential role in attracting foreign investors and boosting the domestic business development.

 

In his speech, Prime Minister Nguyen Tan Dung said that during the 20 years of implementing the Doi Moi (Renewal) process, Vietnam has maintained an average economic growth rate of 7.5 percent/ year. Over the past three years (2005, 2006, 2007), the growth rate was 8.0 percent and is predicted to hit between 8.5-9 percent in 2008.

 

The country also reached an export growth rate of 18 percent/year and approximately 22 percent/year over the past three years.

 

Notably, the economy and technical infrastructure and people’s living standards have improved remarkably with a per capita income of 2007 posting a ten-fold increase over the 1988 figure and the number of poor households down to below 15 percent.

 

Positive changes have been seen in the cultural and social areas while political security and social order and safety have been maintained, thus helping to promote Vietnam’s international position.

 

Vietnam is considered to be a dynamic market economy with a wealth of prospects for development and a safe and attractive destination for foreign investors, said Prime Minister Nguyen Tan Dung.

 

Since 1993, more than 50 bilateral and multilateral donors have provided a total of US$42 billion in ODA for Vietnam on a year-on-year increase basis.

 

At the Consultative Group Meeting in December 2007, donors pledged to provide US$5.4 billion worth of ODA in 2008, the highest figure so far. In 2007, Vietnam attracted 9,500 FDI projects with total registered capital of more than US$100 billion from 80 countries and territories in the world.

 

In addition to its achievements, PM Dung also pointed out the difficulties facing Vietnam such as the low quality, efficiency and competitiveness of the economy, inflation, a volatile macro-economy, traffic jams, environmental pollution and other social problems. Vietnam is still a developing country with low income. Socio-economic infrastructure and human resources have not met development requirements.

 

Administrative reform and anti-corruption work have made positive results but there still remain obstacles. The lives of people in remote and mountainous areas are very difficult due to natural disasters. Furthermore, unstable global market, changeable climate and natural disasters impose great challenges to the country.

 

PM Dung emphasized that year 2008 marks an important transitional year in the five-

year period (2005-2010). The Vietnamese Government has identified five key tasks. First, the country will target a 9 percent economic growth rate and better performance on social targets, including social equality, poverty reduction, environmental improvement, price controls and macro-economic stabilization. Second, the Government will strive to improve the living standards of people in remote and mountainous areas, ethnic minority groups and natural disaster-prone areas along with reducing the number of poor households to 11-12 percent. Third, the country will make strong progress in socio-economic infrastructure development and human resources training. Fourth, Vietnam will accelerate administrative reform and complete institutions. Fifth, the country will strengthen anti-corruption and wastefulness and practice thrift.

 

PM Dung believed that through frank discussions, Vietnamese businesses will update information, boost co-operation with foreign partners and propose effective measures for the country’s integration and development.

 

At the conference, PM Dung answered questions from large economic groups relating to the investment environment, infrastructure, telecommunications, electricity, equitization and corruption.

 

Regarding the fight against corruption, PM Dung said over recent times, Vietnam has achieved initial results with support from citizens. The Vietnamese Government is resolutely determined to clean up corruption and bureaucracy.