The dialogue was held by Vietnam’s Ministry of Finance (MoF) and the Republic of Korea (RoK) Development Strategy Institute (DSI).

Joo-Kyung KIM from the DSI shared his experiences in the RoK’s policy in coping with the global financial crisis. He said the RoK’s preferred approach was to control the liquidity of foreign currency and stimulus package, cut interest rates and support small-and medium-sized enterprises. The lesson the RoK finalised after the crisis is to control capital, manage foreign currency reserves and boost regional financial co-operation.

Pham Van Ha, a representative from the MoF, said the Vietnamese Government has already applied several policies in the post crisis period, such as stimulus packages, loose financial and monetary policies and social welfare investment. In 2009, the Government proposed measures, such as tax cuts, providing additional investment and development capital, and in 2010, it will continue to implement economic stimulus policies, and devise measures to stabilise the marcoeconomy and contain inflation.

Mr Ha said in the post crisis period, Vietnam should fulfill the task of budget collection, reduce expense to minimize trade deficit, and focus stimulus capital on export sectors. He emphasized the need to finalise policy in the real estate market and the securities market.

The Head of the Management Department for Foreign Investment, Do Nhat Hoang, said Vietnam aims to increase the total investment capital to around US$300 billion in the 2011-2015 period, of which foreign capital will account for 33 percent. Prioritised sectors will include high technology, infrastructure, supporting industries and processing industries.