Tạp chí của Viện Kinh tế Việt Nam và Thế giới, Viện Hàn lâm Khoa học xã hội Việt Nam
Developing economic corridors is a modern approach to regional development and integration. This article examines the formation of economic corridors in Vietnam over the past two decades, from both formal and functional perspectives. Drawing on theoretical frameworks and empirical studies that define corridor concepts, development stages, tiers, and identification criteria, the article assesses the economic corridors prioritized under the National Master Plan for 2021 -2030. Although State documents name many formal corridors, only four have taken functional shape: Hanoi-Hai Phong-Quang Ninh, Hanoi-Lao Cai, Moc Bai-Ho Chi Minh City-Bien Hoa-Vung Tau, and the North-South Corridor. Within each corridor, however, individual segments differ considerably in their levels of transport, logistics, industrial, urban, and economic development.
Four decades of poverty reduction in Vietnam: achievements and challenges
This study examines Vietnam’s forty-year trajectory of poverty reduction since the Doi moi (Renovation) reforms, highlighting both its remarkable achievements and the persistent challenges that remain. Over the past four decades, Vietnam has emerged as a global exemplar of effective poverty reduction, with substantial progress observed across regions, economic sectors, and multiple dimensions of well-being. Poverty rates have declined sharply, and access to education, healthcare, housing, clean water and sanitation, and information has significantly improved. Meanwhile, the social protection system has broadened its scope and coverage, reaching a wider range of social groups. Despite these achievements, poverty reduction in Vietnam still faces structural constraints, including regional and social disparities, limited sustainability, and persistent multidimensional deprivations. In addition, the effectiveness of policies and the mobilization of resources from the state, international partners, and the private sector remain below expectations. The findings provide insights for enhancing Vietnam’s poverty reduction strategies toward a more inclusive, resilient and sustainable development pathway.
Forty years of Vietnam’s regional economic integration
The aim of this paper is to systematically analyze the stages of the integration process, thereby evaluating the results achieved in various aspects such as economic growth, economic restructuring, attracting foreign investment, and international trade. The paper demonstrates that Vietnam has achieved remarkable successes in regional economic integration through different stages. The aforementioned regional integration has contributed to strong economic growth, expanded export markets, and attracted a large amount of foreign direct investment (FDI), thereby enhancing the country’s position on the international stage.
Vietnam’s international economic integration: from Doi Moi to an era of national rise
This article examines Vietnam’s international economic integration across four phases since the post-Doi Moi (1986) to the present. The findings indicate that a well-calibrated opening-up strategy has positioned Vietnam as a key manufacturing and export hub within global value chains. However, the study also identifies persistent bottlenecks, including low domestic value added, dependence on foreign direct investment, and delays in digital transformation and green transition. Building on these insights, the article proposes policy measures to strengthen endogenous capabilities and enhance Vietnam’s strategic position in response to the evolving geopolitical landscape.
The private economic sector in Vietnam’s socialist-oriented market economy: Development trajectory, performance, and policy directions
This article analyzes the formation, development and role of the private sector in the Vietnamese economy since the Doi Moi (Renovation) in 1986. Based on a synthesis ofthe Communist Party of Vietnam’s documents, State policies, research and official statistical data, the authors assess changes in institutions, thinking and practice of private sector development through each historical period. The article also identifies the barriers and opportunities of this sector in the context of international integration, digital transformation and economic restructuring, thereby providing appropriate policy orientations and recommendations to maximize the role of the private economy as an important pillar of the Vietnamese economy in the forthcoming development phase.
Economic institutional renovation in Vietnam from 1986 to the present: An analysis of liberalization, equitization, and administrative reform
The article analyzes the process of economic institutional renovation and reform in Vietnam from 1986 to the present, focusing on three principal pillars: economic liberalization, equitization of state-owned enterprises, and administrative reform. Drawing upon major economic theoretical frameworks, the study clarifies the role of institutions in reducing transaction costs, protecting property rights, promoting innovation, enhancing productivity, and strengthening national competitiveness. Prominent reforms include the equitization of state-owned enterprises, the restructuring of the public sector, the simplification of administrative procedures, the reform of the legal framework, and commitments to international integration. These measures have played a critical role in transforming Vietnam from a centrally planned economy in systemic crisis into one capable of sustaining high growth rates, deeply integrating into global value chains, and improving its Human Development Index. The findings suggest that sustaining development trajectories will require continuing to refine its economic institutions toward greater transparency, coherence, and adaptability amid globalization, the Fourth Industrial Revolution, and digital transformation.
Vietnam’s human resources through 40 years of Doi Moi
This article employs a qualitative analytical approach, utilizing secondary documentation and data, to examine the human resource development policies of the Communist Party of Vietnam and Government of Vietnam throughout the Doi Moi (Renovation) periods. The study subsequently assesses the outcomes across the dimensions of scale, structure, and quality. The analysis reveals a distinct “upgrade” in the human resource development directives and policies: the perspective on human resource has evolved from a general approach to a strategic and more open one; the objectives have become increasingly specific and ambitious; and the solutions are more diverse and contemporary, aligning with the context of globalization and the Fourth Industrial Revolution. Over the past 40 years, the scale, structure, and quality of Vietnam’s human resources have undergone positive transformations, enabling the nation to capitalize on its demographic dividend for industrialization and modernization. Nonetheless, the deficit of high-quality human resources currently constitutes a critical “bottleneck” hindering sustainable economic growth.
Ma Ngoc Nga (1), Nguyen Thi Kim Chi (2), Nguyen Thi Trang (3)
Economic growth based on science, technology, and innovation in Vietnam
In Vietnam, the contribution of science and technology to economic growth remains low, investment by the business sector in innovation is weak, and the quality of human resources does not yet meet requirements. These facts differ from the policy ideas defined since the 1990s. The main reasons are the heavily bureaucratic characteristic of science management mechanisms, the inconsistency in institution design, and especially, limitations in mobilizing and allocating capital for science and technology. Looking to the future, the process of growth based on science and technology in Vietnam faces challenges in choosing the appropriated time to transform the growth model and selecting the suitable quantities to expand fiscal and monetary policies to achieve high growth while maintaining macroeconomic stability.
Impact of alcohol and tobacco consumption on poverty: A study in Vietnam
This study examines the consumption patterns of alcoholic beverages and tobacco in Vietnam, focusing on differences by residential area, household head gender, and household income. Using household-level data from the 2018 Vietnam Household Living Standards Survey (VHLSS 2018), the findings reveal that the prevalence of alcohol and tobacco use, as well as their concurrent consumption, is higher in rural areas than in urban areas. Additionally, households headed by men are more likely to consume these substances than those headed by women. Moreover, significant differences in alcohol and tobacco expenditure are observed across income groups, with higher-income households exhibiting greater spending. However, the proportion of alcohol and tobacco expenditure relative to total household spending does not differ significantly between poor and non-poor households, indicating that the financial burden of these substances is comparable across income levels. These findings provide a critical foundation for policy discussions on controlling alcohol and tobacco consumption. Potential interventions include increasing taxes, restricting advertising, and raising public awareness to mitigate the negative public health impacts of these substances.
Impact of fiscal decentralization on economic growth: empirical evidence from Vietnamese localities
This study employs a panel data fixed-effects model to examine how fiscal decentralization influences economic growth across 63 provinces in Vietnam from 2010 to 2022. Revenue decentralization negatively affects GRDP growth. In contrast, expenditure decentralization and self-collected revenues have a positive impact. Based on these insights, the study offers several recommendations for fostering economic growth by adjusting Vietnam’s fiscal decentralization framework. Key suggestions include: (i) enhancing the decentralization of local revenue sources, fully retained by local governments or proportionally shared, and (ii) strengthening expenditure decentralization by granting local authorities greater autonomy to manage budgets effectively according to output-based commitments. Additionally, other channels that support economic growth, such as improving institutional quality and increasing non-state investment, should also be enhanced.
Effects of economic growth, trade expansion, poverty on income inequality in provinces in Vietnam
The objective of this research is to determine the impact of economic growth, investment capital, budget expenditure, trade expansion, poverty, institutions on income inequality in provinces in Vietnam. This research utilized data collected by the General Statistics Office of Vietnam from 2016 to 2022, combined with the Vietnam Household Living Standard Survey reports from the same period. Empirical results derived from Two-Stage Least Squares (2SLS) regression method reveal that economic growth, trade expansion, budget expenditure on medical care and poverty have effects on income inequality in provinces. Economic growth and poverty rate have positive impacts on income inequality in provinces; in contrast, trade expansion and budget expenditure on medical have negative impacts on income inequality in provinces. There is a significant difference in income inequality among regions in Vietnam.
Renewing Vietnam’s economic growth model: from policy to practice
This article analyzes the process of developing the Communist Party of Vietnam (CPV)’s theoretical thinking on renewing the economic growth model over nearly 40 years of Doi Moi (Renovation process initiated in late 1986), clearly pointing out its achievements and limitations. From there, it proposes viewpoints, principles, and solutions for innovation in Vietnam’s economic growth model in the coming years. The CPV’s theoretical thinking on the renewal of the economic growth model has been formed and developed in association with the comprehensive national renovation process from 1986 to the present. This development is a process of continuous movement, both originating from the internal requirements of the economy and adapting to the international context, reflecting the creativity in applying and developing Marxism-Leninism and Ho Chi Minh’s thought in Vietnam’s reality. Nearly 40 years of Doi Moi have proven the CPV’s correctness and creativity in economic development orientation. Vietnam’s economic growth model has shifted from dependence on cheap labor and resource exploitation to one that relies more on science, technology, and innovation. However, limitations in productivity, quality, and competitiveness indicate that renewal of the growth model remains an inevitable and urgent requirement.
Level of the impact on capital adequacy ratio when banks announce the adoption of Basel III - The difference-in-differences method’s approach
This study yields empirical results from 23 commercial banks divided into two groups: a group of 12 commercial banks exclusively applying Basel II and a group of 11 commercial banks that announced the implementation of the Basel III management framework. The analysis covers the period from 2020 to the second quarter of 2024, employing the difference-in-differences regression method. The findings indicate no significant difference in the impact on the capital adequacy ratio between commercial banks announcing Basel III implementation and those that continued applying Basel II. Based on these empirical results, the study identifies specific characteristics of the research sample and proposes appropriate measures within the context of current roadmap encouraging Basel III adoption among commercial banks in Vietnam.
Factors affecting export turnover of Vietnamese fresh fruits to Asian market
This research aims to explore the determinants of export turnover of fresh fruit from Vietnam to the Asian market in the period 2007-2020. The selected market countries are the Asian countries and territories that import the largest fresh fruit from Vietnam. Gravity model is applied to clarify nine factors affecting fruit export turnover, including: the economic size of both Vietnam and the importing country, the economic development gap, geographic distance, fruit acreage, maximum pesticide residue levels, participation in the WTO and free trade agreements, and the climate of importing countries. The two factors of tariff and Vietnam’s global competitiveness index do not show statistical significance.
Northern Vietnam’s coastal fishing villages and their potential for attracting tourists
This study analyzes and evaluates certain characteristics and tourism potential of coastal fishing villages in Northern Vietnam. Using both secondary and primary data collected through representative surveys across some of the fishing villages, the findings reveal that while natural resources constitute a key attraction for visitors, the limited availability and quality of tourism services diminish the overall appeal of these destinations. To address this problem, management authorities, local governments, and community stakeholders should focus on enhancing the tourism attributes of these destinations, preserving local culture, developing traditional seafood cuisine, promoting destination branding, and fostering a hospitable environment for visitors.
Transmission mechanisms of credit growth quota on Vietnam’s economic output
The credit growth quota policy, introduced by the State Bank of Vietnam in 2011, functions as a a macroprudential instrument directly constraining the lending capacity of individual banks. While primarily designed to safeguard financial stability, this policy exerts spillover effects on economic output. This research investigates the impact of credit growth quota on Vietnam’s economic performance and the transmission mechanisms. Using multivariable regression techniques on quarterly time series data from the first quarter of 2005 to the third quarter of 2023, the analysis reveals that credit growth quota has a positive impact on output through the financial stability and the credit channels, but a negative impact through the real lending rate channel.
Management decentralization in public investment and economic growth in Vietnam
Empirical evidence obtained using a vector autoregressive (VAR) model with quarterly data from the first quarter of 2014 to the third quarter of 2024 indicates that 1% increase in public investment management decentralization raises Vietnam’s economic growth rate by 0.5% in the initial quarter. However, the effect diminishes and decays after eight quarters. At subnational tiers, decentralization at province and district tiers contributes positively to economic growth, whereas decentralization at commune tier exerts a negative effect. This result can be attributed to the fact that decentralization is most effective at province tier, where decision-making authority is appropriately aligned with investment responsibilities. While decentralization at district tier remains beneficial, its impact is weaker, and becomes least effective at commune tier.
A model for attracting investment capital to enhance transport connectivity with Vietnam’s Mekong Delta expressway network: an application of the Fuzzy Analytic Hierarchy Process
By applying the Fuzzy Analytic Hierarchy Process (Fuzzy AHP), this study develops a model for attracting investment capital to enhance transport connectivity with the expressway network in Vietnam’s Mekong Delta. The analysis identified five main factors affecting investment capital attraction: government and local policy support, efficiency and potential for regional economic development, the existing infrastructure system, business environment, and technology and innovation in the transportation industry. The results show that investment support policies are the most influential factor, followed by the region’s economic development potential. The research proposes strategic recommendations to improve the policy framework and promote economic development, creating favorable conditions for attracting investment capital into the expressway network and contributing to the sustainable development of the Mekong Delta.
Infrastructure investment and household income in Vietnam Mekong Delta region
This paper applied a difference-in-differences estimator to measure the impact of infrastructure investment on household income in the Mekong Delta region, Southern Vietnam, using the data from the Vietnam Household Living Standard Survey (VHLSS) for 2016 and 2018. The results indicate that reinforcing canals has a positive effect on improving household income, whereas the evidence regarding the effectiveness of bridge and road projects remains inconclusive. The study also points out that infrastructure investment requires the coordinated planning of projects to achieve the best results for the people in the Mekong Delta region.
Analysis of barriers to implementing the circular supply chain in the Vietnam textile industry
The circular supply chain model has emerged as a trend in numerous countries, garnering significant interest, including Vietnam, owing to its substantial economic, social, and environmental benefits. Nevertheless, implementing a circular supply chain in the textile industry encounters numerous challenges. This research analyzes barriers to implementing the circular supply chain in Vietnam’s textile industry employing the Analytic Hierarchy Process (AHP) and Decision-Making Trial and Evaluation Laboratory (DEMATEL) methods. This research identifies key barriers, which are then prioritized for resolution, ultimately facilitating the proposal of a circular model. The result highlights that the barrier of insufficient financial resources has the highest weight, followed by lack of government support and technology transfer, considered top priorities for successfully implementing a circular supply chain in the Vietnamese textile industry.
A study on the enablers of foreign direct investment inflows from the Republic of Korea into Haiphong, Vietnam
oreign direct investment (FDI) plays a crucial role in the economic development of Haiphong, Vietnam, particularly given the city's strategic position as an industrial hub in Northern Vietnam. This study aims to identify and prioritize the factors influencing FDI inflows from Korea into Haiphong. Leveraging the Fuzzy Analytic Hierarchy Process (Fuzzy AHP) method, the research incorporates insights from a survey of 30 experts in the field to systematically evaluate and rank the importance of various factors. The findings indicate that infrastructure-related factors, including industrial, transport, and logistics, are the most significant determinants of FDI inflows. Human resources, particularly the availability and quality of skilled labor and the quality of institutional frameworks, though important, are assigned a moderate weight. These results provide valuable insights for policymakers and stakeholders in enhancing Haiphong's attractiveness to foreign investors.
Economic inequality over financial cycle in Vietnam
The paper investigates the dynamics of economic inequality over the financial cycle in Vietnam using the Hodrick-Prescott decomposition and one timeseries sample from 2000 to 2022. Research results record that economic inequality has a timely switching regime, being lowly correlated with the financial market over 2000-2010 but highly correlated over 2011-2022. Economic inequality also has a fragmentation in the sense that it is differently correlated with different components of the financial cycle. Combining these two characteristics, economic inequality is closely related to the credit growth rate over 2000-2010, then turns to be more related to the gold price change rate over 2011-2022. This evidence also suggests the employment of a switching regime model to analyze the economic inequality in Vietnam in future research avenues.
Examine the impact of inflation on economic growth
In research and economic management, a comprehensive understanding of the correlation between GDP growth and inflation is of paramount importance. This paper uses the Bayesian model averaging to examine whether the impact of inflation on long-run economic growth is robust to alternative model parameters. The empirical results show that the relationship between inflation and economic growth is non-linear and the optimal inflation rate is 4.07 percent. Inflation below the threshold of 4.07 percent exhibits a positive but statistically insignificant impact on economic growth; inflation above the threshold of 4.07 percent has a negative yet negligible impact on economic growth. The authors’ findings differ from previous findings in eliminating the effects of inflation when instrumental variables are used.
Effects of export and capital intensity on labor productivity of small and medium-sized enterprises in Vietnam
This study examines the moderating role of ownership in the impact of exports and capital intensity on the labor productivity of small and medium-sized enterprises in Vietnam, applying the Learning By Exporting theory and Neoclassical Growth theory. The study employs data extracted from the SME survey dataset provided by the General Statistics Office of Vietnam and a linear regression model estimated using the ordinary least squares method to test the hypotheses. The findings show that the positive impact of exports and capital intensity on labor productivity of enterprises with family ownership is smaller than that of enterprises with other ownership forms.
Analyzing the role of provincial governance and public administration performance on local economic development in Vietnam
This article analyzes the correlation between provincial governance and public administration performance (PAPI) and the local economic development in Vietnam. Empirical results show that the PAPI positively correlates with per capita income and reduces poverty. Analysis of PAPI’s components also indicates that the control of corruption, participation of the people at the grassroots, the level of accountability and transparency, and improvement of public administrative procedures significantly impact local poverty reduction. From the above research results, if local governance’s effectiveness increases, the per capita income will grow and the poverty rate will decrease.
Impact of foreign direct investment on employment: A case study of Vietnam
Vietnam is an attractive destination for foreign direct investment (FDI), with job creation a significant benefit. This study utilizes data from the 2007 and 2011 Vietnam Enterprise Survey (VES) to explore the empirical relationship between FDI and employment in Vietnam. The findings reveal diverse impacts of FDI on employment. Specifically, the horizontal spillover effect of FDI positively influences employment, whereas the forward and backward vertical spillover effects show a negative impact. These results underscore the heterogeneous nature of FDI's impact on employment dynamics. Drawing from these insights, the study proposes several policy recommendations to optimize the benefits of FDI for Vietnam.
Economic growth and macroeconomic stability of Vietnam in the 2001 - 2023 period
This article shows the development of Vietnam’s economic growth in the period 2001-2023 and the relationship between economic growth and variables measuring macroeconomic stability, including the inflation rate - an important indicator in evaluating the level of macroeconomic stability and the trade balance and budget balance - two other major indicators in the economy. Studies using econometric models for data sets of many countries have shown an inverse relationship between the inflation rate and economic growth or that if the inflation rate exceeds a certain threshold, inflation will adversely affect economic growth. Using the descriptive statistics method for Vietnam’s data for the period 2001-2023 also shows this inverse relationship. Besides, the statistical relationship between economic growth with the trade balance and budget balance leads to the conclusion that maintaining macroeconomic stability, controlling inflation, and ensuring major balances of the economy as a current priority of the Government is an essential condition in promoting economic growth and contributing to helping the economy overcome difficulties and adverse shocks.
Impact of digital transformation on Vietnam’s economic growth
This research examines the impact of digital transformation on Vietnam’s economic growth. The findings reveal that digital transformation positively influences economic growth through the improvement of digital infrastructure. Nevertheless, this research did not identify the impact of digital transformation on economic growth when viewed from the perspective of information technology application and human resource infrastructure. The author believes that reviewing and assessing information technology applications and human resource infrastructure must be practical and effective to improve economic growth.
The Key Influencing Factors of Vietnam's Economic Integration into the Global Economy
This article examines the key factors, influencing Vietnam's international economic integration, tracing its journey from the Renovation (Doi Moi) reforms to becoming an important player in the global economy. Key domestic reforms, such as equitization (privatization), deregulation, and infrastructure development, have laid the foundation for Vietnam’s rapid growth. The country’s active participation in international trade agreements, including the WTO and recent free trade agreements has opened significant opportunities for export and import, enabling a deeper economic integration process. Foreign direct investment has played a crucial role in the expansion of Vietnam's manufacturing sector, contributing to its industrial growth, improvement of managerial skills, and technology transfer. Geopolitical shifts, stemmed from the U.S.-China trade war, the Covid-19 pandemic, and geopolitical tensions have also accelerated supply chain realignment, benefiting Vietnam. Despite its integration progress, Vietnam faces multifaceted challenges such as environmental degradation, labor rights issues, and infrastructure gaps. The article emphasizes that addressing these obstacles will be critical for Vietnam to sustain its economic momentum and deepen its global integration in the coming years.
Developing the Forest Carbon Credit Market in Vietnam: Current Situation and Policy Recommendations
For decades, carbon markets have been seen as an important tool of the solution to climate change. This study evaluates the legal and policy framework of Vietnam’s carbon credit market in general and forest one in particular and its practical development issues in the country; moreover, it sheds light on the pilot implementation of the forest carbon credit market in practice at the local level, identifying main challenges for and difficulties in upcoming market development. Based on current circumstances and the policy agenda of the market development, the paper provides policy recommendations to overcome the aforementioned challenges and promote the development of the Vietnam’s carbon credit market in the next decade.