Vietnamlawmagazine

Infrastructure for urban and industrial zones and universities should be planned in a more coordinated manner at regional levels, said Vo Dai Luoc, former director of the Institute of World Economics and Politics, at a workshop on restructuring public investment on May 3 in Hanoi.

Luoc said more public investment should be focused in areas which offer economic advantages and strong potential to generate returns.

The Government needed to bring its laws on public spending up to international standards and norms, as well as revise its laws on tendering, construction, state budget, land use rights and corruption, he added.

Vietnam Institute of Economics Director Tran Dinh Thien agreed restructuring the economy meant restructuring sectors, regions and institutions with the primary target of changing resource distribution.

Vietnam has had opportunities and a huge potential to develop since joining the WTO, yet its economic development has been imbalanced, falling into high inflation and instability, Thien said.

“A new growth model would help the economy avoid the average income trap and ensure Vietnamese businesses effectively participate in the global value chain,” he added, suggesting the new model be based on the pillars of high technology, skilled labor and international associations.