Reviewing Vietnam’s Economic Reforms since the CPV’s Twelfth Congress

Abstract

This essay provides an initial assessment of the efforts by Vietnam’s new government to fulfil such a mandate. It argues that contrary to the public’s uncertainty about his policy inclinations before the CPV’s Twelfth Congress, PM Phuc has proven to be an active, reform-minded, and business-friendly leader. Various measures to resolve legacy problems left by the previous administration and to improve the business environment have brought about positive changes. However, Mr Phuc’s government is still struggling to address Vietnam’s longstanding economic woes, such as the weak banking system, the underperforming state-owned sector, and the fast-expanding budget deficit. Despite some initial achievements, challenges for the government in the next four years remain substantial.