Show simple item record

Vietnam’s Low National Competitiveness: Causes, Implications and Suggestions for Improvement

dc.contributor.authorQuoc Phuong Le
dc.description.abstractThe World Economic Forum’s (WEF) annual assessment using the Global Competitiveness Index (GCI) since 2006 shows that Vietnam’s national competitiveness has been relatively low. Globally, Vietnam has been in the middle of economies surveyed. Regionally, Vietnam has been in the middle of ASEAN countries. Regarding level of development, before 2015 Vietnam was in stage 1 (factor-driven), which includes ASEAN’s less developed countries (Cambodia, Laos and Myanmar). Since 2015 Vietnam has shifted to a transition toward stage 2 (efficiency-driven), which includes Brunei and the Philippines. The country has lagged behind Indonesia and Thailand (in stage 2), Malaysia (in transition to stage 3) and Singapore (in stage 3, innovation-driven). To complement the WEF’s assessment, this study provides some in-depth analyses of main causes of Vietnam’s low competitiveness. These are structural problems due to its factor-based growth model, expansionary policies to aid growth, slowly improved business environment, low R&D expenditure, low-quality higher education and under-developed infrastructure. The research also examines implications of these shortcomings for Vietnam. These are low productivity, diminishing GDP growth, middle income trap, macroeconomic instability, low business competitiveness, low technology level, low human capital quality and environmental degradation. Based on the analyses, policy measures are proposed to improve Vietnam’s competitiveness. Major suggestions include structural reforms to change the growth model from factor-based to productivity-based, raising technology level, enhancing human capital quality, improving business environment, ensuring macroeconomic stability, upgrading infrastructure and learning from advanced economies such as Korea.
dc.publisherKorea Institute for International Economic Policy
dc.titleVietnam’s Low National Competitiveness: Causes, Implications and Suggestions for Improvement
dc.typeWorking Papers
dc.subject.expertGlobal Development Learning Network
dc.subject.expertGlobalization And Development
dc.subject.expertInternational Development Strategy
dc.subject.expertPolicy Development
dc.subject.expertHuman Capital Development
dc.subject.expertHuman Development
dc.subject.expertHuman Resources Development
dc.subject.expertSkills Development
dc.subject.expertManagement Development
dc.subject.expertVocational Education
dc.subject.adbCurriculum development
dc.subject.adbEducational aid
dc.subject.adbEconomic development
dc.subject.adbIndustrial projects
dc.subject.adbCareer development
dc.subject.adbVocational education
dc.subject.adbVocational training
dc.subject.adbTechnological institutes
dc.subject.adbJob searching
dc.subject.adbLabor market
dc.subject.adbWork experience programs
dc.subject.naturalBusiness planning
dc.subject.naturalHuman rights and globalization
dc.subject.naturalOccupational training
dc.subject.naturalTechnological innovation
dc.subject.naturalLabor and globalization
dc.subject.naturalManpower policy
dc.subject.naturalLabor policy
dc.subject.naturalRural manpower policy
dc.subject.naturalCareer academies
dc.subject.naturalProfessional education
dc.title.seriesKIEP Working Paper
dc.contributor.imprintKorea Institute for International Economic Policy
oar.adminregionSoutheast Asia Region
oar.countryViet Nam
oar.authorLe, Quoc Phuong

Files in this item


This item appears in the following Collection(s)

Show simple item record