(MPI) - With topics “Leveraging Productivity Growth for Sustainable Development”, Vietnam Development Forum 2017 (VDF 2017) will take place on 13th December, 2017 in Hanoi, Minister of MPI and World Bank Director in Vietnam will co-host the forum. Prime Minister Nguyen Xuan Phuc is expected to attend and have a speech at the Forum.
Prime Minister Nguyen Xuan Phuc attendedVDF 2016. Ảnh: MPI
From the year 2010, Vietnam entered the middle income country category. This development also posed new development challenges for Vietnam, namely the challenge to overcome the middle income trap that many countries have encountered.
VDF 2017 will analyze the situation and obstacles of increasing productivity in Vietnam, thereby put forward specific solutions for boosting productivity improvement, that is one of the long-term solutions for Vietnam development, to overcome the middle income trap and to catch-up the developed economies in the coming time when the historic role of the factors that acted as a driving force for growth in the past, such as capital, labor, natural resources…, to date has been basically promoted in the early stages of development.
This is a new issue in Vietnam, so The Ministry of Planning and Investment coordinated with development partners and related agencies to invite domestic and foreign prestigious experts for analyzing this issue in depth, sharing the experience of advanced countries to develop productivity policies for Vietnam.
Beside the middle income trap challenge, Vietnam is also facing a risk of lagging behind. According to research from Vietnam Report 2035, Vietnam will have to take eighteen years and maintain its annual GDP growth at minimum of 6% to get per capita income equaling that of Malaysia in 2010 (18,000 $), or take seven years with minimum annual GDP growth of 7% to reach per capita income of Korea in 2003 (24,000$).
To overcome the trap, avoid the risk of lagging behind, Vietnam needs to exploit and promote new growth drivers. Experiences of fast and sustainably growing economies in the world show that increasing productivity is one of the central factors and motivation for sustainable and breakthrough development of a country. However, this factor has showed signs of slowing down in Vietnam recently. If there aren’t any basic reforms to increase productivity, Vietnam will be likely to lag behind other economies in the region and fall into the middle income trap.
For above-mentioned purposes, the Forum expects to achieve specific results such as: helping the government agencies and localities with important economic production activities in the economy, business community and research organizations, press agencies understand primary content, the role and importance of productivity growth in promoting and maintaining rapid and sustainable development; proposing solutions to increase productivity for Vietnam based on domestic and international experiences.
Based on the discussion content of the Forum, Prime Minister Nguyen Xuan Phuc will conclude and assign the Ministries, branches, relevant organizations and the business community, scholars to implement solutions to increase productivity in the economy, to build the action plan to promote and implement the roadmap for increasing productivity of the economy with specific deadlines and objectives.
At the same time, he will invite development partners to take part in implementation of the national action plan for productivity growth in company with the Government of Viet Nam.
The Forum will consist of two sessions. Session one with topic “Productivity growth: Global Trends and Vietnam challenges” will discuss the overall issues related to productivity growth, the fundamental problems of increasing productivity in the world and the reality in Vietnam.
In the session two with topic “Unlocking Vietnam’s Productivitity Growth for Sustainable Development”, the international experts will present very specifically about the solutions to increase productivity in important branches and fields of Vietnam economy./.
Ministry of Planning and Investment