16:09 | 10/01/2014 Trade
(VEN) - In the framework of the post-WTO accession Technical Assistance Program, the Office of National Committee for International Economic Cooperation launched a program on building economic integration indexes at provincial and city levels under the Improving management and coordination capabilities for international economic integration project to evaluate the developments and international integration capabilities of localities across the country.
Defining levels of international economic integration
The 2013 report on international economic integration capability of localities assessed actual situations in local economies with the rest of the world through a general province-level economic integration index. This was the second year the index was announced and the first year the report was made on all 63 cities and provinces.
The main targets of the report were to define economic integration capability of each province and the impacts of integration on the provincial growth and evaluate the strategic visions of those provinces to make necessary adjustments. More importantly, it provided a comprehensive overview on the provincial integrations and reach unanimity to plan socioeconomic development suitable with each region.
Main indicators used in the report were capital and technology, migration, workforce attraction and tourism. To be considered as attractive, a locality will be able to attract resources like tourists, investment for production expansion, migrants and foreign currencies through export.
The features of an attractive locality were determined and generalized into a model including eight key factors, which could both attract power resources from outside and reflect actual situation of the existing factor. A simple integration model is measured based on approaches of power resources moves between the locations in terms of quality, volumes and intensity to see if the global socioeconomic integration is weak or strong.
Evaluating local potentials and advantages
In reality, there are many research works relating to levels of economic integration of nations and localities. Each work has its own bases, but in general they came to a point that evaluation of economic integration capacity of localities is an issue of great interest, from building local images in people’s mind to evaluating the levels of economic integration of those localities compared with others in the same nation. On the basis of researching related models, the report has adjusted some assessment criteria in the index model to serve the evaluation of economic integration capacity of localities in accordance with the actual international economic integration of Vietnam.
Meanwhile, the eight key elements were analyzed to find out the strength of each factor. Different from other research that only evaluated the research subject, this time the research team evaluated the subject based on real demand. The evaluation of the weak or strong levels of economic integration was not the main target of this report, but its criteria and indexes are reliable figures for the localities’ references to assess their potentials and advantages in order to draft and adjust integration policies.
Evaluating the suitability between local strategic visions with current integration capability to make necessary adjustments for sustainable integration and development is also a prerequisite condition targeted by the report./.
Nguyen Thanh Trung & Research team