Vietnam's top 10 economic developments of 2019

1. Politburo investment, digitalization resolutions

On August 20, the Politburo issued Resolution 50-NQ/TW on orientations in perfecting institutions and policies and improving the quality and effectiveness of attracting foreign direct investment (FDI) until 2030. It details Vietnam’s priorities in FDI attraction, which focus on projects that apply new, high and clean technologies, practice modern governance and have high added value, and connect with global production and supply chains.

Resolution 52-NQ/TW on guidelines and policies for participation in the fourth industrial revolution was issued on September 27, aiming to turn Vietnam into one of the leading Asian hubs for startups and innovation by 2045.

2. GDP growth among fastest in the region

Amidst growing competition in the region and the world, Vietnam posted gross domestic product (GDP) growth of 7.02 percent in 2019, higher than the National Assembly’s 6.6-6.8 percent target. Vietnam hopes that if it continues tapping its potential and adopting more open policies, it can maintain GDP growth of more than seven percent in the coming years.

3. Total import-export turnover surpasses US$500 billion

The US$500 billion mark in import-export turnover reflects the continuous efforts of the Vietnamese government, the Ministry of Industry and Trade and other ministries, departments and localities to maintain macroeconomic stability and improve the business environment to create an impetus for further development of the business sector, effectively exploiting traditional markets and expanding new ones.

4. Two major free trade treaties

The effect of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) and signing of the EU-Vietnam Free Trade Agreement (EVFTA) mark an important milestone in Vietnam’s international economic integration, showing its strong commitments to market opening and affirming the country’s importance in Southeast Asia and the Asia-Pacific region.

5. Major transportation projects

The National Assembly approved a government resolution on the feasibility report for phase I development of the Long Thanh International Airport. The plans include building a runway, a terminal and other components to serve 25 million passengers and 1.2 million tonnes of goods each year. The resolution limits investment in the airport development project to VND336.63 trillion.

On September 16, Prime Minister Nguyen Xuan Phuc marked the start of construction of the Cam Lo-La Son expressway traversing the central provinces of Quang Tri and Thua Thien-Hue. It is the first of 11 sub-projects for the eastern north-south expressway project. With a total length of about 654km, the project will play an important role in easing pressure on National Highway 1, improving the transportation infrastructure, and creating more momentum for socioeconomic development.

6. African swine fever spreads nationwide

About six million pigs weighing nearly 325,000 tonnes have been destroyed, accounting for more than eight percent of the nationwide herd. Many localities spent several trillions of Vietnamese dong to stop the epidemic, which negatively affected the growth of the agricultural sector.

7. New-style rural areas completed ahead of schedule

After nearly 10 years, the national target program on new-style rural area building has fundamentally changed the face of the Vietnamese countryside, raising farmers’ stature, improving rural living standards and restructuring agricultural production towards modernity and sustainability. Prime Minister Nguyen Xuan Phuc has called on localities and sectors to continue with the work in the 2021-2025 period.

8. Vietnam jumps 10 places in the 2019 Global Competitiveness Report

The 2019 Global Competitiveness Index, issued on October 9 by the World Economic Forum, boosted Vietnam’s ranking by 10 places from 77th in 2018 to 67th, making it the country that has recorded the greatest improvement and marking the first time Vietnam has moved to the upper half of the list of 141 economies.

9. Launch of national public service portal

The national public service portal was officially launched on December 9 at https://dichvucong.gov.vn. Individuals and businesses can log on to all public services at ministerial and provincial level and carry out e-payments. The portal also includes an opinion section for feedback from citizens and enterprises, integrated public services of ministries, agencies and localities, and online supporting services.

10. Combating smuggling, fraud, counterfeiting

The Standing Office of the National Steering Committee for Combating Smuggling, Commercial Fraud and Counterfeit Goods sent a directive document to 11 ministries and departments, asking them for plans to prevent and combat smuggling, and manufacturing and trade of counterfeit goods labeled “Made in Vietnam”. In addition, the Ministry of Industry and Trade has cooperated with relevant ministries and agencies to formulate criteria for goods labeled “Made in Vietnam”.