Vietnam is working hard to improve itself in order to become a reliable business partner, Prime Minister Nguyen Xuan Phuc said at the Vietnam Business Summit (VBS) 2017 in Danang City on November 7.
He told VBS, which was part of the APEC Economic Leaders’ Week in Danang, that an AmCham Singapore survey conducted in September 2017 showed 56% of respondents said Vietnam is their best trade partner.
Economic reforms have made Vietnam one of the fastest growing economies in the world, with average gross domestic product (GDP) growth of 7% a year. The country’s income per capita in 2017 has edged up to US$2,300, or US$6,800 based on the Purchasing Power Parity.
The Vietnamese middle class has grown rapidly, fueling domestic consumption and opening up business opportunities for investors.
PM Phuc said Vietnam ranked 55th out of 137 countries in the World Economic Forum’s Global Competitiveness Report for the 2017-2018 period, and 68th out of 190 countries in the World Bank’s Doing Business Report released on October 31, 2017.
In the 2007-2016 period, household expenditures grew 16% a year and accounted for 67.3% of the country’s GDP, making domestic consumption a driving force for economic growth.
By 2020, he added, Vietnam will be among the countries having the largest numbers of
mobile users in the region, presenting a new opportunity for investors to come to the country for business and investment.
The Vietnamese Government has a strong determination to improve itself so that it can help individuals and organizations to grow businesses, he said. Particularly, the Government will try to further improve the legal framework, promote private business, ensure sustainable development, narrow the income gap between rich and poor, develop healthcare and education, improve social security, and protect vulnerable groups in the economic development process.
The country will also foster innovation and entrepreneurship by propping up startups. “We are calling for investors’ stronger engagement and investment funds’ early-stage financing for startups,” Phuc said.
In addition, Vietnam will reform its tax system to improve the competitiveness of the economy, and this system will meet the requirements of transparency, equality and efficiency set by the Organization for Economic Co-operation and Development, he said. Corporate income tax will be cut from 20% to 15-17% to help businesses grow.
According to the Government news website, VBS 2017 themed “Vietnam: We Mean Business” was held at the Ariyana Convention Centre, with more than 2,000 domestic and foreign businesses attending.
World Bank Vice President for the East Asia and Pacific Region Victoria Kwakwa, Philipp Rösler, managing director of the World Economic Forum, and Vu Tien Loc, president of the Vietnam Chamber of Commerce and Industry were also present at the summit.