PM Describes the Advantages and Challenges of Joining WTO

As part of the world's largest trade body, Vietnam would gain access to commodity and service markets in all WTO member states, with lower tariffs, non-discriminatory treatment in line with their admission protocols, Dung wrote.

 

Vietnam's investment environment would be further improved because the country has adapted its laws in conformity with a socialist-oriented market economy and made its administrative institutions more transparent in conformity with WTO regulations, Dung stressed.

 

He added that, on entering the WTO, the nation would gain an equal footing with other WTO member countries and join the fight for a new economic order which is more rational and conducive to the interests of the nation and business.

 

According to Dung, although Vietnam has been active in renewing and reforming economic institutions to fully utilise internal resources and integrate into the outside world, it is the admission to the WTO and integration into the world economy that would most strongly promote reform and ensure Vietnam's renewal process would press ahead comprehensively and effectively.

 

Together with historic achievements over the past 20 years of renewal, accession to the WTO would heighten Vietnam's prestige in the international arena and help it carry out foreign policy more effectively.

 

"While being clearly aware of the opportunities created by WTO entry, we should realise the challenges that we have to confront, especially when the country is at a low development level with weaknesses in State administration," Dung emphasised.

 

He pointed out that these challenges stemmed from the disparity between the nation's internal capacity and the requirements of integration. Competition would become fiercer with the presence of more "rivals".

 

The distribution of interests brought about by globalisation was not equal, Dung reckoned, stressing that this required the country to have correct welfare and social security policies and to grasp and thoroughly implement the Party's policy of "promoting economic growth in parallel with reducing poverty, and properly executing social progress and justice in each step of development."

 

Under globalisation, the interdependence of countries would grow. Dung wrote, adding that it posed a not insignificant difficulty for Vietnam in that the country has not yet developed a complete legal system and still lacked experience under a market-driven economy.

 

International integration would also pose new questions on environmental protection, national security and preserving cultural identity and traditions in the face of the global pursuit for a material lifestyle, Dung added.

 

The PM also mentioned that the Party Central Committee's fourth session would be held later this year and would discuss major policies and guidelines for achieving fast and sustainable growth as a WTO member.

 

A number of goals had already been identified to define these policies including:
1. Continuing to complete the legal system and administrative system in order to quickly form uniform elements of a market economy and provide a legal foundation for the implementation of commitments to the WTO;

2. Streamline administrative procedures and eliminate unnecessary procedures in order to shorten the time required for the establishment of enterprises and their participation in the market, helping commodities and services enter the market as soon as possible;

3. Reorganising State administrative agencies by ensuring co-ordinated and inter-industry vision and eliminating overlap and inefficiency in the formation and operation of administrative institutions;

4. Developing human resources through an educational reform strategy focusing on curricula, teaching methods and examination systems at all educational levels;

5. Focusing on the development of transportation and energy infrastructure with all possible resources, including foreign investment;

6. Hastening economic restructuring for agricultural and rural areas, gradually shifting agricultural workers to jobs in industrial production and services, and increasing the budget for agriculture and rural areas, shifting financial support formally reserved for the export of farm products towards developing irrigation and rural transportation;

 7. Developing all forms of services with a focus on high value-added services, financial and banking services, telecommunications, tourism, and consultancy services;

8. Promoting areas with existing competitive advantages and potential for market expansion;

9. Speeding up the re-organisation of State-owned enterprises, encouraging investment in production and business and the development of forms of enterprises, and supporting small-and medium-sized enterprises;

10. Enhancing the competitiveness of Vietnamese enterprises;

11. Ensuring the leadership of the Communist Party of Viet Nam to uphold the spirit of national independence, autonomy, sovereignty and development.