Vietnam – Bridgehead to ASEAN Economies

In terms of population or economy, Vietnam is not the smallest or biggest among ASEAN members, however it is regarded as the bridge between ASEAN economies.

Vietnam in the development of ASEAN

In fact, the link with ASEAN plays an important part in the reform and development of Vietnam. Economically, ASEAN members are not world leading economies but they have promoted trade and investment and contribute to the growth of Vietnam.

Since the early 1990s, Vietnam-ASEAN relations have been consolidated and developed, especially when Vietnam became a full fledged member of ASEAN and abides by commitments of ASEAN free trade area. ASEAN is the real training ground where Vietnam can learn experiences and ground rules of businesses. The experiences have helped Vietnam sign a series of important agreements and accede to WTO.

Vietnam-ASEAN cooperation, especially in trade and investment, is growing stronger and stronger. ASEAN has become the biggest partner, accounting for 20 percent of Vietnamese trade. More developed countries in ASEAN are important investors in Vietnam. It is the strong lever for the development of Vietnam, said Dr. Vo Tri Thanh.

Asia is increasing economic integration. ASEAN and many other countries have signed bilateral trade agreements such as ASEAN-ROK, ASEAN-China, ASEAN-Japan, ASEAN-India. The new institutions help Vietnam develop better relations with ASEAN members and other countries in East Asia.

Vietnam has transformed from a centrally planned economy to a market economy, from a poor country trying to a middle income country with sustainable development. Laos and Cambodia in the region are making the same efforts. Evidently, cooperation for development is a good experience and can be shared by other countries. Meanwhile Vietnam can exchange and learn the experiences of other countries.

Three things to be done in 2010

With the theme: Leading to ASEAN community: From vision to action, and ASEAN chairmanship, Vietnam is determined to promote the image of a nation of action, making an ASEAN of stability and development. Dr. Thanh believes that Vietnam should do three important things this year.

One, to implement Plan of Action and agreements more effectively and efficiently. This is important because ASEAN is regarded as a weak institution.

Two, in regards to the integration process, ASEAN members must lift border barriers for trade and investment. This question relates to the political will and efforts of each nation. Therefore, nations can learn from each other’s experiences.

Three, infrastructure must be developed to save service expenses and promote trade and investment. This is also an ASEAN weakness. Less developed countries like Laos, Vietnam, Cambodia and Myanmar have big interests on this point.

With geo-political and geo-economic positions in ASEAN and East Asia regions Vietnam is regarded as a good bridgehead among the economies. Vietnam’s voice can create consensus among ASEAN for integration and development in line with the ASEAN Charter. Naturally in the course of implementation, there might be some unwanted incidents, we can regulate the plan of action, Dr. Thanh said.

Dr. Vo Tri Thanh, Deputy Head, Central Institute of Economic Management, also said that when Vietnam first established relations with ASEAN, it was more of political nature, and gradually the economic relations have been promoted and developed.

VOVNews

Tags: Vietnam asean cooperation