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Trade and Development in Contemporary Vietnam

Trade and Development in Contemporary Vietnam

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The processes of economic reform (Doi moi) beginning in 1986 and of deeper integration commencing in 1995 were the major changes, within which, Vietnam’s international trade regime was re-shaped. After an initially hesitant start in the late 1980’s, the efforts of liberalization have been accelerated since 1995 as the result of Vietnam’s intensified integration into the regional and world economy with its tightening schedule for bilateral and multilateral commitments. Those institutional changes were of strategic importance in the past and will promote a new stage of development in the future. Although being implemented in a cautious and gradual fashion, trade liberalization undertaken by the government of Vietnam up to date could be regarded as successful. The success story of Vietnam in terms of progressive liberalization of trade, spectacular growth and impressive reduction in poverty incidence during the last 20 years could provide a good example of how liberalization of trade regime can be translated into trade expansion, economic growth and poverty reduction.
Doi moi, Trade Reform, and Poverty Reduction