OECD Investment Policy Reviews OECD Investment Policy Reviews

This publication presents the results of the first OECD investment policy review of Vietnam using the Policy Framework for Investment. The progress Vietnam has achieved in less than two decades in putting into place a legal framework and implementing policies that mobilise private investment, including international direct investment, to support economic growth and the prosperity of Vietnam's citizens has been remarkable. Starting from a situation in which the economy was essentially closed to private and international investment, Vietnam is now considered to be one of the very attractive economies in the world for investment. Nevertheless, Vietnam's economic reform process has not been completed. The Review shows that many challenges lie ahead to foster entrepreneurship and accelerate economic and social progress. The Review's roadmap for further investment policy reform includes streamlining licensing procedures for both foreign and domestic investors; improving communication and co-ordination across national and provincial levels of government; reforming the land market to facilitate their access to SMEs and other investors; enforcing more effective remedies for breach of intellectual-property rights; strengthening competition authorities, ensuring early implementation of WTO commitments in the area of legal, financial and other areas of standard business services; and reducing and unifying tax and other special investment incentives schemes. This review reflects the OECD's mission to help all governments improve their investment climates through peer learning and the sharing of best practices, as well as its resolution to enhance engagement with Southeast Asian partners. It benefited from the support of the Australian Treasury, AusAID and the Ministry of Foreign Affairs of Japan.