In 1988, the Vietnamese Communist Party (VCP) moved away from Soviet-style central planning and toward a more market-oriented strategy, including a commitment to reform, called “Doi Moi”.
Þ In the last 30 years, Vietnam has recovered from the ravages of war, the loss of
financial support from the old Soviet Bloc, and the rigidities of a centrally planned
economy. The country achieved substantial progress from 1986 to 1997.
Þ In 1988 the Vietnamese Communist Party (VCP) moved away from Soviet-style
central planning and towards a more market-oriented strategy and commitment to
reform, which is called “Doi Moi”.
Þ Since 2001, Vietnamese authorities have reaffirmed their commitment to
economic liberalization and international integration. They have moved to implement
the structural reforms needed to modernize the economy and to produce more
competitive, export-driven industries.
Þ Vietnam has moved forward from an extremely low level of development,
significantly reducing poverty. Growth averaged around 9% per year from 1993
Þ GDP growth averaged 6.8% per year from 1997 to 2004, even against the background
of the Asian financial crisis and a global recession, and growth hit 8% in 2005.
Þ Vietnam's membership in the ASEAN Free Trade Area (AFTA) and entry into force of
the US-Vietnam Bilateral Trade Agreement in December 2001 have led to even more
rapid changes in Vietnam's trade and economic regime. Vietnam's exports to the US
doubled in 2002, and again in 2003.