Vietnamese Prime Minister Calls for Investment Reforms and Fewer Public Investment Projects

Responding to National Assembly deputies’ questions about raising funds for growth, Vietnamese Prime Minister Lê Minh Hưng said the first priority in attracting foreign direct investment, foreign indirect investment and private capital is to improve the institutional framework. The legal framework should be open, transparent and easy to implement, align with international practices and standards, and protect investors’ lawful rights and interests.

Lê Minh Hưng said a stable macroeconomic foundation and the maintenance of major economic balances are also vital to investor confidence. For foreign direct and indirect investors, especially investment funds and providers of medium- and long-term capital, the government will develop financing tools and advance financial centers in Ho Chi Minh City and Da Nang. The use of funds must also be supported by inspection and oversight mechanisms.

Vietnamese Prime Minister Lê Minh Hưng discusses improving an open, transparent and easy-to-implement investment framework.（VietVance）

On public investment, Lê Minh Hưng said Conclusion No. 18 of the second Central Committee meeting calls for the number of projects to be controlled and reduced by at least 30%. Project numbers fell sharply during the previous term; according to a Finance Ministry report, there are currently just over 3,000 public investment projects funded by the central budget.

Public investment projects will be selected in accordance with the Central Committee’s full-term work program and National Assembly resolutions, with priority given to projects that drive development across regions and to essential infrastructure in transport, key science and technology fields, and agriculture. Lê Minh Hưng said controlling project quality and accelerating investment would help direct funds toward growth and encourage private and foreign investment.

Source: VietVance