World Bank Continues Support to Improve Vietnam’s Competitiveness with US$250 Million Credit
![h](https://cfi.co/wp-content/uploads/2014/06/h.jpg)
Hanoi, Vietnam
The World Bank’s Board of Executive Directors today approved a US$250 million credit to the Government of Vietnam for the Second Economic Management and Competitiveness development policy operation (EMCC-2) to support the Government’s economic management reforms to enhance the country’s competitiveness.
This second in a series of three such operations is focused specifically on three elements of competitiveness:
(i) strengthening financial sector governance and fiscal management for macroeconomic stability;
(ii) strengthening public administration, SOE management, and public investment management for more transparency, efficiency and accountability in the public sector; and
(iii) strengthening tax and procurement policies and reducing administrative burdens to create a more enabling business environment.
“This program supports reforms that should help address some of the binding constraints to private sector investment. Promoting a stronger role for the private sector in the economy is critical for Vietnam’s future growth.” says Victoria Kwakwa, the World Bank Country Director for Vietnam.
The first EMCC supported a number of pieces of legislation and government decisions to promote reforms including Prime Ministerial decisions to restructure General Corporations and State Economic Groups; strengthen supervision in the banking sector; and strengthen the institutional framework for debt management. The Laws on Tax Administration and Anti-Corruption were amended to introduce new provisions aimed at improving public administration.
The EMCC-2 builds on these to promote increased foreign participation in the banking sector and adopt a plan to address NPLs; strengthen medium-term debt management and improve the efficiency of public financial management; promote restructuring of State Economic Groups and improve SOE transparency; and strengthen the legal framework for public procurement, value-added tax and corporate income tax.
You may have an interest in also reading…
Germany: Immigrant Workers Benefit Economy
Germany’s opposition to British attempts to limit the freedom of movement within the European Union is grounded in economic self-interest
CBI: The Only Way is Exports
As official trade figures disappoint yet again, the Confederation of British Industry is unveiling a new package of export-boosting measures
European Commission: Helping SMEs Seize Global Opportunities
The priority for Europe now is to overcome the crisis boosting competitiveness and growth. Fast growing emerging markets such as