VIETNAM

The economy of Vietnam is a developing mixed economy. Over the past 20 years, Vietnam has made a shift from a centrally planned economy to a Socialist-oriented market economy.  Over that period, the economy has experienced rapid growth. With strong economic development and strong support industries, the country's industrial production has grown and diversified rapidly both in the long established and newly emerging industries.  The government has placed emphasis on attracting investment in six key sectors that have been determined as the country's developmental objectives. These six target industries include: agriculture and agro-industry, alternative energy, automotive, electronics and ICT, fashion, and value-added services including entertainment, healthcare and tourism.

Location

Southeastern Asia, bordering the Gulf of Thailand, Gulf of Tonkin, and South China Sea, alongside China, Laos, and Cambodia

Climate

Tropical in south; monsoonal in north with hot, rainy season (May to September) and warm, dry season (October to March)

Natural Resources

Phosphates, coal, manganese, bauxite, chromate, offshore oil and gas deposits, forests, hydropower

Population

86,967,524 (July 2009 est.)

Ethnic Groups

Kinh (Viet) 86.2%, Tay 1.9%, Thai 1.7%, Muong 1.5%, Khome 1.4%, Hoa 1.1%, Nun 1.1%, Hmong 1%, others 4.1% (1999 census)

Religions

Buddhist 9.3%, Catholic 6.7%, Hoa Hao 1.5%, Cao Dai 1.1%, Protestant 0.5%, Muslim 0.1%, none 80.8% (1999 census)

Languages

Vietnamese (official), English (increasingly favored as a second language), some French, Chinese, and Khmer; mountain area languages (Mon-Khmer and Malayo-Polynesian)

National Holiday

2^nd September

Currency

Dong (VND)

Fiscal Year

Calendar year

Agriculture products: Paddy rice, coffee, rubber, cotton, tea, pepper, soybeans, cashews, sugar cane, peanuts, bananas; poultry; fish and seafood.

Industries: Food processing, garments, shoes, machine-building; mining, coal, steel; cement, chemical fertilizer, glass, tires, oil and paper.

Vietnam’s economy is one of the fastest growing economies in the Southeast Asia region.  Present growth rate of about 5%-6% per annum, is expected to grow between 7% and 8% annually from 2011 to 2015.  A key driver in the growth of the Vietnam economy is 4.8% gain in industrial production.  Another contributing factor to the first half of 2009 growth in the Vietnam economy was a strong boost in rice exports which places Vietnam trade of rice at the number two spot.

Vietnam, who joined the WTO in January 2007 following over a decade long negotiation process, has provided the country an anchor to the global market and reinforced the domestic economic reform process.