Economy

Despite its official Communist status, Vietnam enjoys a developing planned-market economy with expanding market freedoms. In the 1980s, Vietnam implemented reforms that drove a shift away from the old highly-centralised planned economy.

Today, Vietnam has a more modern socialist-oriented market economy that uses both directive and indicative planning. Since 1986, Vietnam has enjoyed ever-accelerating economic growth and it is increasingly integrated into the global economy.

Almost all of the businesses in Vietnam are small and medium enterprises. Some are nationally-known brands. The country is an increasingly important exporter of agricultural goods to the region and the world. Foreign investors are increasingly attracted to the ever-liberalising economy, which offers the chance to benefit from low operating costs and access to regional markets.

Vietnam’s GDP hit US$104.6 billion in 2010 and GDP per capita stood at US$1,218. Vietnam is a major producer of rice, a staple food increasingly in demand across Asia. Vietnam’s extensive coastline has many major shipping and trans-shipping ports thanks to the country’s position within Asia and more importantly, next to China.