GROUP 1

ANALYZE THE
SITUATION OF
ECONOMIC GROWTH
AND ECONOMIC
STRUCTURE IN
VIETNAM SINCE 2010

NGUYỄN ĐỨC ANH

HỒ THỊ MỸ DUYÊN

NGUYỄN THỊ HỒNG NHUNG

BÙI MAI UYÊN

TEACHER: DR. NGUYỄN VIỆT HƯNG

 HANOI – 2024

TABLE OF CONTENT
I. OVERVIEW OF VIETNAM'S ECONOMY FROM 2010 TO PRESENT.........3
II. ECONOMIC GROWTH........................................................................................3
1. DEFINITION OF "ECONOMIC GROWTH".....................................................................3
2. RESEARCH RESULTS.................................................................................................5
2.1 Real GDP growth rate.......................................................................................5
2.2 GNP growth rate................................................................................................8
2.3 GDP per capita growth rate..............................................................................9
3. PREDICTION OF VIETNAM'S ECONOMIC GROWTH IN THE FUTURE.........................10
3.1 Positive factors:...............................................................................................10
3.2 Negative factors:..............................................................................................10
3.3 Expert predictions:..........................................................................................10
III. ECONOMIC STRUCTURE...............................................................................11
1. Industry..............................................................................................................11
2. Agriculture.........................................................................................................12
3. Service................................................................................................................12
4. Economic Restructuring....................................................................................13
4.1. Labor structure.............................................................................................14
4.2 Capital investment........................................................................................15
4.2.1 FDI..........................................................................................................15
4.2.2 Social investment capital........................................................................16
4.3 Contribution of economic sectors to GDP....................................................16
5. Technology Revolution 4.0...............................................................................17
6. Conclusion and recommendations.....................................................................18
IV. CONCLUSION AND PROPOSAL SOME RECOMMENDATIONS
CONTRIBUTING TO THE GROWTH OF VIETNAM’S ECONOMY..............19
V. REFERENCE.........................................................................................................20

2
I. Overview of Vietnam's economy from
2010 to present

I n 2020, the total real GDP of the

entire economy was 258.5 billion
USD. This is the economy ranked 6th
and reached 2.91%. These are
remarkable results of the Vietnamese
economy since 2010 until now.
out of 11 in Southeast Asia, ranked
36th according to GDP by purchasing Besides the growth results
power parity, ranked 117th according achieved in the period 2010-2020 and
to real GDP per capita in the world.
especially in 2020, the Vietnamese
Over the past 30 years, since 1988,
Vietnam's economy has continuously economy still has many problems that
grown with an average growth rate of need to be resolved such as the
nearly 7%/year. Vietnamese economy still depends
After the world economic crisis heavily on agriculture. industry, crude
in 2008, Vietnam's economy had a exports, tourism and foreign capital
rapid recovery, trade began to surplus, investments and exports are growing
and the economy's GDP and per capita but are not sustainable, labor
income increased sharply. From the productivity is still low. Thus,
poorest country in the region, Vietnam economic growth is an extremely
has now become a developing country important issue for all countries in
with a fairly stable socialist market general to achieve socio-economic
economy. Since 2010, Vietnam's goals. Therefore, this research article
economy has continued to maintain a focuses on assessing the current state of
good growth rate and achieved an Vietnam's economic growth from 2010
average growth rate of 5.96%/year in to present, analyzing the contribution
the period 2010-2020. And especially of economic sectors to overall
in 2020, despite the common economic growth, from there as a basis
difficulties and challenges of the covid for proposing a number of
epidemic situation, Vietnam's economy recommendations that will contribute
still maintained a positive growth rate to promoting Vietnam's economic
growth in the coming time.

II. Economic growth

1. Definition of "economic growth"
E conomic growth refers to an
increase in the production of
goods and services in an economy over
a period of time and economic growth
rate is the percentage increase in a
country's GDP over a period of time.

3
  Real GDP: This is the most
common measure of economic
- MEASURED BY: growth. Real GDP adjusts for
• GROSS DOMESTIC PRODUCT inflation and reflects the true value of
(GDP): TOTAL MONETARY VALUE OF goods and services produced. It is
calculated using constant prices from
ALL FINISHED GOODS AND SERVICES
a base year.
PRODUCED WITHIN A COUNTRY'S
BORDERS IN A SPECIFIC TIME PERIOD  Nominal GDP: This measures the
value of all finished goods and
→ 4 COMPONENTS: GDP=C+I+G+ services produced within a country’s
(X−M) borders using current prices, without
adjusting for inflation.

 Gross National Product (GNP):  GNP measures the total economic

total monetary value of all finished output produced by the residents of a
goods and services produced by the country, including income from abroad.
residents of a country, regardless of It differs from GDP as it includes the
whether the production takes place
within the country's borders or abroad, → GNP = GDP + Net Income from
in a specific time period. Abroad

net income from foreign investments.

 Per Capita Measures:

o GDP Per Capita: This o GNP Per Capita: Similar to
measures the average economic GDP per capita but uses GNP.
output per person and is calculated by
dividing the GDP by the population. It
provides an indication of the standard
of living in a country.

4
2. Research results
2.1 Real GDP growth rate

V ietnam has implemented

economic reform since the 6th
Party Congress in 1986. After 35 years
39th position in 2009 to 23rd
position in 2019. Thus, over more than
three decades, Vietnam has built a
of reform, Vietnam's economy has successful and rapidly growing
achieved certain results. Especially economy, taking Vietnam from one of
since Vietnam joined the WTO in the poorest countries in the world to a
2006, Vietnam has made great strides middle-income country with an open
on the path of integration with the and deeply integrated economy.
largest economic growth when moving (Tran, 2022)
from

Figure 1: Vietnam's real GDP growth rate in the period 2010 - 2020 (%).
According to data published by compared to 2019, corresponding to a
the World Bank, Vietnam's real GDP at
2015 comparative prices in 2010
reached 144,994 million USD, by 2015
it increased and reached 193,241
million USD, an increase of 48,247
million USD, corresponding to an
increase of 33.27% compared to 2010.
By 2020, Vietnam's real GDP at 2015
constant prices will reach 258,509
million USD, an increase of 65,268
million USD compared to 2015,
corresponding to an increase of 33.78%
compared to 2015. Real GDP of 2020
increased by 7,300 million USD

5
 When compared with countries in growth rate of 4.04%/year for this
the ASEAN region, Vietnam's period. In 2020 alone, the economic
economic growth in the period 2010- growth of most countries in the region
2020 reached the highest level decreased due to the impact of the
compared to countries in the region and Covid 19 epidemic situation; only
reached 5.96%/year on average during Vietnam and Brunei maintained
this period. Indonesia achieved an positive growth rates. However,
average economic growth rate of compared to other countries, Vietnam's
4.58%/year for this period, followed by total real GDP is still quite low,
Malaysia achieving an economic ranking 6th in the region and the results
growth rate of 4.04%/year for this are described specifically in Figure 2.
period, Singapore achieved an average

Figure 2: Real GDP at 2015 comparative prices of countries in the ASEAN region in
2020 (Unit: billion USD)

In the period between 2021 to General Statistics Office, in 2021,

now, according to data from the Vietnam's economy has reached the

Figure 3: Vietnam's GDP growth in the period 2011-2022 6

target with a GDP growth rate of However, because Vietnam has issued
2.58%, 0.33% lower than in 2020. This many appropriate policies, especially
is the lowest level in the period 2011- implementing export With the slogan
2021. In 2022, along with the whole "fighting the epidemic while restoring
world, Vietnam's economy must face production and business, achieving
unpredictable fluctuations, such as: the dual goals", the economy has had a
Russia-Ukraine military conflict leads positive recovery; Stable
to many consequences that negatively macroeconomics, controlled inflation;
affect economies around the world, GDP increased at 8.02% compared to
including Vietnam; the disruption of 2021 (figure 3), the highest in the past
the global supply chain due to the 10 years; scale reached 9,513 million
Covid-19 pandemic, the skyrocketing billion VND, equivalent to 391.92
prices of goods and input materials... billion USD.

According to the General expected to recover stronger at the end

Statistics Office, GDP in 2023 will of this year and next year, boosting

Source: Macrobond, UOB Global Economics & Markets Research

Figure 4: Vietnam: Annual Real GDP Growth Projection
increase by 5.05% compared to 2022 domestic demand as investors and
(Figure 4), higher than the growth rate consumers gradually regain confidence.
of 2020 and 2021 - a time affected by Total investment and private
the Covid-19 pandemic. (Tú, consumption at constant prices are
04/2024). Exports are recovering, expected to grow at 5.5% and 5%
domestic consumption and private respectively in 2024. In the first quarter
investment are also on the rise. Exports of 2024, the economy achieved growth
at constant prices are expected to of 5.66% (compared to the same period
increase by 3.5% in 2024, reflecting last year), mainly due to the effect of a
gradually improving global demand. In low starting point in exports, while
addition, the real estate sector is also consumption and investment only
recovered gradually. (PV, 2024)

7
2.2 GNP growth rate

Figure 5: GNP growth rate of Vietnam from 2010 to 2022

I n the period from 2010 to 2022,

Vietnam's GNP has grown
continuously, with an average annual
The sectors with the largest
contribution to GNP growth in 2023
are:
growth rate of about 6%. GNP growth  Variable mode industry: Up 6.7%.
rate tends to gradually decrease during  Service industry: Increase 4.8%.
this period, from the highest level of  Agriculture, forestry and fisheries:
7.49% in 2017 to 3.62% in 2022. Increased by 2.9%.
According to official data from the
General Statistics Office of Vietnam, Although GNP growth in 2023 is
Vietnam's GNP in 2023 will reach 430 lower than in previous years, this is still
billion USD, an increase of 5.05% a positive result in a difficult global
compared to 2022. Factors promoting economic context. Vietnam has shown
growth: Economic growth, Exports, good resilience to external shocks and
Foreign investment (FDI), Labor maintained a high economic growth
productivity (Vietnam's labor rate. However, continued efforts are
productivity has increased significantly needed to promote economic reform,
during this period, contributing to improve labor productivity and attract
promoting economic growth). investment to maintain GNP growth in
the future.

8
2.3 GDP per capita growth rate

Figure 6: GDP per capital of Vietnam from 2010 to 2022

V
ietnam's GDP per capita grew During the same period, GDP
on average about 5.5%/year per capita of other Southeast Asian
during this period, higher than countries such as Indonesia only
the average capacity of Southeast Asia increased from 1,350 USD to 3,989
and many other developing countries. USD, Thailand increased from 5,808
In 2010, Vietnam's GDP per capita was USD to 1,013 USD, and Malaysia
1,684 USD. In 2023, this index is increased from 8,210 USD to 12,979
4,284.5 USD. USD.

Compared to 2022: GDP per There are many factors affecting

capita in 2023 increases by 160 USD Vietnam's GDP per capita growth
compared to 2022, equivalent to an during this period including: Opening
increase of 3.84%. Compared to the up to international economic
period 2010-2021: The growth rate of integration, Attracting foreign
GDP per capita in this period reaches investment, Improving the
about 7.5%/year. In general: Vietnam's competitiveness of businesses , Stable
GDP per capita has a stable growth macroeconomic policy. Economic
trend in the period from 2010 to 2023. experts predict that Vietnam's GDP per
However, the growth rate tends to capita will continue to grow in the
gradually decrease in the period after coming years, but the growth rate may
2016. Vietnam's GDP per capita slow down like in the previous period.
growth rate during this period is
considered high compared to other
countries in Southeast Asia. For
example, in 2021, Vietnam's average
GDP growth rate per capita will reach
6.72%, while the average growth rate
of the Southeast Asia region will only
reach 3.3%.

9
 Figure 7: GDP per capital of Vietnam's forcast

3. Prediction of Vietnam's economic growth in the

future
Predicting Vietnam's future economic growth is complex and depends on various
internal and external factors. Here's a breakdown of some key considerations:
3.1 Positive factors:
 Resilient economy: Vietnam has  Government initiatives: The
demonstrated a history of overcoming Vietnamese government is actively
challenges and maintaining stable pursuing reforms to improve the
growth. Its diverse economic structure business environment, attract foreign
and export-oriented manufacturing investment, and develop key sectors
base offer buffers against external like infrastructure and technology.
shocks.
 Regional integration: Vietnam
 Favorable demographics:
benefits from participation in regional
Vietnam has a young and growing
free trade agreements, opening up new
population, providing a large
markets and making exports more
workforce and potential for domestic
competitive.
consumption growth.

3.2 Negative factors:

 Global economic slowdown: A  Domestic challenges: Vietnam
potential global economic slowdown faces internal challenges like income
could dampen demand for inequality, corruption, and a skills gap
Vietnamese exports, hindering that could limit productivity growth.
growth.  Climate change: The impacts of
 Trade tensions: Trade wars and climate change, such as natural
rising protectionism could disrupt disasters and rising sea levels, could
global supply chains and affect pose significant risks to infrastructure
Vietnamese exports. and agricultural production

10
3.3 Expert predictions:
 World Bank: The World Bank's growth for Vietnam, with GDP
June 2024 forecast predicts expected to expand by 6.2% in
Vietnam's GDP to grow by 6.7% in 2023 and 6.0% in 2024.
2023 and 6.5% in 2024, assuming a  ADB: The Asian Development
gradual recovery from the Bank (ADB) projects Vietnam's
pandemic and easing of trade GDP growth to reach 6.0% in 2024
tensions. and 6.2% in 2025.
 IMF: The International Monetary
Fund (IMF) also forecasts steady

Overall, Vietnam's economic outlook is cautiously optimistic. While there are

potential challenges, the country boasts fundamental strengths and proactive policies
that could propel continued growth. However, the actual growth trajectory will depend
on how Vietnam navigates global uncertainties and addresses domestic challenges.

11
III. Economic structure
1. Industry

V ietnam's industrial sector has

shown remarkable progress from
2011 to 2021, marked by substantial
far behind developed nations and
regional peers, reflecting disparities

achievements and challenges. Over this

decade, the value of industrial
production surged nearly 3.5 times,
rising from 0.34 million billion VND to
1.17 million billion VND. Despite
facing difficulties, industrial growth
remained positive, with the average
value added (VA) growth rate reaching
that hinder overall economic
7.16% from 2016 to 2020, surpassing
advancement. This is evident as
initial targets.
Vietnam ranks 101st out of 143
Industrially, Vietnam has countries in value added per capita
consistently been a cornerstone of the within the manufacturing and
economy, contributing significantly to processing sectors, underscoring
GDP and serving as the primary driver concerns amid the country's ongoing
of export revenue, with sectors like industrialization efforts.
electronics, textiles, and footwear
Despite these challenges,
leading the charge. These industries
Vietnam's industrial sector continues to
collectively account for over 60% of evolve, demonstrating resilience and
the country's total export turnover. growth. Addressing productivity gaps
and enhancing competitiveness remain
However, challenges persist, critical to sustaining and accelerating
particularly in labor productivity. Vietnam's industrial development in the
Vietnam's industrial productivity lags global economy.
.
2. Agriculture

T he agricultural sector in Vietnam

has undergone significant
structural transformations aimed at
while perennial crops increased to
24.9%, including fruit trees occupying
7.8%. This shift has been
enhancing efficiency and quality, complemented by adopting high-yield
which have yielded notable plant varieties and improving
achievements in recent years. By 2020, production efficiency, with the value of
there was a shift in crop cultivation agricultural products per hectare rising
patterns, with the area dedicated to from 82.6 million VND/ha in 2015 to
annual crops decreasing to 75.1%, 97.1 million VND/ha in 2019.

12
 These structural changes During the challenging years of
underscore the practicality and success the COVID-19 pandemic (2020-2021),
of Vietnam's agricultural development the resilience of Vietnam's agricultural
strategy, which aims to harness its sector was evident. Despite global
potential and adapt to climate change disruptions, the sector maintained a
challenges effectively. This growth rate of 2.9% in 2020,
transformation has not only boosted contributing significantly to the overall
modern agricultural practices but also economic growth by contributing
increased farmers' incomes and 13.97% to the total added value of the
facilitated the development of new economy.
rural areas across the country.
In summary, Vietnam's
Moreover, Vietnam's agricultural agricultural transformation has not only
sector has played a pivotal role in enhanced productivity and quality but
ensuring national food security, has also strengthened the sector's role
transitioning from a traditional as a pillar of the national economy,
agricultural model to one that supports ensuring food security and supporting
commodity production. This shift has economic stability during challenging
positioned Vietnam as a significant times.
player in agricultural production within
the region and globally.

3. Service

B etween 2010 and 2015, Vietnam

made significant strides across
various sectors, contributing to its
international integration, and reshaping
its national landscape.

enhanced global standing and Healthcare saw marked

socioeconomic development. The improvements, focusing on preventive
country's Global Innovation Index
improved notably, rising 19 places by
2015, showcasing its growing
innovative capabilities on the global
stage.

Infrastructure development played

a pivotal role during this period, with
substantial investments in transport,
energy, irrigation, urban development,
information and communication health measures, enhancing medical
technology, as well as health and examination and treatment quality, and
education. These efforts were reducing hospital overcrowding through
instrumental in driving Vietnam's socio- hospital system investments and
economic progress, fostering technological advancements. The health
insurance participation rate also

13
increased significantly, nearing 75%, Moreover, Vietnam's capital
ensuring broader access to healthcare markets expanded significantly, with the
services for the population. stock market capitalization reaching
approximately 33% of GDP and the
bond market encompassing about 23%
by the end of 2015. The country gained
In the financial sector, Vietnam's recognition as a market economy from
banking and financial services sector 59 nations, while establishing free trade
underwent diversification and relations with 55 countries and
modernization. Efforts to address bad economies, including 15 G-20 member
debts and restructure weak commercial nations.
banks led to a substantial decrease in
bad debt levels from 17.43% in Overall, these developments
September 2012 to 2.9% by September underscore Vietnam's robust economic
2015. The finance, securities, and growth, structural reforms, and
insurance industries were also increased global integration during the
restructured, with enhanced supervision period, positioning it as a key player in
and transparency measures contributing the global economy while enhancing
to improved operational efficiency and living standards and economic resilience
system stability. domestically.

4. Economic Restructuring

14
 Figure 8: Vietnam: Distribution of gross domestic product (GDP)
across economic sectors from 2012 to 2022

F rom 2012 to 2022, Vietnam's

economy underwent a significant
restructuring aimed at modernizing its
and service sector growth, Vietnam
aimed to enhance productivity,
stimulate innovation, and diversify its
economic sectors. This strategic shift economic base. This strategic
involved reducing resources realignment also aimed to capitalize on
traditionally allocated to the emerging opportunities in
agriculture, forestry, and fishery sectors manufacturing, infrastructure
(region 1 - KV1). Meanwhile, development, and service-oriented
resources were redirected to bolster the industries, thereby fostering sustainable
industry, mining, and construction economic development and advancing
sector (region 2 - KV2), as well as the Vietnam's position in the global
service sector (region 3 - KV3), which marketplace.
saw gradual increases. Overall, the period from 2015 to
2020 marked a transformative phase for
The restructuring efforts were Vietnam's economy, characterized by
designed to attract and utilize more strategic sectoral adjustments aimed at
crucial resources efficiently across achieving long-term growth, resilience,
these sectors. By prioritizing industrial and competitiveness on the global
stage.

4.1. Labor structure

F rom 2015 to 2020, Vietnam

experienced steady economic
development alongside notable changes
consistent annual increase in the
number of employed workers aged 15
years and older, with an average
in its workforce dynamics, influenced growth rate of approximately 0.48%
significantly by the COVID-19 from 2015 to 2019. However, the
pandemic in 2020. The General pandemic in 2020 severely impacted
Statistics Office (2021) reported a the labor market, resulting in 32.1
15
million individuals aged 15 and above localities have diligently pursued a
being adversely affected. This group "dual goal" strategy since the beginning
included those who lost their jobs, took of 2021. This strategy aims to
time off, or had reduced working hours. simultaneously combat the epidemic,
safeguard public health, and stimulate
During the period from 2015 to socio-economic recovery. As a result,
2020, there was a notable shift in the the proportion of employees in the
labor structure across Vietnam's corporate sector only decreased by
regions. In 2015, Region 1 accounted 0.7% in the first half of 2021 compared
for 45.73% of the workforce, Region 2 to the same period in 2020. Regionally,
for 24.19%, and Region 3 for 30.08%. there were modest changes in the
By 2020, these proportions had distribution of employees, with Region
adjusted to 34.78% for Region 1, 1 accounting for 27.9% (up 1.9%),
32.65% for Region 2, and 32.57% for Region 2 for 32.8% (up 0.5%), and
Region 3. Region 1 experienced an Region 3 for 39.3% (up 2.4%) of the
average annual reduction rate of 5.4% workforce during this period (GSO,
in its labor force, while Regions 2 and 2021).
3 saw average growth rates of 6.6%
and 1.7%, respectively. These changes These developments underscore
highlight significant labor mobility and Vietnam's resilience in managing labor
structural shifts driven by economic dynamics amidst external challenges,
activities. while also emphasizing ongoing efforts
to stabilize and recover its economy
Despite the challenges posed by effectively.
the COVID-19 pandemic, Vietnam's
4.2 Capital investment
4.2.1 FDI

Figure 9: Vietnam Foreign Direct Investment in the period from 2010 to 2024

I
n 2010, Vietnam's FDI was just rise in investment, with some
under 5 billion USD. From that fluctuations. Each year demonstrates a
point, there has been a consistent cyclical pattern of peaks and troughs,

16
reflecting possible seasonal or sometimes exceeding 20 billion USD.
economic influences on investment This indicates a remarkable surge in
levels. By 2018, inflows had foreign investment in recent years. The
approached 15 billion USD, indicating mean FDI level throughout the period
a threefold increase from the levels is around 10 billion USD, but the trend
observed in 2010. line suggests that recent years have
seen investments well above this
The period from 2020 to 2024 average. (Ministry of Planning
marks the most substantial growth, and Investment, n.d.)
with FDI inflows approaching and

4.2.2 Social investment capital

Figure 10: Vietnam Investment capital of the entire society

R
ealized investment capital of non-state sector reached 340,7 trillion
the entire society in the first VND, accounting for 55,5%, an
quarter of 2024 at current increase of 4,2%; The foreign direct
prices is estimated at 613,9 trillion investment sector reached 110,5 trillion
VND, up 5,2% over the same period VND, accounting for 18% and
last year, including: State sector capital increasing by 8,9%. This indicates a
estimated at 162,7 trillion VND, robust growth in investment capital,
accounting for 26,5% of total driven by substantial contributions
investment capital and increasing 4,9% from both domestic and foreign
over the same period last year; The investors. (Anh, 03/2024)
4.3 Contribution of economic sectors to GDP

17
 Figure 11: Structure of Vietnam's economic sector from 2010 to 2023 (%)
The structure of GDP across economic Specifically, the proportion of the
sectors is one of the most important Agriculture sector in GDP has been
indicators reflecting the movement decreasing, from 15.38% in 2010 to
trends and the level of success in the 11.96% in 2023. The proportion of the
industrialization process. Manufacturing sector has seen the most
significant increase, rising from
In recent years, this structure in
33.02% in 2010 to 37.12% in 2023.
our country has shifted according to the
rules of industry restructuring in the The proportion of the Service sector
process of industrialization and has also been on the rise, from 40.63%
modernization. in 2010 to 42.54% in 2023. (Huân,
03/2024)

5. Technology Revolution 4.0

T he production force of Vietnam

today is necessary to promote
science and technology. It is a
With the promotion of science
and technology, it is the basis for the
development of the productive force,
significant factor in theory as well as in expressed in the following aspects:
practice. It shows that science and
technology always promote economi c Firstly, promoting science and
growth through their impact on technology is associated with strong
aggregate supply and demand. Science socio-economic development and
and technology contribute to expanding economic globaliza tion
the ability to effectively detect and Science must achieve a high level
exploit scientific and technological of action capable of solving urgent
resources and products that directly problems posed by social reality.
contribute to GDP while determining Technology plays the role of its direct
long-term growth and increasing productive force.
quality development, facilitating the
transition from breadth to depth.

18
 Second, science-technology It determined that increasing
promotes economic restructuring labor productivity to achieve economic
towards progress, among the factors efficiency can be completed through
affecting financial reorganization the transition to an innovative economy
Create many new professions, based on new technologies and the
many new fields. The structure within mobilization of all production
the industry has also changed. resources.
Changing production to increase The development of science and
productivity and efficiency will create technology also contributes to
the possibility of evolving consumption increasing social exchanges, making
structure due to increased income. The people’s spiritual lives more
share and position of GDP of industry prosperous and better by producing
and services gradually increase, and many new drugs and modern medical
agriculture gradually decreases. facilities.

Third, science and technology Fifth, the development of science

improve the competitiveness of and technology contributes to and
products, businesses, and the facilitates the improvement of the
economy ecological environment, production
Science, technology, and and human consumption
technology have actively contributed to continuously develop, so waste is
promoting the application and constantly increasing, causing harm
innovation of technology in socio- to people. and ecological
economic sectors and fields such as: environment
The agricultural sector has increased by Science and technology
30%, with the creation of wide varieties development also contributes to saving
of plants and animals with high quality consumption of raw materials and fuel,
and productivity. reducing waste, and finding new
sources of energy and materials to
Fourth, in a market economy, replace traditional resources without
the goal and motivation of the polluting the environment; science and
business is profit technology to detect and forecast
natural disasters for prevention. (Bui,
01/2023)
6. Conclusion and recommendations

V ietnam's economic structure has

shifted in a reasonable and
positive direction, and the GDP of the
modernization. However, in the process
of restructuring the economic sector in
our country, there still exist some
agricultural sector tends to reduce; difficulties and limitations as analyzed
GDP of manufacturing and services in the above content.
increased gradually. This is a trend of
shifting economic sectors in On that basis, there are a number
accordance with the policy and of recommendations to contribute to
direction of developing our country's restructuring the economic in Vietnam
economy towards industrialization and in a reasonable and positive direction,

19
contributing to the economic 3. Increase the speed and quality of
development process as follows: Manufacturing restructuring to
1. The economic sector structure increase the value and GDP of the
needs to be shifted in a more Manufacturing sector.
specialized direction. Specifically: 4. Increase the scale of Vietnam's
increasing production of key export turnover through product
products, clean products, and high- diversification and improving
value products; promoting product quality.
production linkages between 5. Businesses need to be given
industry, services and agriculture to favorable conditions and support
develop harmoniously. to improve production capacity
2. The Government needs to and competitiveness. At the same
implement many macro and micro time, focus on promoting the
solutions to increase the scale of connection between businesses in
Vietnam's GDP in the coming production, processing, supply of
years. supporting products, and product
consumption. (Lê, 2024)

IV. Conclusion and Proposal some

recommendations contributing to the
growth of Vietnam’s economy
Vietnam’s economy has shown create a skilled workforce, while
remarkable resilience and consistent increased funding for research and
growth since 2010, overcoming global development will drive innovation.
economic challenges and the COVID- Simplifying regulations, reducing
19 pandemic. The focus on bureaucratic red tape, and combating
industrialization, modernization of corruption will create a more favorable
agriculture, and robust service sector business environment. Attracting
development have been pivotal. The foreign direct investment, expanding
future outlook remains positive, with trade agreements, and supporting small
expected recovery and continued and medium-sized enterprises (SMEs)
growth in key sectors. through better access to finance and
capacity-building initiatives will further
To boost Vietnam's economic
stimulate economic activity. Finally,
growth rate, strategic investments in
adopting sustainable practices and
infrastructure, human capital, and
modernizing agriculture will ensure
technology are essential. Enhancing
long-term growth and resilience. By
transportation and digital infrastructure
focusing on these areas, Vietnam can
will reduce logistics costs and support
achieve sustained economic
the digital economy. Improving
development and improve its growth
education and vocational training will
rate.

20
V. Reference
1. Anh, T., 03/2024. Realized social investment capital in the first quarter of 2024
increased by 5,2% over the same period last year. Cổng thông tin điện tử Bộ Kế hoạch
và Đầu tư (www.mpi.gov.vn).
2. Bui, D. X., 01/2023. TECHNOLOGY REVOLUTION 4.0 PROMOTES THE
DEVELOPMENT OF VIETNAM'S ECONOMIC STRUCTURE. Research Magazine
Universidad del Quindío, 35(1), 157-165..
3. Huân, Đ. V., 03/2024. Động thái tích cực trong chuyển dịch cơ cấu. TẠP CHÍ
KINH TẾ VIỆT NAM .
4. Lê, H. T. M., 2024. The trend of economic structural transformation in
Vietnam during the 2010 - 2022 period. Science & Technology Development Journal:
Economics- Law & Management, 31 March, Tập Vol 8 No 1 (2024), pp. 5089-5097.
5. Ministry of Planning and Investment, V., không ngày tháng Vietnam Foreign
Direct Investment, không biết chủ biên: không biết tác giả
6. O'Neill, A., 01/2024. Vietnam: Distribution of gross domestic product (GDP)
across economic sectors from 2012 to 2022, không biết chủ biên: không biết tác giả
7. PV, N., 2024. Triển vọng nền kinh tế Việt Nam năm 2024. Báo Điện tử Đảng
Cộng sản Việt Nam, 03.
8. Tú, M., 04/2024. Tăng trưởng GDP của Việt Nam trong năm 2024 dự báo vẫn
ở mức 6%. TẠP CHÍ KINH TẾ VIỆT NAM.
9. Tran, H. V., 2022. Vietnam's economic growth in 2010 – 2020. Science &
Technology Development Journal: Economics- Law & Management: VOL 6 NO 3.

21
22