PAPI 2022 shows people’s optimism about the economy despite the lingering concerns over the protracted impact of Covid-19.

Business opportunities are being missed, project implementation is being delayed because of administrative procedures, and inspection tours are being regularly scheduled. This is weakening enterprises.

After 40 years of reform, Vietnam still lacks private enterprises with international stature. This is a challenge for Vietnam to create the ‘2045 miracle’.

As many as 49,900 businesses were formed in the first four months the year nationwide, representing a rise of 0.6% against the same period from 2022, according to the General Statistics Office (GSO).

Many businesses lack orders, and workers have had to cut spending amid financial difficulties. However, statistics agencies show reports with good figures.

The slow-paced implementation of a monetary policy is making it hard for the government to provide assistance for enterprises, cooperatives, and household businesses.

Lack of orders, production stagnation and layoffs are affecting many enterprises.

The country’s hallmark socioeconomic recovery and development initiative must be accelerated as implementation continues to be too slow, the government has acknowledged.

The government is continuing to fuel struggling business performance with a new fiscal initiative in an aim to reach its desired economic growth.

The Vietnamese government on April 20 launched the National Master Plan for 2021-2030 with a vision to 2050, the first of its kind.

Global strife and lingering pandemic ramifications are pulling the competitiveness of some Vietnamese cities and provinces down, with foreign-invested firms still struggling with the burden of regulatory procedures.

Vietnam’s GDP is projected to grow 5.8% this year, sharing the second position with Cambodia in the region, only after the Philippines, according to the International Monetary Fund (IMF).

This year’s PAPI report reflected public optimism about the national economy, with 66.1 per cent of respondents rating the national economy as good in 2022, a 19.4 per cent increase from the previous year.

Vietnam can take advantage of its population structure to promote economic development and attract foreign investment, according to foreign media outlets and experts.

Policies are needed to boost the number of domestic enterprises participating in the supply chain of multinational companies, and a boost is necessary in the localisation rate of the processing and manufacturing industry, which now remain modest.

Vietnam needs to obtain unprecedented high growth rates in the next three quarters of this year if it wants to reach a GDP growth rate of 6.5 percent.

In the context of uncertain global economy, the Asian Development Bank (ADB) suggested Vietnam diversify its markets to boost exports in 2023 and beyond.

This year, AMRO expected Vietnam’s GDP growth to hit 6% in 2023, and then rebound to 7,1% in 2024.

The total import and export turnover in the first three months of 2023 was recorded at US$150 billion, significantly lower than the set target of over $200 billion, raising concerns among authorities and businesses.

Vietnam’s economy is expected to grow by 6.5 per cent this year and expand to 6.8 per cent in 2024, according to the Asian Development Bank (ADB).