The Government of Vietnam has assigned the Ministry of Planning and Investment to overhaul the business conditions basing on the principles of OECD by December 2017 and proposed eliminating the conditions that restrict competition.
OECD’s standards, according to PhD Vu Thanh Tu Anh of Fullbright university, member of PM’s Economic Advisory Group, are the guiding principles for improving the quality and effectiveness of legislation in some developed nations.
OECD’s principles are essential for Vietnam to cut the unreasonable business conditions, reducing the burden for enterprises as Vietnam currently has no set of principles that can be applied to decide which terms should be cut. If Vietnam applies OECD principles strictly, it can reduce by two third of current business conditions.
To learn from other countries’ successes through OECD to promote the transparency and development, Vietnam needs a long-term and consistent reform strategy that can be applied at any levels of the state and government.
Dr Nguyen Duc Khuong, Professor of IPAG Business School in France and member of PM’s Economic Advisory Group, said that OECD offers a guide on how to overcome barriers to develop a strategy for simplifying administrative procedures.
This strategy aims at eliminating 22 obstacle groups related to the complexity of regulatory policies, the bureaucracy and the costs involved in implementing procedures.
However, Vietnam needs to be more determined as it currently lacks the involvement of state and government agencies. Most of the overhauls have been performed by research institutes and organisations themselves.
This is a campaign demanding the participation of the state, enterprises, and consumers as well.