Deputy Primi Minister promises faster reform



HA NOI (May, 19, 2003)— The Government has vowed to speed up economic restructuring following complaints from National Assembly delegates the process remains slow.

Speaking at the third session of the National Assembly’s 11th legislature in Ha Noi last Friday, Deputy Prime Minister Nguyen Tan Dzung said the Government would make economic management a priority this year.

Despite impressive gains amid the global downturn, many National Assembly delegates expressed dissatisfaction over the slow pace of economic restructuring, especially in agriculture.

The National Assembly delegate from the northern province of Ninh Binh, Le Minh Hong, said apart from some changes to agricultural production, many areas remained outside the planning process, causing difficulties and losses for farmers.

Admitting planning remained poor, Dzung insisted the Government would re-examine it in key industries and economic regions.

He said investment outside the Government’s approved planning process was taking huge chunks out of the national economy and had to be stopped.

Dzung cited the sorry state of the country’s sugar mills as an example, where nearly half lacked the raw materials needed to supply their mills because they were built without Government approval and outside specified sugar growing zones.

To fast-track the pace of reform, Dzung said the Government would continue to promote contract-based business between farmers and processing factories.

Other measures include increasing access to credit, particularly for small-and-medium enterprises.

The Enterprise Law will come under constant review to further promote business opportunities and increase foreign investment.

Ministry and local officials also came under scrutiny, with Dzung encouraging them to be more supportive of the business community by getting rid of red tape and creating a better business environment.

He said the Government would continue to ensure the stability of the Vietnamese dong while restraining rising interest rates, which had the potential of hampering economic growth.

Stop investment leakage

During his speech to the National Assembly the deputy prime minister lamented that despite efforts to clamp down on wastage in Government construction projects, the problem was still a major headache.

"The Government bears full responsibility for the problem," he said.

Dzung outlined a four-pronged attack to clean up the industry, perfecting the legal framework for investment in major constructions, publicising State-funded projects, improving inspection work and restructuring State-owned enterprises.

He noted that the Government’s new Law on Construction has been submitted to the National Assembly and will soon come before a standing committee for approval.

Dzung said the laws will properly define individual responsibilities and help decentralise Government construction projects.

Dzung said bureaucracy and corruption pose a threat to Viet Nam’s development, insisting that the Party, State and people were struggling to fight off the problems.

"The Government always considers the fight against corruption as central to its role," he said.

Measures to curb corruption include restructuring the legal system and administrative procedures, transparency in Government spending and tougher penalties for those hauled up on corruption charges.

Increasing State employee salaries and raising the accountability of Government agency leaders also form part of the campaign. — VNS