Policy Recommendations for Fostering Economic Growth in Vietnam

Abstract

Background: Countries worldwide consistently prioritise economic growth and extensively study the elements that contribute to it. This study presents the result of a policy suggestion for promoting economic growth in Vietnam.

Objective: The study aims to explore the key factors influencing economic growth in Vietnam. Besides, the authors proposed policy recommendations for fostering economic growth in the study area.

Methodology: The authors conducted a group discussion of economic experts with 15 people with doctoral degrees in economics, quantitative methods, and primary data collected directly from the sample size of 450 economic experts from five major cities in Vietnam, using a random sampling technique and online serving.

Result: The results show that five main factors affect economic growth with a significance level of 0.01, with fiscal and monetary policies strongly impacting them. Research results suggest that policy direction for fostering economic growth in Vietnam should focus on strengthening forecasting capabilities and developing timely response scenarios.

Conclusion: Studying the case of economic growth in Vietnam reveals that growth depends on two main groups of factors. The first group includes economic factors directly affecting the growth process, such as monetary and fiscal policies. The second group includes non-economic factors indirectly contributing to economic growth.

Unique Contribution: This study has provided useful information that could guide economic growth discourse in Vietnam and in developing countries.

Key Recommendation: Fiscal and monetary policies are fundamental macroeconomic policies every country implements. Each policy has distinct objectives and adheres to its regulations, yet all strive towards a common goal. Ensuring macroeconomic stability leads to substantial economic equilibrium. Simultaneously, it is essential to consider reciprocal interactions in both the immediate and extended periods before execution.