Vietnam sets course for economic overhaul

Vietnam rolls out a sweeping reform plan to lift growth and reshape its economy by 2045.

Vietnam aims to become an Asian tiger economy

In Hanoi, Communist Party chief To Lam announced a broad push for a new era of development, signaling Vietnam’s bid to become Asia’s next tiger economy by 2045. The plan centers on private sector leadership, targeted tax breaks, and a push to modernize institutions, as well as ambitious infrastructure projects like a $67 billion North–South high-speed railway and new financial centers in Ho Chi Minh City and Danang. Ministries will be merged and provincial governance streamlined to create stronger regional hubs.

The reform agenda aims to move Vietnam beyond a low-cost export model. It calls for investment in high-tech sectors such as semiconductors, artificial intelligence, and renewable energy while strengthening social protections as the workforce ages. The country also seeks to attract private investment and develop national champions that compete globally, a shift from decades of state-led growth. Yet the path is knotty: political resistance from within the Communist Party, limited access to finance for private firms, and the need to balance rapid growth with climate adaptation and social protections.

Highlights

Ambition faces real tests as reform unfolds.