Mékong Plus - Viêt Nam Plus
>Join us !
>I want to help now:
-a scholarship: 17
-one microcredit: 40 to 125
-one village added for all programs: 1.000 /year

 

Vietnam: context PDF Print E-mail

vietnam_paysage.jpgVietnam is still a LDC (Less developped country)but not for long anymore: currently the gross domestic product (GDP)  reaches $720 (2007) and it is estimated that it will reach $1000 before 2010: it will then require less help; some countries (Belgium and France notably),are already reducing their help.

Not only the growth of the country is strong (6-8%/year) but also it has a voluntary politic of poverty reduction (the limit being of 120euro/person/year), that went from 40 to 10% about in fifteen  years. Vietnam is mentioned in example by many helping organisations, including the World Bank and the Monetary Fund (Vietnam abstained to follow the advice repeatedly).

More than anywhere else, « when water goes up, all boats go up with it": rare are those who don't take advantage of the country’s development. Even though the gaps go increasing: in the countryside, but especially also between cities and countryside: the 20% richest had incomes 7,6 times more important than the 20% poorest in 1999, 8,3 times more in 2004 and 8,4 times more in 2006.

In Vietnam the NGO must find an agreement with the authorities to be able to work. Traditionally the government uses the method high - > low, authoritative and little participative. The NGO can bring a more efficient approach, taking people into account. When there is no agreement, it is necessary to retire: Vietnam More withdrawn from Dông Nai (corruption), Vinh Long (disagreement on the priority to give to the poorest) and Dong Thap (identical reasons).

Substantial progress bound to the economic opening

The politics doi me (renovation) set up since 1987 aiming to institute the market law allowed the vietnamese economy to make huge progress: the inflation is controlled (about 4-6%) and the GNP increases at the rate of 6-8%/year. The GNP, in US$ per person, went from $130 in 1991 to more than $700 in 2007.

More information on http://www.undp.org.vn/undpLive/Content/UNDP/About-Viet-Nam/Viet-Nam-at-a-Glance-fact-page &

taux de croissance du PNBSource: http://www.vvg-vietnam.com/economics_cvr.htm

In spite of some convenient difficulties, Vietnam received from several foreign investment programs; it became one of the first world exporters for several food products like rice, cashew nuts, pepper, coffee etc. Because of this progression, some designated it too hastily "tiger" while comparing it with the four "dragons" which are Taiwan, Hong Kong, Singapore and South Korea.

Vietnam is one of the poorest and most populated countries of the world

This fast growth has been coupled with a voluntary politic of poverty decrease, even though a small number is left aside from the profits of the growth. Their situation is especially difficult, having to pay for most public services, and quite dear. The socioeconomic inequalities became very important. 64% of the population live with less than $2/day and 18% with less than $1.
Vietnam is in the first twenty countries in terms of population.

A regular economic progression thanks to a relatively reasonable management

Yet penalized by an economic delay due to the slow and difficult management of the transition of the planified system to the open market system, Vietnam managed well the crisis that hit south-east Asia (1997), essentially by a limitation of the imports. It has several times ignored the "advice" of the International Monetary Fund, with success.

With a strong devaluation of their currency, other countries of the region became dangerous competitors. The end of the multi-fibers agreement and quotas make the country vulnerable against China. The weaknesses of Vietnam are an uncertain legal environment, the infrastructures and a market size less attractive for the foreign investors.

Vietnam is at the 109 rank according to the index of human development (IDH, 2006), right behind Algeria, in front of Indonesia and far before Morocco. Here are other comparative indicators :

 

France

Vietnam

China

Thailand

Population (millions)
Demographic growth

60
0,4 %

81
1,3 %

1.295
0,6 %

62
1,5 %

PPP (Purchasing power)
Growth of the GDP/ inhabitant
Measure of the economic inequality (Gini: perfect equality = zero)
Income difference report: 20% richest / 20% poorest

26.920
1,6 %
33
5,6

2300
6%
36
5,6

4.580
9 %
45
11

7.010
3 %
43
8,3

Sources: 2002 & 2003, United nations
http://hdr.undp.org/statistics/data/index_countries.cfm

 

Poverty of the population in remote regions

With a population increasing of 62% since 1975, the internal migrations were very important, notably from the North and the Centre to the south, but also toward the forests. It destroyed a lot of forests and put the pressure on the ethnic minorities, which often lost their land.

The remote zones are sometimes difficult to access and only have basic facilities: drinking water, road, clinic and school.

The inhabitants are beingt isolated with their daily survival fight.

Credit: facilitated and numerous debts

Farmers or fishermen need money for purchase seeds, manures, pesticides, or fishing tools at specific times. The small tradesmen need small funds. In the past, their access to banking credit was difficult, and the use of ususer cost them 10 or 20% per month! Today, 10-20% of the population is maybe still in this situation.

For the big majority, it is the reverse script. The voluntary politics of the government and the agricultural banks leads to excessive debts. A loan is replaced by another, always more important. The bank keeps the deed in guarantee, isn’t interested by the repayment of the capital, and collects the interests, about 10%/year. The bank saving is almost hopeless because the bank doesn't like to manage small amounts.

Living in the countryside: underprivileged

Raising food-products is practiced by many families, to small scale. In these distant villages, the vaccines and food are expensive, but especially the technical knowledge is insufficient. The animals are often left in freedom and are thus vulnerable to any epidemics, while being a supplementary threat for hygiene. We can estimate that in remote areas, 1/3 of animals are sold sick, at reduced price.

23% of the Vietnameses don't have access to a source of drinking water. Water sometimes misses during dry periods and the well is generally polluted.

The health and education services are of lower quality in the countryside. A serious inequality results from it: a child who studied in the countryside has barely no chance to be admitted at university. It is necessary that his parents allow him to complete the last year or several years in the city, at the cost of several times the domestic income each month for a poor family. However farming cannot employ all the farmers anymore, soon more than half of them will need to find something else to work!

The poorest, about 10% of the population, live in a great precariousness. Often they have to sell thier land after they had an accident or a chronic illness. The children sometimes abandon the school before the end of primary school, they are under-fed.

 

 

 
Copyright © 2008