VIETNAM: HANOI'S ECONOMIC RESEARCH FORUM

UNCLAS HANOI 001310

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E.O. 12958: N/A
TAGS: ECON VM
SUBJECT: VIETNAM: HANOI'S ECONOMIC RESEARCH FORUM


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1. (SBU) Among the biggest challenges in Vietnam's
transition to a market economy is the lack of Western
trained economists capable of analyzing policy choices for
the Government. One attempt to address this challenge is
the year-old Vietnam Economic Research Consortium (VERCON)
which held its first annual research conference on May 24 in
Hanoi. A total of twelve papers, half of which Vietnamese
economists wrote, were presented. Over 70 people attended
the conference. Topics included monetary policy and
financial market development, capital account issues, the
political economy of Vietnam's transition, the micro-
foundations of development, factor productivity and
mobility, and trade and integration into the world economy.
Papers will be published later this fall.


2. (SBU) Vietnamese participants included economists from
leading think tanks such as Vietnam Academy of Social
Sciences (VASS),the Central Institute for Economic
Management, the National Economics University, the Fulbright
Economics Program in Ho Chi Minh City, the State Bank of
Vietnam and the Ministry of Finance. Vice Minister of
Finance Le Thi Bang Tam, who chaired one of the sessions,
told the conference that she was very pleased with this
opportunity for open discussion to exchange ideas on topics
that form the basis for policy making in Vietnam. The key
conclusion of the conference was that Vietnam needs to
improve the standard for collecting economic data so that
research conclusions can be more reliable. The IMF, VASS
and the German Technical Cooperation Group (GTZ) sponsored
the conference with most of the funding from GTZ.


3. (SBU) Vercon was founded a year ago by IMF
Representative Susan Adams, VASS Researcher Dan Nhu Van and
ECON/C in order to provide Vietnam's Western-trained
economists (holding at least a master's degree) with a way
to maintain and hone their skills by discussing their
ongoing research in a neutral forum. Initially topics
avoided discussing Vietnam given concern that the Government
would deem this criticism of its policies. Over the past
year, topics have gradually shifted to focus on Vietnam.


4. (SBU) Comment: In most other countries, such a
conference would not be noteworthy. In Vietnam, it was a
step towards a more open society where discussion and frank
critiques of Government policies are possible.
Nevertheless, Susan Adams said that many government
participants nearly withdrew at the last minute. End
Comment.

MARINE


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