Unofficial Transactions Persist, Reforms Inadequate

[Asia Economy Hanoi Joara Guest Reporter] Movements to eliminate corruption are intensifying in Vietnam. As the country actively seeks to attract foreign direct investment (FDI) through free trade agreements (FTA) and other measures, complaints from businesses regarding customs, social insurance, and tax issues continue unabated.


According to local media such as Vietnam Economy on the 25th, Nguyen Phu Trong, President of Vietnam, has declared a war on corruption. Previously, the government issued a resolution (126/NQ-CP) in November 2017 to eradicate corruption and urged resolution by 2020, but the prevailing response is that efforts remain insufficient.


In fact, according to the 'PCI 2018 Vietnam' report released by the Vietnam Chamber of Commerce and Industry (VCCI) in March last year, 36.5% of companies reported having paid unofficial costs. Although this is an improvement from 52% the previous year, it was still assessed that further reforms are necessary. The Vietnam Central Inspection Commission also decided last month on 62 anti-corruption cases involving 720 defendants, including 11 death sentences.



However, there are also criticisms that methods to support anti-corruption and judicial reform agencies remain limited. In some sectors, regions responsible for anti-corruption activities have not significantly changed, and corruption still occurs in many places. Last year, Ho Chi Minh City handled 25 corruption cases, while Hanoi investigated the implementation of transparency and operational regulations in 578 institutions, uncovering 4 violations. Hanoi also reassigned or reduced departments for 714 public official executives to prevent corruption.


This content was produced with the assistance of AI translation services.

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