Vietnam Provincial Competitiveness Index 2010


Presentation by Dr. Edmund Malesky on the FDI Survey (pdf, slides)
Executive Summary (pdf – text)
Chap 2. FDI Survey (pdf – text)
Vietnam Provincial Competitiveness Index 2010 (full report, pdf, text)
Welcome Remarks by AmCham Chairman

Co-organizers with AmCham

Mar 18 Co-Organizer Logos VCCI EuroCham USAID-VNCI

Event Description

Using new survey data from 7,300 businesses in Vietnam that describe firm perceptions of their local business environments and hard data, the 6th year iteration, Provincial Competitiveness Index (PCI) 2010 continues to assess and benchmark the performance and capacity of all 63 provincial and city governments within Vietnam to develop business-friendly regulatory environments for private sector development.

Of specific relevance to AmCham and policymakers this year is the PCI 2010 report’s special feature on the first time survey results from 1,155 foreign invested enterprises from 47 different countries located throughout Vietnam, including:

• Performance profiles;
• Drivers of firm investment location decisions;
• Perception and perspective of the Vietnamese business environment.

Equip yourself with the most up-to-date information on the current foreign investment profile and governance and competiveness of all 63 provinces in Vietnam in a not-to-be-missed joint VCCI-AmCham-EuroCham.


11:45 – 12:00Registration
12:00 – 12:15EuroCham’s/AmCham’s Welcome Remarks
12:15 – 12:25Opening Remarks: VCCI Chairman Dr. Vu Tien Loc
12:25 – 12:45Results of the FIE Survey: Dr. Edmund Malesky
12:45 – 13:05Comments on the FIE Survey: Dr. Đỗ Nhất Hoàng
13:05 – 13:30Q&A
13:30 – 13:35Closing Remarks

(Lunch follows with Presentations)


VND 650,000/Member; Non-member: VND 950,000

About the Speakers

Dr. Đỗ Nhất Hoàng, Director General, Foreign Investment Agency, Ministry of Planning & Investment, where he is responsible for leading the efforts to promote foreign direct investment in Vietnam. Prior to his current position, he was Deputy Director General of the MPI Legal Department, where he was actively involved in the preparation of the Law on Investment and the 2005 Unified Law on Enterprises.

Dr. Edmund Malesky, UCSD Professor and USAID/VNCI Advisor. Dr. Malesky is the lead researcher of the Vietnam Provincial Competitiveness Index, with six annual editions developed by VCCI and USAID’s Vietnam Competitiveness Initiative since 2005. His doctoral dissertation won the Gabriel Almond award of the American Political Science Association, honoring the best thesis in the field of comparative politics. He has been a consultant for the U.S. Agency for International Development, the World Bank, Development Alternatives, Inc., the Asia Foundation, and the United Nations.

About the Provincial Competitiveness Index (PCI)

The Provincial Competitiveness Index (PCI) is a joint effort of the Vietnam Chamber of Commerce and Industry (VCCI) and U.S. Agency for International Development’s Vietnam Competitiveness Initiative (VNCI) since 2004. PCI is a highly successful, widely disseminated measurement of economic governance of key indicators that affect the business environment and competitiveness in 63 provinces.

Over the past year more than 40 cities and provinces and state agencies have used the PCI to engage in public-private dialogue and analysis with local communities, to better understand competitive factors that drive economic growth. Investors use the index when forming decisions about new business ventures. The top five (5) provinces in 2009 national standing were Da Nang, Binh Duong, Lao Cai, Dong Thap, Vinh Long and Vinh Phuc. Further information about PCI and previous reports may be viewed on

About the PCI developers

Vietnam Chamber of Commerce and Industry (VCCI)
Founded in 1963, the Vietnam Chamber of Commerce and Industry (VCCI) is a national organization that assembles and represents the business community, employers, and business associations of all economic sectors in Vietnam. The mission of VCCI is to protect and assist private enterprises, to contribute to the socio-economic development of the country, and to promote economic, commercial, and technological cooperation between Vietnam and other countries in the world. VCCI’s two main functions are: (i) representing the Vietnamese business community through the promotion and protection of the lawful, legitimate interests of Vietnamese enterprises and employers in domestic and international relations; and (ii) promoting the development of business enterprises, facilitating cooperation among business entities, and offering assistance in trade and investment, economic and technical cooperation as well as other business activities of enterprises in Vietnam and abroad.

USAID’s Vietnam Competitiveness Initiative (USAID/VNCI)
USAID/VNCI provides technical assistance to improve the competitiveness and the business environment of Vietnam in top priority areas for government and business. USAID/VNCI’s programs include: policy advocacy using the PCI data and other policy activities that assist the government and business sector to improve governance, decision-making and policy-making to achieve optimal economic performance and promote participation and transparency; regulatory reform by supporting the Prime Minister’s Master Plan to Simplify Administrative Procedures (Project 30), implemented by the Office of the Government; infrastructure financing and development through innovative models of public-private partnership, legal and institutional reform to support the financing of a wide range of infrastructure projects through an effective and transparent financing mechanisms and funds which takes the burden off the Government budget; regulatory impact assessment under the Law on Laws that introduces more rigorous evidence-based cost-benefit analysis techniques, public consultation and policymaking to guide law making; and other reform activities that respond to specific requests to improve economic governance.

Additional background: Vietnam Competitiveness Report, 2010

Vietnam’s growth since the mid-1980s has been driven by transition and structural change. Growth has been fueled by these macroeconomic, “systemic” changes. More recently, the policy response mainly focuses on intensifying investment, especially in SOEs and infrastructure, to generate growth rather than on upgrading productivity and efficiency. However, the economic logic behind this growth model ultimately has limited potential. The highest level of prosperity that Vietnam can reach given this approach is defined by the level of productivity unskilled workers can reach in manufacturing. If Vietnam is not able to move beyond this model, it will be stuck at lower middle income level, with poorer economies threatening its position.

Vietnam Competitiveness Report, 2010 – Michael Porter, et. al.