At the 13th National Party Congress (Photo: VOV)

Per capita income in Vietnam is now over 4,500 USD per year. Achieving high-income status will require persistent effort, strong growth drivers, sustained economic growth, and a good growth model.

Reforming leadership approaches

Dr. Nguyen Van Dang of the Public Administration Department of the Ho Chi Minh National Academy of Politics elaborated on the effort that will be needed to achieve the goal: "Vietnamese leaders have repeatedly highlighted the concept of a new era. In the coming time, Vietnam needs to rise strongly and create breakthroughs to overcome the middle-income trap and join the group of developed countries. Reaching high-income status will require Vietnam to raise its per capita GDP to over 12,500 USD per year and improve its human development index (HDI) from the current 0.7 to above 0.8. This ambitious goal will require the combined effort of the whole nation and determination to raise the national status to a new height as a developed country."

In order to maintain steady economic growth in the next 20 years, the direction Vietnam follows now will play a decisive role. Dr. Dang said that, while Vietnam has used effective methods in the past, the new context requires fresh thinking and innovative governance that can drive development. The Party, which has the role of leadership and governance, needs to innovate in its leadership methods, adopt new thinking, and implement new measures to promote development.

"General Secretary To Lam underscored the need for strong reforms in leadership method and in the structure of the political system and State apparatus, as well as reforms that extend from policy planning to execution. The General Secretary encouraged every individual and agency to consider reforms in their organization or field to contribute to the nation’s development,' said Dang.

Economic policies should be more competitive

In addition to governance reforms, economic policies must become more competitive. Studies suggest that to reach high-income status by 2045, Vietnam’s GDP growth rate must average 7% per year and this growth rate must be maintained for multiple years. Policies should support industrialization, foster small and medium-sized enterprises, and increase investment in research and development. Transitioning from input-driven to innovation-driven growth will be key, focusing on human capital, market efficiency, competition, and technological advancement. Improving the legal framework and strengthening the National Innovation System will also be critical.

Honorable Professor Tran Van Tho of Waseda University in Japan says productivity-boosting measures, such as industrial expansion, resource allocation reforms, and preparing for an innovation-led growth phase, will position Vietnam for sustained prosperity by the 2030s and beyond.

With a national goal of high-income status by 2045, the path forward is challenging, but with the determination of Party and State leaders and public support, Vietnam is poised to elevate its position on the world stage over the next two decades.