Hanoi(VNA) – Vietnam needs to step up reforms to benefit more from the Comprehensiveand Progressive Agreement for Trans-Pacific Partnership (CP TPP) signed by 11nations in Chile on March 8, said Hoe Ee Khor, Chief Economist of the ASEAN+3Macroeconomic Research Office (AMRO) in Singapore.
The economistsaid that, without the US, the new version of the TPP is still very importantto the 11 remaining nations as it will span a market of nearly 500 millionpeople and the member states together amount to more than 13 percent of globalGDP and 15 percent of global trade.
Among five Asian members of the CP TPP, which are Brunei,Japan, Malaysia, Singapore and Vietnam, some have greatly benefited from surgesin foreign direct investment (FDI), he noted, citing Vietnam having receivedlarge FDI inflows into the garment and textile industry and other manufacturingsectors since many investors want to get access to the CP TPP market.
More foreign investment will be drawn into the countryafter the agreement enters into force. It was forecast that Vietnam’s FDIgrowth will exceed 2 percent in 2025 and 6 percent in 2030, he added.
Though some 20 provisions of the original TPP have beensuspended, the CP TPP remains a high-quality free trade agreement, includingmany provisions in non-tariff barriers, rules of origin, competition, labourprotection, intellectual property rights and dispute settlement.
To make the full use of the deal, member nations mustaccelerate restructuring. This is why some countries see the CP TPP as a drivingfactor for their internal reforms.
He suggested Vietnam step up reforms in several areas,including State-owned enterprises, labour standards, small- and medium-sizedenterprises and business facilitation, in a bid to aid economic growth andimprove competitiveness.-VNA
The economistsaid that, without the US, the new version of the TPP is still very importantto the 11 remaining nations as it will span a market of nearly 500 millionpeople and the member states together amount to more than 13 percent of globalGDP and 15 percent of global trade.
Among five Asian members of the CP TPP, which are Brunei,Japan, Malaysia, Singapore and Vietnam, some have greatly benefited from surgesin foreign direct investment (FDI), he noted, citing Vietnam having receivedlarge FDI inflows into the garment and textile industry and other manufacturingsectors since many investors want to get access to the CP TPP market.
More foreign investment will be drawn into the countryafter the agreement enters into force. It was forecast that Vietnam’s FDIgrowth will exceed 2 percent in 2025 and 6 percent in 2030, he added.
Though some 20 provisions of the original TPP have beensuspended, the CP TPP remains a high-quality free trade agreement, includingmany provisions in non-tariff barriers, rules of origin, competition, labourprotection, intellectual property rights and dispute settlement.
To make the full use of the deal, member nations mustaccelerate restructuring. This is why some countries see the CP TPP as a drivingfactor for their internal reforms.
He suggested Vietnam step up reforms in several areas,including State-owned enterprises, labour standards, small- and medium-sizedenterprises and business facilitation, in a bid to aid economic growth andimprove competitiveness.-VNA
VNA
