The Economist Pham Chi Lan: “Sustainability – The Vitality For Business Growth”
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The Economist Pham Chi Lan: “Sustainability – The Vitality For Business Growth”

The global economic growth is recorded with great achievements, insufficiency of natural resources and increased environmental pollution. In order to recover such problems, special orientation on economic sustainable development is triggered to address the challenges of economic growth and environmental protection by many countries in the world, including Vietnam. An exchange thereof has been initiated with the economist Pham Chi Lan on this issue within the framework of the seminar “CEO Forum: Sustainability – The Vitality For Business Growth” organized by NS BlueScope Vietnam on September 25, 2020.

According to the economist Pham Chi Lan,

Vietnam has set 115 specific goals into the “National Action Agenda” to fulfill 17 SDG sustainable development goals signed with the United Nations. Vietnam has integrated all of these goals into SDGs socio-economic development strategies and five-year plans such as SEDP (Socio-Economic Development Plan) that will
be officially approved at the 13th Party Congress to be held at the beginning of 2021. At the same time, all the legal frameworks have been enhanced towards sustainable development and environmental protection objectives.

In addition, the Government advocates and works closely with Vietnam Business Council for sustainable development. Such community not only motivates the businesses to actively fulfill Vietnam SDGs but also share the development steps, good examples such as Australian BlueScope trademark to jointly archive such goal.


  • 12 key matters have been successfully addressed by Vietnamese Government although 17 VSDG goals are not completely adhered, facilitating the premise for the goal fulfillment:
  • First, multilateral poverty was reduced from 9.9% in 2015 to less than 7% in 2017- this was a really good achievement.
  • Second, Vietnam obtained a relatively high performance and coverage of social and health insurance to the public as of 2017 was 86.4%- recently, over 90% of the public is covered by the health insurance in the recent COVID-19 outbreak.
    • Third, rate of elementary and primary classes hit up to 99%, fulfilling 99.7% of curriculum in the school year 2016-2017. Obviously, it is required to further improve the qualification of Vietnamese workers on average as graduation from the primary school and secondary school is not sufficient.
  • Fourth, gender equality under various fields has been incorporated into socio-economics and politics fields, etc. In Vietnamese National Assembly, the term is involved by 26.7% of women. This is a high rate in the Asian countries in particular and in the Southeast Asian countries in general.
  • Fifth, access to clean water obtained 93.4% in 2016. This was a relatively high rate.
  • Sixthly, access to electricity in Vietnam hit 99% in 2016.
  • Seventh, Internet use percent is concerned. Over 50 million of Vietnamese people are estimated to use Internet as it is a very important tool for the life.
    • Eighth is the annual GDP growth rate. 2019 was recorded with 7.08% GDP growth rate. However due to COVID-19 impact in 2020, the Government expects to achieve approximately 2% at most as Vietnam is one out of 57 countries recorded with surplus GDP growth among 191 countries in total considered by the World Bank.
  • Ninth, regarding all improvements in environmental and natural resource protection and management, only disclosure on 41.5% of forest coverage is released by Vietnam. This is not good. Uneconomical and ineffective use of natural resources is a very big problem of Vietnam.
  • Tenth, Vietnam has successfully reduced inequality and enhanced approach to justice and information.
  • Eleventh is more profound expansion and enhancement of Vietnam’s international relation. Up to now, EU-Vietnam Free Trade Agreement (EVFTA), a new generation free trade agreement in addition to CPTPP, has been successfully finalized and supported by more intensive and extensive commitments.
    • Finally, the youth has been advocated by Vietnam to optimize their capacity and regarded as the key partners – important players of undertaking future sustainable development goals of Vietnam.

I think that some criteria and goals set by Vietnam are far to be reached, especially quality of SDGs. Study is an example. As far as you concern, it is high to study at higher education. How about such study quality? Alternatively, electricity may be mentioned. Currently, electric quality of Vietnam is a matter of fact. Vietnam is recommended to sharply transform to renewable energy. Moreover, Vietnam’s science and technology are relatively restricted meanwhile many things may be archived by applying new science and technology. Regardless of the fact that adverse impacts of climate change are also concerned. As special attention is paid into Covid, the story about severe lack of water in Mekong River Delta or a series of natural disasters are suffered by the Central of Vietnam due to climate impacts, etc., are neglected.

Hạn hán ở Đồng bằng sông Cửu Long

In addition, nature of SGD fulfillment requires very large inter-industry coordination that is not compatible with Vietnam system. One of the biggest problems of Vietnam system is an excessively tremendous governmental system with multiple levels, ministries, and industries. That is very difficult for coordination.


In order to successfully narrow the gaps, it is required to reform policies and improve shortcomings. Awareness and action in the whole society (and Government components) must be also improved. Furthermore, it is assumed to enhance and improve the coordination with each other. Here, the State agencies may be regarded as problem No. 1.

In addition, it is recommended to conduct capacity building in terms of statistics; improve the efficiency of using the financial resources; integrate SDGs into the central and local government’s strategies, desires and policies. Finally, the international cooperation must be strengthened.


Generally, the break of supply chain occurs every 3-7 years. This happens before epidemic outbreak is recorded. However, in the context of this Covid, much more severe consequences are found.

Obviously, Covid-19 is known as the ever biggest and widest impact on supply chains. The most popular is lack of suppliers or prospects that cannot be replaced as the world’s heavy reliance on China supply is featured.

Vietnam is not an exception. This has been witnessed in some industries. Particularly, most of manufacturing and service industries such as tourism, transportation, etc., are characterized by abundant number of suppliers and consumers. Like Vietnam, the ever highest number of players to be defeated is recorded since…


  • Firstly, the enterprises are recommended to focus on completing their responsibilities for the chain and effectively improve it. Here I would like to give out 10 must-do-actions for the enterprises in this moment as recommended by McKinsey:
  • Consider come back to be a new power, marathon race to create a new power and strength to go farther, rather than short term road.
  • Focus on actions which may offer the best impacts. For example, great support may be obtained from reliance on technology, analysis capacity and globalization.
  • Develop a more flexible task force, train or recruit future leaders who may be aware of and undertake their responsibilities from now.
      • Restructure the top-to-bottom subordinate systems, continue investment and facilitating them to successfully improve workmanship;
      • Focus on investment capital to obtain the highest efficiency;
      • Concentrate on technology development projects so that high performance is archived.
      • “Rethink the global footprint” – conduct new comprehensive development, focus on developing region/bilateral relation rather than global aspect. This is known as the globalization’s general trend.
  • Actively involve in fighting against the climate changes and sustainable development.
  • Put more special attention into the Government role. Previously, the Government role was relieved and market role was highlighted by many countries. However, in the context of Covid-19 epidemic, the Government role is demonstrated to be extremely important to intervene, narrow the gaps and force it to transform faster.
  • “Make purpose part of everything” – purposes of each company are extremely important. Thanks to that, everyone shall be connected with each other and instability shall be minimized with a far-sight vision




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