Niti Aayog Vice-chairman meets Vietnam delegation led by Dy PM Le Minh Khai

Newsdesk
By Newsdesk December 18, 2021 13:50

Niti Aayog Vice-chairman meets Vietnam delegation led by Dy PM Le Minh Khai


New Delhi, Dec 17 Niti Aayog Vice-chairman Rajiv Kumar mets the Vietnam delegation led by Dy PM Le Minh Khai today.

The delegation discussed the potential areas for deepening the Indo-Vietnamese bilateral relationship in areas of exchanging views and perspective of the new world economic trends, post Covid19 Pandemic, sharing and updating on macro economy of the both sides (India and Vietnam).

The meeting also focussed on made in India a major initiative & Digital India, indian Digital transformation, e-government, education reform, health system, especially preventive healthcare, health center; Development of pharma Parks; smart cities.

The two sides also touched upon the opportunity for governmental bodies and research institutes of Vietnam to coordinate and cooperate with NITI Aayog’s sub – committee.

Vietnam and India have a long-standing traditional relationship that has been cultivated by the leaders of both countries. India and Vietnam established Diplomatic Relations in 1972, Strategic Partnership in 2007 and Comprehensive Strategic Partnership in 2016. Trade and investment cooperation is one of the main pillars of bilateral relations. In terms of investment,

India has 315 active projects in Vietnam with a total investment capital of nearly 1 billion USD, ranking 26th out of 141 countries and territories investing in Vietnam. The capital mainly focuses on the processing and manufacturing industries (accounting for 54.5%). In terms of trade, the two-way turnover in the first 10 months of 2021 reaches nearly 11 billion USD, up by nearly 40% y-o-y and surpasses the total trade turnover of 2020. India is currently among the top 10 biggest trading partners of Vietnam while Vietnam is India’s fourth-largest trading partner in ASEAN.

Trade and investment cooperation between Vietnam and India has achieved positive results in recent years, but it is still modest and not commensurate with the potential and advantages of both sides. The economies of the two countries have many similarities, which can support and complement each other for mutual development. Specifically,

India can become a supplier of input materials, for Vietnam in industries such as textiles and garments, shoes and leather, and machine manufacturing…; at the same time, creating more favorable conditions for Vietnamese products, such as consumer goods, electronics, agricultural and aquatic products, wood products, rubber…, to penetrate deeply the Indian market. Besides, Vietnam also offers a wide scope for cooperation and mutual support in the fields of textiles and garments, high-tech agriculture, biotechnology, pharmaceuticals, information technology, energy, infrastructure and mining.

It is affirming that Vietnam is enforcing many reforms to attract foreign investment, in line with OECD standards, which are: (1) maintaining socio-political and macroeconomic stability; (2) removing bottlenecks of the economy in terms of legal institutions, infrastructure and human resources; (3) developing supply chains and reducing transaction costs, especially logistics and administrative costs; (4) building a stable policy environment, which is highly predictable, with transparent implementation and greater accountability.

 

Newsdesk
By Newsdesk December 18, 2021 13:50