Sustainable Economic Development and Vocational Training
Macroeconomic Reform Program
To ensure prolonged economic growth while maintaining a sustainable socio-economic development in an open global economy, Viet Nam seeks to improve its overall economic management as well as its regulatory framework with regards to development planning, public financing and the strengthening of the financial systems. Future challenges include the creation of a market-oriented regulatory system, newly defined state functions, and the strengthening of various central state institutions.
Expansion of market economy-oriented concepts which serve as a basis for short and medium-term advice to the political level and for socio-economic development planning is one of the key elements of German-Vietnamese cooperation in this area. In supporting Viet Nam’s transition and reform process, the Macroeconomic Reform Program focuses on the following three components: Economic and Social Policy, Public Finance, Financial Systems Development. Additionally German expertise is provided in order to imply ecological aspects into tax reform.
Support towards an Environmental Tax Reform
Vietnam plans to implement an Environmental Tax Reform by 2011. With support of German Development Cooperation, Viet Nam will become the first country in Asia to pass such a law, which taxes not only energy in terms of refined fuels and coal but also environmentally harmful substances such as chemicals and pesticides. By stimulating necessary changes in consumer behaviour and energy-efficient production, this environmental tax law has the potential to reduce Viet Nam's annual CO2 emissions between 2.3% and 7.5%, depending on the implemented tax rate. For the year 2012, this could amount to an absolute emission reduction between 2.8 and 9.3 million tons of CO2.
Vocational Training Program 2008
Rapid economic developments in Viet Nam pose enormous challenges to the vocational training system. In fact, graduates of vocational training institutes do not possess the necessary competencies to meet the increasing demand for highly qualified workers.
German Development Cooperation supports Viet Nam in increasing the provision of demand-orientedly trained and qualified laborers for sectors with growth potential. For this purpose, Technical and Vocational Education and Training (TVET) institutes are selected according to specific criteria. Germany assists the selected institutes in drafting institutional development plans. On the basis of these plans, Germany helps modernize the trainings offered by the institutes, e.g. by further training teachers and management staff, and by providing training equipment. Moreover, the program promotes cooperation between the institutes and the business community and raises awareness for the importance of vocational training through networking activities. Involvement of private vocational training services is increasingly important within German-Vietnamese cooperation.
Technical and Vocational Education and Training (TVET) System Advisory Project
Given recent radical structural changes in the economy and due to global competition, further reform and expansion of the TVET system in Viet Nam is necessary. Viet Nam and Germany cooperate closely to improve the performance and demand-orientation of TVET in Viet Nam in a sustainable way. The capacity of the Vietnamese Government to plan, regulate and finance TVET is strengthened through advisory services, system development and other capacity building measures. Moreover, the joint efforts target at developing customized concepts for cooperation between TVET institutions and the economic sector as well as for financing TVET. Moreover, new forms of TVET teacher training are being piloted. Finally, Vietnamese partners are supported in coordinating donor activities in the sector. TVET System Advisory draws on the experiences gathered by the program’s activities on the institute level.
Through public private partnerships (PPP) of Vietnamese TVET institutes and German development cooperation agencies with a German TVET provider (EBG), Vietnamese teaching and training personnel receive intensive further training in metal cutting, CNC. Additionally, TVET institutes are being promoted in strengthening their relations with enterprises and by the selection and delivery of modern training equipment.
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© 2011 - German Development Cooperation with Vietnam