Government e-Newspaper: Double-Digit Growth Reflects Strong Political Resolve and Clear Strategic Vision

Assessing the Government’s supplementary report on the implementation of the 2025 socio-economic development plan and the rollout of the 2026 plan presented to the 16th National Assembly, Associate Professor Dr. Bui Quang Binh of the University of Economics (The University of Danang) said the “double-digit” growth target reflects strong political resolve and a clear strategic vision.

Associate Professor Dr. Bui Quang Binh, University of Economics (The University of Danang).

A Shift in Governance Mindset

Overall, Assoc. Prof. Dr. Bui Quang Binh said the Prime Minister Le Minh Hung’s early-term report signals a notable shift in governance thinking: from a model of “stability for growth” to one of “ambitious growth tied to economic restructuring,” clearly reflected in the double-digit growth target.

From a development economics perspective, he said this is a political - strategic signal aimed at shaping expectations and driving reform momentum, while also placing high demands on the quality of growth - particularly the role of total factor productivity (TFP). Notably, the Government is not relying solely on traditional drivers such as public investment or foreign direct investment (FDI), but is also emphasising new pillars including the digital economy, the green economy and innovation.

However, according to Assoc. Prof. Dr. Bui Quang Binh, these orientations remain broad in scope. The greatest challenge lies in translating them into sufficiently robust policy mechanisms capable of delivering productivity breakthroughs - the decisive factor for sustaining high growth over the long term.

“In this context, viewed through the growth model of Robert Solow, Vietnam is at a critical inflection point: it can no longer rely primarily on capital accumulation and labour expansion, but must instead depend on improving the efficiency of resource utilisation. This implies that institutional reform, improved public governance and the promotion of innovation are no longer optional, but essential conditions for achieving double-digit growth,” he said.

Integrating Social Welfare Policies into the Growth Strategy

Alongside economic growth, Assoc. Prof. Dr. Bui Quang Binh noted that the Prime Minister’s early-term report highlights another notable shift: the integration of social welfare policies into the growth strategy, rather than treating them merely as redistributive tools. Initiatives such as a unified national textbook system, periodic health check-ups for all citizens, and the development of the “silver economy” reflect a people-centred development approach aligned with the views of Amartya Sen.

Specifically, a unified textbook system could help standardise education quality and reduce inequalities in access to knowledge, thereby enhancing human capital. Beyond equity, the policy also carries economic efficiency benefits by creating a more consistent knowledge base across regions, reducing long-term retraining costs for businesses. However, standardisation should be accompanied by flexible mechanisms to avoid stifling competition and innovation in educational content.

Meanwhile, periodic health check-ups signal a shift from a “treatment-based” to a “prevention-based” approach, helping to improve health capital and labour productivity over the long term. This aligns with international experience, where countries with strong preventive healthcare systems tend to achieve higher cost efficiency and productivity. That said, challenges remain in terms of grassroots healthcare capacity and the financial resources required for nationwide implementation.

Most notably, the “silver economy” initiative reflects the Government’s view of population ageing not merely as a burden, but as an opportunity to develop new markets and service sectors—from healthcare, finance and insurance to tourism and consumer services for the elderly.

This approach signals a shift in policymaking: rather than reacting to demographic trends, the Government is proactively leveraging them as a new growth driver. However, for the “silver economy” to become a true pillar, he noted that a sufficiently developed ecosystem of enterprises, service infrastructure and legal frameworks will be required; otherwise, it may remain at the level of orientation.

Institutional Reform and Human Capital Investment as Drivers of Productivity

According to Assoc. Prof. Dr. Bui Quang Binh, the feasibility of these goals and policies depends on three key factors. First is implementation capacity, given the typical lag between policy design and execution. Second is the issue of resources: simultaneously pursuing high growth and expanding social welfare may place pressure on the state budget and increase the risk of macroeconomic imbalances if not properly prioritised.

Third is the degree of linkage between welfare and growth. If social policies are not closely aligned with productivity enhancement goals, they risk becoming a cost rather than a driver of development.

Ultimately, Assoc. Prof. Dr. Bui Quang Binh said the core challenge of the current term does not lie in setting a double-digit growth target, but in the ability to translate institutional reforms and investment in human capital into genuine drivers of productivity and sustainable growth.