State of the Environment Vietnam - overview\socio-economic_development.htm

Socio-Economic development

Environmental resources
Environmental concerns
Environmental management and legislation  
The key issues of Environment in Vietnam


Economic development

Vietnam is a developing country, with 76.5% of its population living in rural areas and with the livelihoods of 70% of its population being based on the exploitation of natural resources. Currently, Vietnam is going through a period of industrialisation and modernisation and according to the economic development strategy up to 2020, Vietnam is expected to become an industrialised country. During this period, the rate of economic development  will be relatively high and consequently, Vietnam will have to face many environmental problems as well.Since the adoption of the "renovation" policy in 1986, Vietnam has shifted from a centrally planned economy with subsidy schemes, to a state-oriented market economy with many economic components. The Vietnamese economy has developed relatively fast, with an annual growth rate of GDP (General Domestic Production) in the early 1990s of 8.5%, and between 1995 and 1997 of 8.15 to 9.54% (of which industry accounts for 12-14% and agriculture 4.44 to 4.4.7%). In the period 1998-1999 the growth rate of GDP decreased to 5-5.8% (of which industry was 8-10% and agriculture 3.4%), due to the Asian economic crisis. Figure 1 shows the growth of economic sectors and GDP during 1985-1999 (at constant 1994 prices).

In the last 15 years considerable progress was made in restructuring of the economic sectors. Between 1985 and 1999, the proportion of industry and construction increased from 27.35% to 37.49%; of commercial services increased from 32.48% to 40.08%; and of agriculture, forestry and fishery decreased from 40.17% to 25.43%.

 

  •  General Domestic Production 
  •  Sevive and Trade
  •  Industry and Contruction
  • Agriculture, Forestry and Fishing

The growth of GDP during 1985-1999 by economic sector (at constant 1994 prices - milion dong)
Source:
General of Statistics - Statistical Year Book, Ha Noi 2000

[Top]

Human resources development


Growth of population
Population structure

Education
Health services


* Growth of population

The total population of Vietnam in 1945 was around 25 million. After 55 years the population has more than trebled and stood at 76,327,919 as on 1 - 4 - 1999. The average annual growth rate of population was 2.1 and 1.7%/year in the periods 1979 - 1989 and 1989 - 1999 respectively. Figure 2 shows the evolution of total population and urban population from 1989 to 1999. The average density of population in Vietnam was 230 persons/ km2 as in 1999.


Growth of total population and urban population from 1989 to 1999 (million person - Total Population.  The rate of urban population in compare with total population (%)   Total urban population
Source : General of Statistics, Statistical Year Book, Ha Noi 2000

[Human resource development]

* Population structure

Vietnam has a relatively young population with 39.55% of total population being below the working age, 52.83% of the working age, and 7.62% over the working age as shown by the 1998 statistics. Of the total population, the proportion of men is 49.2% and women 50.8%. In 1997, Vietnam's working population was about 37 million. The rate of unemployment decreased from 8-9% in 1990 to 6-7% by 1994.

Human development index (HDI) is considered as a general yardstick of socio-economic development impact on human. The changes of HDI in Vietnam from 1995 to 1999 is shown in

Human development indices (HDI) of Vietnam

Index

1995

1996

1997

1998

1999

Longevity [year]

62.2

65.5

66.0

66.4

67.4

Rate of literacy adults [%]

91.9

92.5

93.0

93.7

91.9

Real average of General Domestic Production (GDP) [$PPP* per capita]

1010

1040

1208

1236

1630

Rank in classification Table for 174 countries in the world

122

121

121

113

110

 

 

 

 

 

 

 

 

 

 

 

 

 

Source : General of Statistics - Statistical Year Book, Ha Noi 2000 * $PPP: equivalent purchasing power parity

By 1997, Vietnam had about 13 million poor people  representing 18.06% of the total population (in cities the percentage of the poor is 8.57% and in rural areas it is 20.19%).

Human Poverty Index (HPI) is considered as an additional yardstick plus the yardstick of income. As in the 1997 "Human Development Report" of UNDP, Vietnam ranked 33 with HPI value of 26.2%, among 78 developing countries.

[Human resource development]

* Education

Although Vietnam is a poor country, its education system is relatively well developed.  Most children enter schools, and many provinces and districts have achieved literacy levels of 100% of their local populations. According to statistical data for the school year 1998-1999, there were 82,600 kindergarten schools, 23,419 schools (including primary, secondary and high schools), 247 vocational secondary schools and 123 universities and colleges (except private schools). The growth of total number of students in all types of schools is shown in Fig.3. As can be seen for the school year 1997-1998 the total number of pupils and students reached 20,157,300; of which 662,800 are students of universities and colleges. Therefore, for every 1000 persons there are 264 school students and 8 students of university or college level, which shows that more than one-third of the population enters the education system.

However, the biggest problems in the education system at present are an imbalance between vocational training and higher education and degradation in the quality of education. The number of vocational and vocational secondary pupils is too small as compared to the total number of students.

Total number of pupils and students at different education levels during 1992-1998 (1,000 persons)

Source : General of Statistics - Statistical Year Book, Ha Noi 2000

In general, public consciousness and awareness on environmental protection is still poor. The qualification and number of environmental experts is also inadequate to meet the demands of environmental protection in the process of industrialisation and modernisation in Vietnam.

[Human resource development]

* Health services

The development of health services and public health protection is also significant in Vietnam. According to the 1998 statistical data there were 13,330 health establishments, of which 1,944 were hospitals and local surgeries, 119 sanatoriums, and 11,201 health stations in communes, quarters and enterprises. By 1998, the total number of beds was 199,100 which translates into some 2.6 beds for every 1000 persons. The total number of medical doctors and nurses was 34,174 and 49,297 respectively, which means that there were 1.1 doctors or nurses for every 1000 persons. The Centre for Medical Hygiene has been set up in every province/city. These centres are responsible for regular inspection on environmental and food hygiene in urban areas and production establishments, organisations as well as in schools.

 

[Top]

 

 

Last updated by Environmental Database Division: 6/13/2002