Development Programs in Vietnam to Address Poverty

Development Programs in VietnamIn Vietnam’s 15th National Assembly in Hanoi, the government has focused on development programs targeting reducing poverty in rural regions in Vietnam and its effects on the country’s ethnic minorities. Here is how the country is revamping development programs to address poverty in Vietnam.

The Supervision Delegation’s Report

As Minister Y Thanh Hà Niê Kđăm, Chairman of the National Assembly’s Council of Ethnic Minorities, presented, there remain gaps between the nation’s general development in comparison to the socioeconomic development of Vietnam’s rural regions. A report conducted by the country’s Supervision Delegation that monitors nationwide policy implementation across 11 ministries and 15 provinces noted this discrepancy.

The report by the Supervision Delegation has revealed that poverty in rural regions in Vietnam has persisted despite new development programs due to the central government’s delay in allocating parts of the budget to finance vital municipal and provincial projects. As a result, rural development has stalled and has subsequently fallen into stagnation as regional governments become reluctant to implement new rural construction due to budget limitations. 

Moreover, the report from Chairman Y Thanh Hà Niê Kđăm displays that the country’s ethnic minorities are more prone to experience poverty despite national poverty reduction efforts. Ethnic minorities account for 14.7% of Vietnam’s total population, however, they suffer poverty at disproportionate rates. In 2015, while the nation’s overall poverty rate was 7%, the rate affecting ethnic minorities was 23.1%. Therefore, while poverty has reduced throughout the country, Vietnam’s rural region has continued to suffer in poverty. 

Improvements for Ethnic Minorities in Vietnam

Be that as it may, data from the World Bank has revealed a positive incline in regard to the social and economic welfare of Vietnam’s ethnic minorities throughout the decade. While the impacts of COVID-19 have negatively affected the increase in prosperity and wages, the poverty rate has nearly reduced by 50% for the general population, including ethnic minorities and those living in the nation’s rural and mountainous regions. This came as more and more ethnic minority workers began to leave the agricultural sectors and began to find work in other fields. As of 2020, approximately 23% of Vietnam’s ethnic minorities are employed in manufacturing. 

This parallel between the shift in employment and the reduction in poverty for ethnic minorities is not coincidental. One of the main obstacles that prevents the country’s minorities from socioeconomic welfare is the inequality in land distribution. In 2015, only 26% of Vietnam’s total forest land was due to minority communities, and among that land, only 2% was useful for agricultural purposes. This poses a significant challenge to those relying on agriculture for income. As a result, the transition from agricultural careers to manufacturing has led to positive economic developments for Vietnam’s ethnic minorities. 

Moreover, Chairman Y Thanh Hà Niê Kđăm at the National Assembly has prompted the central government to push for a revitalization of Vietnam’s development strategies for the nation’s rural regions. 

Development Programs in Vietnam

This would mean a reevaluation of the nation’s rural development programs to tackle poverty in Vietnam’s rural regions. Therefore, the National Assembly has agreed to revamp poverty reduction programs for them to be effective and sustainable by setting realistic targets as well as ensuring the importance of allocating the appropriate budget in order to deliver the objectives outlined. However, as a whole, poverty on a national level has reduced drastically. While the poverty rate in 2016 was 9.2%, the rate has steadily declined and has fallen to 4.2% in 2022. 

”It is essential to assess whether poverty reduction efforts are effective,” said Deputy Trần Quang Minh in Vietnam News, “as in some areas, local authorities are only striving to achieve the targets set by resolutions and annual plans, often leading to various approaches with the goal of reducing the numbers. However, the quality of poverty reduction and the sustainable escape from poverty in Vietnam have not been genuinely evaluated.”

– Remigius Kim
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