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Making Fiscal Decentralization Work in Vietnam

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Abstract

Vietnam is a poor country with large and increasing needs in infrastructure, education, health, and other areas of the public sector. The current policy of the Government of Vietnam (GOV) is not to increase tax effort, but actually to reduce it. Recently, the GOV has cut the rates of several taxes with the goal of making Vietnam’s exports more competitive internationally and to attract more foreign direct investment. Tax revenues will be further cut in the near future as the GOV prepares for accession to the WTO by reducing the level and dispersion of customs tariff rates.

Suggested Citation

  • Jorge Martinez-Vazquez, 2004. "Making Fiscal Decentralization Work in Vietnam," International Center for Public Policy Working Paper Series, at AYSPS, GSU paper0404, International Center for Public Policy, Andrew Young School of Policy Studies, Georgia State University.
  • Handle: RePEc:ays:ispwps:paper0404
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    File URL: http://icepp.gsu.edu/files/2015/03/ispwp0404.pdf
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    Cited by:

    1. repec:taf:rjapxx:v:14:y:2009:i:4:p:399-419 is not listed on IDEAS
    2. Roy Bahl & Jorge Martinez-Vazquez, 2013. "Sequencing Fiscal Decentralization," Annals of Economics and Finance, Society for AEF, vol. 14(2), pages 641-687, November.
    3. World Bank, 2004. "Vietnam Development Report 2005 : Governance," World Bank Other Operational Studies 15650, The World Bank.
    4. Nguyen, Hoang-Phuong, 2008. "What is in it for the poor? Evidence from fiscal decentralization in Vietnam," MPRA Paper 9344, University Library of Munich, Germany.
    5. Vu, Binh & Nguyen, Tom & Smith, Christine & Nghiem, Son, 2015. "Vietnam's responses to provincial economic disparities through central-provincial government financial relations," MPRA Paper 67705, University Library of Munich, Germany, revised 2014.

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    Keywords

    Fiscal Decentralization; Vietnam; tax effort;

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