Publication: Vietnam’s Urbanization at a Crossroads: Embarking on an Efficient, Inclusive, and Resilient Pathway
Loading...
Files
1,720 downloads
368 downloads
40 downloads
90 downloads
27 downloads
Published
2020-11-01
ISSN
Date
2020-11-10
Author(s)
Editor(s)
Abstract
Since the launch of the Đổi Mới (economic renovation) reforms in 1986, Vietnam has successfully transformed its economy. Real GDP per capita growth has averaged 5.5 percent a year since 1990, with the result that real GDP per capita has more than quadrupled. In addition to being rapid, Vietnam’s growth has been stable—the volatility in annual GDP growth per capita over 1991–2014 was among the lowest in the world. The impact on poverty reduction in Vietnam has been even more pronounced. Per capita income of the bottom 40 percent has grown by 9 percent a year since the early 1990s. Based on the global poverty line of 1.90 Dollars a day, the poverty rate declined steeply, from 50 percent in the early 1990s to just 3 percent in 2012. The decades of rapid economic growth in Vietnam have been accompanied by urbanization and spatial transformation. In 1986 fewer than 13 million residents, or 20 percent of Vietnam’s population, lived in areas officially classified as urban. By 2017 that number had grown to 30 million, or 35 percent of the population, with urban areas contributing over half of national GDP. From 2009 to 2014, the average annual population growth rate in urban areas was a brisk 3.3 percent (General Statistics Office of Vietnam, 2016). The urbanization process has been associated with the movement of workers and their households from rural areas to urban areas and workers in the agriculture sector to the industrial and service sectors in urban centers. It has also been associated with natural population growth in urban areas. In dealing with urbanization, the country has mounted an impressive record of keeping rural–urban and regional disparities in check through the promotion of rural industrialization and central transfers aimed at poorer areas. These transfers have allowed the expansion of basic services and infrastructure. The recommendations in this report have three layers: two policy principles, two overarching strategies, and three areas of policy actions. The two policy principles are (1) fostering positive agglomeration economies and better managing the negative congestion forces in leading urban centers and (2) promoting regional integration to boost labor mobility and, more generally, factor mobility, thereby fostering agglomeration in the right places (both overall and within each tier). These two policy principles should be supported by two overarching strategies: (1) ensuring universal access to quality education, health, and other basic services and (2) adopting a spatially differentiated strategy. In the long run, regional integration connects people and firms in poorer areas with those in richer ones through enhanced migration flows and better connectivity, counteracting regional divergence.
Link to Data Set
Citation
“World Bank. 2020. Vietnam’s Urbanization at a Crossroads: Embarking on an Efficient, Inclusive, and Resilient Pathway. © World Bank. http://hdl.handle.net/10986/34761 License: CC BY 3.0 IGO.”
Digital Object Identifier
Associated URLs
Associated content
Other publications in this report series
Journal
Journal Volume
Journal Issue
Collections
Related items
Showing items related by metadata.
Publication Arab Republic of Egypt Urban Sector Note : Volume 1. Urban Sector Update(Washington, DC, 2008-06)The objective of this paper is to present a succinct and up-to-date review of the urban sector in Egypt, with a focus on issues for which there is new insight or emerging government interest. The two main themes of the report are the challenges facing the urban sector and the policy implications at various levels of government. Some of the reports mains findings are: urbanization in Egypt takes on forms and processes which are not well understood and as a consequence urban policies are sometimes weak or counter productive; until now policies and actions in the urban sector have mainly consisted of State driven, supply-side interventions; due to the focus on development in the desert, the dynamics of urbanism in the Nile Valley and Delta, which together contain over 95 percent of the country's population, have largely been ignored; and finally it is rare that government of Egypt's urban development projects include a strategy of capturing the appreciation value of their investments ("unearned increment"), cross-subsidization or cost recovery. The note concludes with a set of recommendations of ways to improve the government's response to the urban challenge.Publication Vietnam Urbanization Review : Technical Assistance Report(World Bank, 2011-11-01)As Vietnam enters a crucial period of urbanization corresponding to its present stage of economic development, the Government of Vietnam has placed strong emphasis on developing its system of cities. In accordance with this objective this Urbanization Review is dedicated to understanding the key dimensions and aspects of Vietnam's urbanization process and to identifying trends, opportunities, challenges and core policy priorities that the government will need to address in order to realize its objective. The Vietnam Urbanization Review was prepared following extensive consultations with various stakeholders, including officials from national and local government, private sector groups and international and bilateral organizations active in development assistance in the urban sector in Vietnam. It builds on a strong portfolio of World Bank engagements in investment and policy lending to the Government of Vietnam. It also builds on a number of more in-depth studies that were commissioned specifically for the Vietnam urbanization review.Publication Toward an Urban Sector Strategy : Georgia's Evolving Urban System and its Challenges(Washington, DC, 2013-02-03)This review analyzes the profile, trends and challenges of Georgia's changing urban landscape since independence in 1991 and provides policy suggestions to facilitate the economic transition of the country through its cities. In its analysis and subsequent recommendations on policy interventions, this report draws on a program of diagnostics called the 'Urbanization Review' (UR). The UR diagnostic is based on three main pillars of urban development which have emerged as key areas of policy engagement for successful cities. These are: a) planning, charting a course for cities by setting the terms of urbanization, especially policies for using urban land and expanding basic infrastructure and public services; b) connecting, physically linking people to jobs, and businesses to markets; and c) financing, raising and leveraging up-front capital to meet the increasing demand for infrastructure and services. In moving forward, the review recommends that Georgia focus on: a) developing a national urban strategy that recognizes the contribution of each city to the overall economy, i.e. a 'systems of cities' approach that can assist in reducing regional disparities; b) assisting cities to develop urban plans, including local economic development plans, c) reforming building and planning codes; and d) assisting cities in improving their local governance and finances.Publication Harnessing Urbanization to End Poverty and Boost Prosperity in Africa(World Bank, Washington, DC, 2013-09)Urbanization is the single most important transformation that the African continent will undergo this century. More than half of Africa's population will live in its cities by 2040. In the face of rapid urbanization, there is a narrow window of opportunity to harness the potential of cities as engines of economic growth, and use this as a powerful leverage to achieve sustainable development and poverty reduction. Despite its rapid urban growth, Africa is less than halfway through the urbanization process and in some countries, a large number of people reside in rural areas. Rapid urbanization, if well managed, can curb urban sprawl, deteriorating access to services, greater inequality, and increased crime. The concentration of people in cities also elevates the risks and costs associated with extreme weather and natural disasters resulting from climate change. The World Bank Group's (WBGs) support will focus on three key areas: metropolitan areas and large cities; secondary and tertiary cities; and informal settlements. This will include both multi-sectoral investment programs that integrate a basket of services (for example, upgrading of electricity, water, sanitation, roads, drains in unplanned settlements); and sector specific projects (for example, in urban water, solid waste, and transport) to improve the effectiveness of service delivery. This paper is organized in following chapters: chapter one discusses why is it urgent to get Africa's urbanization right?; chapter two gives the vision for efficient, inclusive, and sustainable urbanization; chapter three presents priorities for Africa's policymakers; and chapter four deals with working with Africa to support efficient, inclusive, and sustainable cities.Publication Sudan : Overview of the Urban Landscape(Washington, DC, 2011-11)This study responds to the need for information and analysis on the urban sector in Sudan, to inform the Bank's policy dialogue with the Government of Sudan (GoS) on urban and local government issues, and to inform the design of future Bank assistance. The first phase of this analytical exercise, which is the focus of this report, develops an overview of the urban landscape. The report is structured as follows: section two describes the evolution of the spatial system in Sudan and highlights key urbanization patterns and trends; section three provides an overview of the legal, institutional and financial composition of Sudan's urban areas; and section 80 outlines the key policy issues and recommendations. The report also draws on in-depth case studies of Nyala and Khartoum, which are included as annexes to the report.
Users also downloaded
Showing related downloaded files
Publication Western Balkans 6 Country Climate and Development Report(Washington, DC: World Bank Group, 2024-07-16)This Regional Western Balkans Countries Climate and Development Report (CCDR) stands out in several ways. In a region that often lacks cohesive regional alliances, this report emphasizes how the challenges faced across countries are often common and interconnected, and, importantly, that climate action requires coordination on multiple fronts. Simultaneously, it illustrates the differences across countries, places, and people that require targeted strategies and interventions. This report demonstrates how shocks and stressors re intensifying and how investments in adaptation could bring significant benefits in the form of avoided losses, accelerated economic potential, and amplified social and economic spillovers. Given the region’s high emission and energy intensity and the limitations of its current fossil fuel-based development model, the report articulates a path to greener and more resilient growth, a path that is more consistent with the aspiration of accession to the EU. The report finds that the net zero transition can be undertaken without compromising the economic potential of the Western Balkans and that it could lead to higher growth than under the Reference Scenario (RS) with appropriate structural reforms.Publication World Development Report 2022(Washington, DC: World Bank, 2022-02-15)World Development Report 2022: Finance for an Equitable Recovery examines the central role of finance in the economic recovery from COVID-19. Based on an in-depth look at the consequences of the crisis most likely to affect low- and middle-income economies, it advocates a set of policies and measures to mitigate the interconnected economic risks stemming from the pandemic—risks that may become more acute as stimulus measures are withdrawn at both the domestic and global levels. Those policies include the efficient and transparent management of nonperforming loans to mitigate threats to financial stability, insolvency reforms to allow for the orderly reduction of unsustainable debts, innovations in risk management and lending models to ensure continued access to credit for households and businesses, and improvements in sovereign debt management to preserve the ability of governments to support an equitable recovery.Publication World Development Report 2023: Migrants, Refugees, and Societies(Washington, DC : World Bank, 2023-04-25)Migration is a development challenge. About 184 million people—2.3 percent of the world’s population—live outside of their country of nationality. Almost half of them are in low- and middle-income countries. But what lies ahead? As the world struggles to cope with global economic imbalances, diverging demographic trends, and climate change, migration will become a necessity in the decades to come for countries at all levels of income. If managed well, migration can be a force for prosperity and can help achieve the United Nations’ Sustainable Development Goals. World Development Report 2023 proposes an innovative approach to maximize the development impacts of cross-border movements on both destination and origin countries and on migrants and refugees themselves. The framework it offers, drawn from labor economics and international law, rests on a “Match and Motive Matrix” that focuses on two factors: how closely migrants’ skills and attributes match the needs of destination countries and what motives underlie their movements. This approach enables policy makers to distinguish between different types of movements and to design migration policies for each. International cooperation will be critical to the effective management of migration.Publication World Development Report 2024(Washington, DC: World Bank, 2024-08-01)Middle-income countries are in a race against time. Many of them have done well since the 1990s to escape low-income levels and eradicate extreme poverty, leading to the perception that the last three decades have been great for development. But the ambition of the more than 100 economies with incomes per capita between US$1,100 and US$14,000 is to reach high-income status within the next generation. When assessed against this goal, their record is discouraging. Since the 1970s, income per capita in the median middle-income country has stagnated at less than a tenth of the US level. With aging populations, growing protectionism, and escalating pressures to speed up the energy transition, today’s middle-income economies face ever more daunting odds. To become advanced economies despite the growing headwinds, they will have to make miracles. Drawing on the development experience and advances in economic analysis since the 1950s, World Development Report 2024 identifies pathways for developing economies to avoid the “middle-income trap.” It points to the need for not one but two transitions for those at the middle-income level: the first from investment to infusion and the second from infusion to innovation. Governments in lower-middle-income countries must drop the habit of repeating the same investment-driven strategies and work instead to infuse modern technologies and successful business processes from around the world into their economies. This requires reshaping large swaths of those economies into globally competitive suppliers of goods and services. Upper-middle-income countries that have mastered infusion can accelerate the shift to innovation—not just borrowing ideas from the global frontiers of technology but also beginning to push the frontiers outward. This requires restructuring enterprise, work, and energy use once again, with an even greater emphasis on economic freedom, social mobility, and political contestability. Neither transition is automatic. The handful of economies that made speedy transitions from middle- to high-income status have encouraged enterprise by disciplining powerful incumbents, developed talent by rewarding merit, and capitalized on crises to alter policies and institutions that no longer suit the purposes they were once designed to serve. Today’s middle-income countries will have to do the same.Publication World Development Report 2021(Washington, DC: World Bank, 2021-03-24)Today’s unprecedented growth of data and their ubiquity in our lives are signs that the data revolution is transforming the world. And yet much of the value of data remains untapped. Data collected for one purpose have the potential to generate economic and social value in applications far beyond those originally anticipated. But many barriers stand in the way, ranging from misaligned incentives and incompatible data systems to a fundamental lack of trust. World Development Report 2021: Data for Better Lives explores the tremendous potential of the changing data landscape to improve the lives of poor people, while also acknowledging its potential to open back doors that can harm individuals, businesses, and societies. To address this tension between the helpful and harmful potential of data, this Report calls for a new social contract that enables the use and reuse of data to create economic and social value, ensures equitable access to that value, and fosters trust that data will not be misused in harmful ways. This Report begins by assessing how better use and reuse of data can enhance the design of public policies, programs, and service delivery, as well as improve market efficiency and job creation through private sector growth. Because better data governance is key to realizing this value, the Report then looks at how infrastructure policy, data regulation, economic policies, and institutional capabilities enable the sharing of data for their economic and social benefits, while safeguarding against harmful outcomes. The Report concludes by pulling together the pieces and offering an aspirational vision of an integrated national data system that would deliver on the promise of producing high-quality data and making them accessible in a way that promotes their safe use and reuse. By examining these opportunities and challenges, the Report shows how data can benefit the lives of all people, but particularly poor people in low- and middle-income countries.