Vietnam announced in late 2024 a broad economic reform plan to reach high-income status by 2045 and join Asia’s “tiger economies.” The plan addresses slower export growth, climate risks, an aging population, and the need for stronger institutions. Government data showed the yearly income has increased more than thirteen times since 1990 because of industrialization and export-led growth. Leaders aim to move away from low-cost manufacturing by investing in advanced fields like computer chips, artificial intelligence, and renewable energy. Major projects include a $67 billion high-speed railway between Hanoi and Ho Chi Minh City and two new financial centers to attract foreign investment.

The plan involves streamlined government structures by merging ministries, reducing bureaucracy, and joining provinces. Support will include better access to credit, priority in state contracts, and help for global expansion. Economists warned about the “middle-income trap” and said that creativity is needed for steady progress. The World Bank predicted possible GDP losses of up to 14.5% yearly by 2050 without strong climate action. Industrial zones are improving flood protection after typhoon damage. Demographic issues remain, making sustainable policies for productive aging and higher female workforce participation important to keep growth stable.