Economic Reform Under
Doi
Moi
(1986
-
1989)
After
nearly
a decade of add hoc
and uncoordinated attempts at economic
reform, and in the face of falling grain output and soaring inflation, the
government introduced a comprehensive reform program at the Sixth National
Congress
in December
1986.
The
strategic thrust of the new program was to liberalize and deregulate the
economy. Central planning was out,
free
-
market
economics was in.
The
emphasis shifted toward private
-
sector development and agricultural
reform.
Investment in
heavy
industry
was scaled back and the role of state
enterprises was
diminished.
Borrowing
a page from its
dynamic
regional neighbors, the government made
export
-
led growth its
goal,
while attracting foreign direct investment became a
strategic
Imperative.
In the end,
doi
moi
with
its free market flavor, was a
tactical admission by the government that the centrally planned model
was not working, and marked a radical turning point in Vietnam's economic
development