The paper is intended to encourage an even more aggressive easing policy. After all
The Bank of Japan has set an inflation target of 2% with
The target horizon is 2 years. The negative cycle of deflation is defined as
pivot to inflation with the aim of further boosting the pace
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economic growth. At the same time, the Japanese government has also increased the scale of financial
key to economic policies and expanding public investment with a focus on development
infrastructure development. Along with the announcement of joining TPP negotiations, the government has proposed
develop policies related to development strategies such as establishing promotion mechanisms
Exports in the infrastructure sector and enhancing international competitiveness
with a combination of both the private and public sectors. Negotiating agreements
Economic Partnership Agreements (EPAs) are also linked to these moves. However,
There has been much debate surrounding the effectiveness of monetary policy.
harsh, and the opposing views are quite strong. Monetary easing measures
The currency has so far proved to be ineffective in practice, and the prolonged economic recession has also
Pointing out the ineffectiveness of inflation targeting, the corresponding fiscal policy
with a society that has reached a high level of development is still considered more important, or the problem
The problem with the Japanese economy is that it is structurally receptive to policies
money.
1.2.2. Vietnam
Natural conditions
Vietnam is located in the southeast of the Asian continent, bordering the People's Republic of China to the north, the Lao People's Democratic Republic and the Kingdom of Cambodia to the west, the East and South bordering the East Sea (Pacific Ocean), with an area of 329,600 km2 of mainland, nearly 700,000 km2 of continental shelf with many islands and archipelagos.
- Terrain: Vietnam's terrain is quite special with two bulging ends (North and South) and a narrow and elongated middle (Central). The terrain of the North is relatively complex. The terrain of the Central region with the Truong Son range stretching west to the narrow coastal plain. The terrain of the South is flat, gradually sloping from East to West, the country's rice granary, and every year continues to encroach hundreds of meters into the sea.
- Rivers: Vietnam has a dense network of rivers. The two large rivers, the Red River and the Mekong River, originate from the Yunnan Plateau (China) and form two large deltas, the Northern Delta and the Mekong Delta. Vietnam also has a river system evenly distributed from North to South with large basins, rich aquatic resources, and abundant hydropower potential, which is favorable for agricultural development and human settlement, forming the long-standing wet rice civilization of the indigenous Vietnamese people.
- As of November 1, 2013, Vietnam welcomed the birth of its 90 millionth citizen. With its current population size, Vietnam is currently ranked 3rd in Southeast Asia and 14th in the world. That has opened up many new opportunities and fortunes for the nation.
Economy
In the new context of the world economy, regional economy after the global economic crisis and in the face of some outstanding issues of Vietnam's economic development after more than 20 years of renovation, Vietnam entered the implementation of the 5-year socio-economic development plan 2006 - 2010 in a context of many opportunities, advantages and difficulties, challenges are all great and intertwined.
Vietnam has very basic advantages such as great achievements and important lessons after 20 years of renovation, but there are also many weaknesses and shortcomings; while the requirement of integration with the regional and world economy is still very high.
The world is becoming more urgent and extensive. People's lives are generally stable. The lives of officials, civil servants and wage earners have been significantly improved thanks to salary increases according to Government Decrees. The lives of the vast majority of farmers are stable and gradually improved due to production development and increased prices of many agricultural products and foods. The poverty rate of the whole country and many localities continues to decrease, the situation of hunger and poverty has decreased significantly compared to 2005. Vietnam is among the countries with high economic growth rates in the region.
Entering a new phase, the position and strength of the Vietnamese economy as well as the experience in organizing, managing and operating a socialist-oriented market economy have all been significantly increased. Vietnam's membership in the World Trade Organization (WTO) has created more opportunities for the Vietnamese economy to integrate more deeply and widely into the world economy. However, Vietnam also faces many difficulties and challenges: while the economy still has many weaknesses, growth quality, production and business efficiency and competitiveness are low, the prices of many important imported input materials have increased.
During this period and the impact of the global economic recession, Vietnam's socio-economic situation in 2008 took place in the context of many complex and unpredictable fluctuations in the world situation: crude oil prices and prices of many other raw materials and goods on the world market increased sharply in the middle months of the year, leading to high price increases for most domestic goods; inflation occurred in many countries around the world; the global financial crisis led to recession in some major economies and a decline in the world economy; domestically, natural disasters and epidemics occurred consecutively, negatively affecting production and people's lives. However, in 2008, GDP at 1994 comparable prices was estimated to still increase by 6.23% compared to 2007.
In which, the agriculture, forestry and fishery sector increased by 3.79%; the industry and construction sector increased by 6.33%; the service sector increased by 7.2%. In the 6.23% overall growth of the economy, the agriculture, forestry and fishery sector contributed 0.68 percentage points; industry and construction contributed 2.65 percentage points and services contributed 2.9 percentage points. In the context of severe difficulties, this is a great effort. Also in this year, there were 8 groups of goods/export items with export turnover of over 2 billion USD: Crude oil 10.5 billion USD; textiles and garments 9.1 billion USD; footwear 4.7 billion USD; seafood 4.6 billion USD; rice 2.9 billion USD; wood products 2.8 billion USD; electronics and computers 2.7 billion USD; Coffee 2 billion USD, increased 2 items compared to 2007: rice and coffee.
Since the beginning of 2009, although Vietnam's socio-economic situation has been affected by the global economic and financial recession, thanks to the proactive and creative spirit of enterprises and economic establishments and the synchronous implementation of correct and timely policies and solutions of the Central Party and the Government, it has been developing in a positive direction and showing signs of recovery. Industrial production has gradually stabilized and continued to increase, many important products have maintained high growth rates. Most export items have increased in volume. The consumer price index has increased at a reasonable level. People's lives continue to be concerned and improved.
Currently, Vietnam has diplomatic relations with 176 countries, economic and trade relations with over 200 countries and territories, of which about 80 countries and territories invest directly in Vietnam... Never before have Vietnam's diplomatic and economic relations developed as deeply and diversely as they do today.
1.2.3. ASEAN – Japan
1.2.3.1. ASEAN + 3
ASEAN-Japan cooperation has seen many positive changes with the establishment of ASEAN + 3. However, until 2002, ASEAN-Japan relations had not had any breakthrough developments. Cooperation between the two sides was still mainly focused on the economic and development cooperation fields. This situation changed from the end of 2002, when in November 2002, the two sides signed the Joint Declaration on Comprehensive Economic Partnership (AJCEP). Implementing the above joint declaration, at the ASEAN-Japan Summit held on October 8, 2003, the two sides signed the "Framework for Comprehensive Economic Partnership between the Association of Southeast Asian Nations and Japan".
In order to further develop the relationship between the two sides, on December 12, 2003, on the occasion of the 30th anniversary of the establishment of ASEAN-Japan relations, the two sides signed the "Tokyo Declaration on Dynamic and Sustainable Partnership in the 21st Century". The declaration clearly stated that the two sides advocated promoting cooperation not only in the economic field, but also in the political-security field, not only bilateral cooperation between the two sides, but also cooperation in regional and international organizations, especially East Asian cooperation. In November 2007, the two sides issued a joint statement on completing negotiations on the ASEAN-Japan Comprehensive Economic Partnership Agreement. The trend of strengthening cooperation in the East Asian region is emerging. This trend is reflected in many different aspects, but most clearly in the economic field. The economy is becoming the field that determines the success or failure of the entire ASEAN+3 cooperation process in general. ASEAN+3 is a regional multilateral cooperation mechanism between ASEAN and three Northeast Asian countries: China, Japan and South Korea. This cooperation mechanism in the East Asian region was established in the late 1990s and early 21st century, and to this day is still based on the operating principles of ASEAN. The main contents of the cooperation mechanism include Summits, meetings of heads of state,
national, ministerial levels; and the Summit, known as the East Asia Summit, was first held in Kuala Lumpur in late 2005 1 .
ASEAN +3 is implemented through two channels: Channel 1 is the official channel of ASEAN +3 governments. In this channel, the ASEAN +3 Summit is the highest authority; followed by ministerial conferences and senior officials' conferences. Channel 2 attracts the participation of scholars, strategic researchers, business representatives and civil society. The mission of this channel is to advise the ASEAN +3 Summit and ministerial conferences in the process of formulating development policies for ASEAN +3 cooperation. The main institutions in this channel include: the East Asia Vision Group, the East Asia Research Group, the East Asia Forum, the East Asia Business Council, etc. Through these cooperative institutions, multilateral cooperation among East Asian countries has developed rapidly and comprehensively.
1.2.3.2. ASEAN-Japan Comprehensive Economic Partnership Agreement (AJCEP)
ASEAN and Japan began negotiations on the ASEAN-Japan Comprehensive Economic Partnership (AJCEP) in 2003 and concluded negotiations in 2008. The AJCEP is a comprehensive economic agreement covering trade in goods, services, investment and economic cooperation as committed in the Framework Agreement on ASEAN-Japan Comprehensive Economic Partnership signed in 2003. On April 1, 2008, the Minister of Industry and Trade of Vietnam signed the ASEAN-Japan Comprehensive Economic Partnership Agreement on behalf of the Government in the presence of the Ambassador of Japan and representatives of the embassies of ASEAN countries in Vietnam, and representatives of relevant ministries and branches. The agreement officially came into effect for Japan.
Japan and some ASEAN countries (including Vietnam) on December 1, 2008. The ASEAN-Japan Comprehensive Economic Partnership Agreement (AJCEP) is a comprehensive agreement, containing basic rules on trade in goods, trade in services, investment and other economic cooperation activities. The most important of which are commitments on the roadmap for tax reduction, moving towards eliminating most import taxes between ASEAN countries and Japan. According to the plan, by 2018, ASEAN and Japan will basically become a free trade area in goods.
The AJCEP Agreement is an important legal document, establishing a comprehensive and close economic cooperation relationship between ASEAN and Japan in the coming time. The bilateral Comprehensive Economic Partnership Agreement (EPA) aims to promote trade and investment relations.
The signing of the AJCEP Agreement will take place in the capitals of the 10 ASEAN countries and Japan on a rotating basis. The ASEAN-Japan Comprehensive Economic Partnership Agreement (AJCEP) officially came into effect on December 1, 2008.
Content
“According to the agreement, Japan will immediately eliminate tariffs on 90% of imported goods from ASEAN. The six ASEAN countries, including Brunei, Indonesia, Malaysia, the Philippines, Singapore and Thailand, will eliminate tariffs on 90% of imported goods from Japan in terms of both value and number of items within the next 10 years. The above process for the remaining four ASEAN countries, including Vietnam, Laos, Cambodia and Myanmar, will be implemented more slowly.
At the ASEAN-Japan Summit, Japanese Prime Minister Yasuo Fukuda pledged to strengthen cooperation with ASEAN in various areas, including support in combating avian influenza.
The new agreement between Japan and ASEAN should create added value and complement the bilateral agreements. The regional agreement should contribute to enhancing the value of the bilateral agreements and vice versa, the bilateral agreements should play a role in paving the way for a more effective regional agreement model.
Regarding the possibility of signing an investment agreement, a similar issue was also raised at the investment subcommittee, with the goal of reaching an agreement on this issue by 2011. To date, Japan has bilateral investment agreements with nine ASEAN member countries (except Myanmar).
In addition, at the Conference, the two sides discussed the cooperation program within the framework of AJCEP. ASEAN plans to propose a number of cooperation proposals in forest management and environmental labeling of products, goods, and fields in which Japan has advantages.” 4
1.2.4. Vietnam - Japan Economic Partnership Agreement (VJEPA)
The Vietnam-Japan Economic Partnership Agreement (EPA) began negotiations in 2007. After 9 official negotiation sessions, the two sides agreed to sign the EPA. Like the EPA, this is also a comprehensive economic agreement covering trade in goods, services, investment and economic cooperation. Regarding the general level of commitment, after converting the 2002 AHTN to 2007, within 10 years from the implementation of the Agreement, Vietnam committed to liberalizing 87.66% of trade turnover and Japan committed to liberalizing 94.53% of trade turnover. In the final year of the Tariff Reduction Roadmap, that is, after 16 years of implementing the Agreement, Vietnam committed to liberalizing 92.95% of trade turnover.
The Vietnam-Japan Economic Partnership Agreement (or JVEPA for short) is an agreement on trade liberalization, services, investment protection and