Viet Nam

Revenue Statistics in Asia and the Pacific is jointly produced by the Organisation for Economic Co-operation and Development (OECD)’s Centre for Tax Policy and Administration (CTP) and the OECD Development Centre (DEV) with the co-operation of the Asian Development Bank (ADB), the Pacific Island Tax Administrators Association (PITAA), and the Pacific Community (SPC) and financial support from the governments of Ireland, Japan, Luxembourg, Norway, Sweden, Switzerland and the United Kingdom. This edition includes a special feature on the emerging challenges for the Asia-Pacific region in the COVID-19 era and ways to address them. It compiles comparable tax revenue statistics for Australia, Bhutan, People’s Republic of China, Cook Islands, Fiji, Indonesia, Japan, Kazakhstan, Korea, Lao People’s Democratic Republic, Malaysia, the Maldives, Mongolia, Nauru, New Zealand, Papua New Guinea, Philippines, Samoa, Singapore, Solomon Islands, Thailand, Tokelau, Vanuatu and Viet Nam ; and comparable non tax revenue statistics for Bhutan, the Cook Islands, Fiji, Kazakhstan, Lao People’s Democratic Republic, the Maldives, Mongolia, Nauru, Philippines, Papua New Guinea, Samoa, Singapore, Thailand, Tokelau, Vanuatu and Viet Nam. The model is the OECD Revenue Statistics database which is a fundamental reference, backed by a well established methodology, for OECD member countries. Extending the OECD methodology to Asian and Pacific economies enables comparisons about tax levels and tax structures on a consistent basis, both among Asian and Pacific economies and with OECD, Latin American and Caribbean and African averages.

The world is increasingly facing a technologically changing employment landscape and such changes are directly affecting the future demand for skills. For regional economies built on labour migration, the impending changes will affect migrants and their families, their countries of origin and the recruitment systems they are attached to – and ultimately disrupt the development benefits of migration. This paper investigates how the future of the employment landscape will affect migration within the Abu Dhabi Dialogue, a regional consultative process for migration in Asia. It investigates the impending changes in the demand for skills in countries of destination, how such changes will affect migration processes and whether countries of origin are ready for the changes. It provides recommendations on how regional consultative processes can foster dialogue between key actors from both countries of origin and destination to better navigate future changes and ensure a smooth transition.

Many Emerging Asian countries have been refining macroprudential policies, particularly since the Global Financial Crisis. For instance, they have developed policies targeting housing markets and broadly transposed the Basel III requirements into their national legislation. In the wake of the COVID-19 pandemic, policy makers now need to identify emerging vulnerabilities and their associated financial stability risks and respond with the appropriate macroprudential tools. This publication provides a detailed overview of the current macroprudential policy situation in Emerging Asian countries and explores how the macroprudential policy toolkit has evolved. The report discusses some of the most pressing challenges to financial stability, including the interaction of macroprudential policy with other policies. It also devotes special attention to macroprudential policies for emerging priorities, such as achieving green goals and updating regulatory frameworks to reflect ongoing Fintech developments. Climate change will indeed create new challenges in financial markets, while Fintech developments bring about many economic opportunities and deepen financial systems, but present a variety of novel risks requiring rapid policy responses.

Informal employment, defined through the lack of employment-based social protection, constitutes the bulk of employment in developing countries, and entails a level of vulnerability to poverty and other risks that are borne by all who are dependent on informal work income. Results from the Key Indicators of Informality based on Individuals and their Households database (KIIbIH) show that a disproportionately large number of middle‑class informal economy workers receive remittances. Such results confirm that risk management strategies, such as migration, play a part in minimising the potential risks of informal work for middle‑class informal households who may not be eligible to social assistance. They further suggest that middle‑class informal workers may have a solvent demand for social insurance so that, if informality-robust social insurance schemes were made available to them, remittances could potentially be channelled to finance the extension of social insurance to the informal economy.

Skills are central to the capacity of countries and people to thrive in a rapidly changing world. Recovering from the COVID-19 pandemic will require countries to co-ordinate interventions to help recent graduates find jobs, reactivate the skills of displaced workers and use skills effectively in workplaces. Megatrends such as globalisation, climate change, technological progress and demographic change will continue to reshape work and society. Countries should take action now to develop and use more effectively the skills required for the world of the future and at the same time make their skills systems more resilient and adaptable in the context of change and uncertainty. The OECD Skills Strategy provides countries with a strategic approach to assess their skills challenges and opportunities. The foundation of this approach is the OECD Skills Strategy framework allowing countries to explore how they can improve i) developing relevant skills, ii) using skills effectively, and iii) strengthening the governance of the skills system. This report applies the OECD Skills Strategy framework to Southeast Asia, providing an overview of the region’s skills challenges and opportunities in the context of COVID-19 and megatrends, and identifying good practices for improving skills outcomes. This report lays the foundation for a more fully elaborated Skills Strategy for Southeast Asia.

Under Action 14, countries have committed to implement a minimum standard to strengthen the effectiveness and efficiency of the mutual agreement procedure (MAP). The MAP is included in Article 25 of the OECD Model Tax Convention and commits countries to endeavour to resolve disputes related to the interpretation and application of tax treaties. The Action 14 Minimum Standard has been translated into specific terms of reference and a methodology for the peer review and monitoring process. The peer review process is conducted in two stages. Stage 1 assesses countries against the terms of reference of the minimum standard according to an agreed schedule of review. Stage 2 focuses on monitoring the follow-up of any recommendations resulting from jurisdictions' Stage 1 peer review report. This report reflects the outcome of the Stage 1 peer monitoring of the implementation of the Action 14 Minimum Standard by Viet Nam.