Changing Political Economy of Vietnam: The Case of Ho Chi by Ma Gainsborough

By Ma Gainsborough

This publication explores the way the kingdom has develop into commercialised lower than reform as social gathering and executive officers have long gone into company and considers the influence that this has had on politics inside of Ho Chi Minh urban and Hanoi. The publication charts the way strength has been decentralised to the decrease degrees of the party-state yet argues that the significant country keeps major energy. those matters are explored via a number of case reports together with the implementation of alternative reform guidelines, struggles over political and enterprise job, and the prosecution of 2 significant corruption situations. specific emphasis is put on piecing jointly the myriad of casual practices which dominate company and political lifestyles in Vietnam.

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Extra resources for Changing Political Economy of Vietnam: The Case of Ho Chi Minh City (Routledgecurzon Research on Southeastasia)

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G. ). Given these responsibilities, the departments were frequently in receipt of information pertaining to forthcoming projects, which they were then able to channel to ‘their’ companies. Moreover, because of the close nature of the ties between the departments and business, there was often very little to distinguish between those with knowledge of a contract and the business interests interested in obtaining it. 75 During the 1990s this method of obtaining contracts was also a key modus operandi for limited liability companies linked to state business interests.

108 Although a wide range of goods were smuggled in the 1990s, one that was smuggled with great persistency was gold. According to official estimates in 1997, around 40 tonnes of gold was smuggled into the city annually. 109 In the first half of the 1990s, gold imports were formally regulated by quotas issued by the State Bank to a limited number of companies authorised to import gold. 110 Since this date no company has had the right to import gold: all gold entering the country on a commercial basis since 1996 has therefore been smuggled.

This money was then deposited in the bank and a further 9,000 US dollars were borrowed in dong using his deposit book as collateral. The ‘speculator’ then returned to the black market – which was still unaware of the morning’s devaluation of the dong – and bought more dollars. This process continued for an additional third round until 12 noon. By this stage, news of the devaluation had filtered through to the black market, which became animated (nhon nhao) and the dollar price shot up. 96 With the timing of a devaluation naturally kept secret, the finger points clearly in the direction of banking sector personnel or people connected to them, such as family members or friends.

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