Havesting rice in the Red River Delta


Before the French's arrival in Vietnam, there's used to be a feudal system in the kingdom. That time the economy based largely on agriculture. Commerce was small in the economy. The agricultural land that time was either owned by the king, by the royal family and madarins. The peasants worked on the madarin's land or the roya land and had to pay a big share and taxes to the king and/or the madarins.

Under the French rule and Japanese rule, the farmers paid taxes to the colonial regime. Forced labors and payroll farming workers started in the coffee, rubber and tea plantations in the Central Highland and the Mekong Delta.

In the War, Vietnam was divided into 02 states. In North Vietnam the economy was centrally-governed and in South Vietnam it was market economy.

In North Vietnam, all properties owned either by the state or by economic co-operatives. No private property or ownership was allowed.

In South Vietnam, all controlled by the market economy. Entrepreneurialism was dominant.

After 1975, the country was reunified under the Communist Party and in 1976 - 1985, the Vietnamese Economy was communist, centrally planned and governed. Private ownership was not legal. Private businesses were crushed.

From 1986 - 1992, the country started with Doi Moi or renovation by the Communist Party. Entrepreneurism was encouraged in a timid way. Private businesses and private ownership were accepted in reality, but not legitimately recognized.

From 1992, a new constitution passed legitimizing private ownership and private businesses. The economy started getting better.

From 1995, the economy gained enough momentum combined with the US's lifting of the economic sanction from after the war.

In 1997 - 1998, the economy suffered from the Asian Financial Crisis.

From 1999, the economy started booming again. The stock market was started. From now on until now, GDP of Vietnam was always more than 7% per annum.

In 2007, the first time the stock market surpassed the 1000 points.